Everton on verge of sale
Everton seem poised to be sold. Bill Kenwright, the Everton chairman, is flying off to meet an overseas buyer today which could see the Merseyside club sold for a total value of about £180m.
The deal is said to be at an advanced stage.
This would include taking over Everton's debt of about £65m (£25m securitised debt and a £40m overdraft).
If the remaining £115m is paid for the club's shares that would represent quite a premium on the club.
When Robert Earle paid about £8m for 23% of the club more than two years ago the shares were valued at about £40m.
Since then, the club has selected a site for its new home although the public inquiry means no progress can be made until March 2009. I am told the buyer wanted assurances that there are good prospects of the new home being realised. He also wanted to be assured all the directors wanted to sell. Kenwright, who has been looking for a buyer for the club for sometime, was able to give that.
Although there has been speculation that the Indian billionaire Anil Ambani was interested, the buyer is not Ambani or any other Indian.
This offer represents the first genuine bid for the club and if the talks progress well the club could change hands quite soon.
Indeed the Everton sale may go through earlier than Newcastle's.
Seven potential bidders have expressed an interest in Newcastle.
None of them have made a bid or even an indicative offer. The seven do not include the the Nigerians or the South African consortium, which received a lot of publicity for their supposed bids which turned out be more in the realm of fantasy than any real interest.
As I revealed two weeks ago Mike Ashley, who had started off looking for more than £450m, would now settle for about £280m. But given the volatility of the markets this price might have to fall if the sale is go through.
But what about West Ham? Is that the club more likely to be sold rather than Everton or Newcastle? West Ham insist that they are not affected by the crisis that overwhelmed Iceland, the home of its owner Bjorgolfur Gudmundsson, but a sale cannot be ruled out.
I am told in the last few months agents have approached West Ham suggesting deals but until now the club's owner has shown no interest in talking to them.
The crisis in Iceland could change that.
Any such sale would be complicated by the outcome of its legal case with Sheffield United arising from the Carlos Tevez affair.
West Ham are hoping the to overturn the judgement given against at the Court of Arbitration for Sport.
But first Cas has to decide whether to take up the case - it has only agreed to hold a preliminary hearing in order to take this decision so far. No resolution of this dispute may be possible for several months. So a buyer would have to factor in the possibility that in buying the club he may be liable for a further dollop of cash and this could be as high as £50m.
All of which will affect the price and may any potential sale more problematic, particularly in these markets.
In theory all clubs are for sale.
But now there is a further complication. Valuing football clubs is always difficult but the volatility of markets means potential buyers may find they have a lot less money to offer, making a deal very complicated.
I'm 
© MMIX~RS~q~RS~~RS~z~RS~27~RS~)
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Nice little earner for Bill and Bobby ! I wonder if that will be reflected in bonuses for loyal fans and season ticket holders , some of whom have backed the club for up to 50 years ... I think not !!!
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In theory all clubs are for sale.
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Even Chelsea?
And anyway, don't take it for granted that the deal will go through. A few weeks ago Tottenham were meant to be 'on the brink' of being bought.
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If he sells then it would be excellent news for Everton and an excellent bit of business for Mr. Bill Kenwright who bought the club in 1999 for less than £25million and money owed to creditors rising from £20million to £90million.
Good riddance Mr Kenwright, you have been holding the club back and should have gone when Paul Gregg tried to buy your shares. Bill Kenwright made poor decisions (signing players based on money that never came from NTL, allowing Kings Dock to fall out of the clubs grasp because he didn't want Paul Gregg to own the stadium, hiring Keith 'no plan B' Wyness of Kirkby fame.. enough said.)
This will be one ecstatic supporter when Mr Kenwright finally departs our once-proud club...
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believe it when I see it, tho if Cahrlton and QPR can get new owners, then surely EFC can!
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I remember, not that long ago, when blogs on the sports pages used to be about sport. Now when I come to see the sports news, to escape the gloom of the main news, all I get is more of the same: money, money money.
Give it a rest Mihir. You've done enough business blogs on the footy now.
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"The deal is said to be " Is said to be by whom, and when did this person say this and to whom?
"I am told" By whom and when?
"I am told" (second use) - see above
Your blog, though a reasonable summing up of the current situation at some football clubs, contains no new information at all. The public can think for themselves and don't need you to think for them. The public can analyse, debate, discuss and sum up themselves.
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Better. Bit of the obvious still. Any details of any of the interested parties thinking about buying Newcastle would make it more interesting to read. Or Everton and West Ham for that matter.
What about a feature on my club Brighton? About the progress of the stadium thats been steaming ahead, we're actually gonna have a new stadium before Everton and Liverpool put together. 11 years though!
Seriously, fans like myself want to hear about obscurity. Brighton, Charlton's prospected buyer and Luton are some at the top of my head. Go dig for it Mihir!
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# 1. At 5:41pm on 10 Oct 2008, TernandoForres wrote:
To Be Honest Mihir I Dont Care About Your Blogs You State The Obvious In Them And Everything You Say I Already Knew...
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Then don't read his blog, fool.
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Also Mihir, please can you explain how Mr Kenwright can suggest that Kirkby is likely to go through?
Residents are objecting
Residents are going to the European court to fight CPOs
Tesco lawyers will be fighting with Liverpool City Council, Sefton Council and the Duke of Westminster
I don't know why you are suggesting it will end in March 09 - it clearly won't.
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Hi Mihir,
You've got a fair few of us blues excited at our claims. Just wondered what your thought are on this:
EVERTON have issued an emphatic denial over a report that club chairman Bill Kenwright was today flying to meet an overseas buyer lined up to takeover the club.
The report suggested Mr Kenwright was hoping to seal a deal worth around £180m and talks were in an advanced stage.
The buyer was reported not to be Indian billionaire Anil Ambani who was linked to the club last month.
Club spokesman Ian Ross told the Daily Post: “This story is untrue. Bill Kenwright is not flying to the near East, the Middle East or anywhere else today, tomorrow, or any time soon.
“In fact he is in London casting a new show.
“However as we have made clear many times, Bill Kenwright is happy to talk to any potential buyer who has a deal which stacks up financially for the club.”
Thanks
Dan
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wekkablue i disagree with you. i think you stand to wipe on the subject of kenwright. the likes of you and all the fans groups such as STBOOIAP have short memories. bill saved the club from having a veritable egg on its pizza every season
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Hey Mihir,
All prospective buyers of Newcastle United have had to sign a non-disclosure agreement for the clubs infos.
And so any of your journalists - as Sports Editor - writing about specific people being in for Newcastle you can rule them out straight away
So it was always a "realm of fantasy" its just journalists and the Africans kept it going
Oh I'm guessing some major reasons Everton could go through first would be that there details are available as a PLC anyway and also the small matter of £100million+ in difference to the prices
Oh as for ppl moaning constantly about your blogs - maybe its cos a blog is meant to give your view on issues not just state what is going on - why not have your idea on the 39th game or something?
Which btw Mr. Scudamore, most fans dont want in any type of form and weren't just upset by the form you gave it in last time, we said "NO" to it not "No but if you sort out some sort of comprimise, then ok, yeah, sure!"
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I think people getting on Kenwright's back are fairly narrow minded. Remember it was Kenwright who saved the club following Peter Johnson's disastrous 'reign'. It was Kenwright who brought David Moyes to Goodison after a string of no hopers (Walter Smith possibly the exception). It is BK who has kept faith with Moyesy even when things weren't going so well. And it is BK who has probably suffered a great deal of stress trying to realise the expectations of the Everton faithful. A chairman who has been so committed and faithful should be applauded and not derided. Yes, new investment will be good, but look at the turmoil elsewhere where clubs have been bought for purely commercial reasons - it is certainly not plain sailing as our 'friends' over the Park will tell you!!!
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We all know journalists (even within a blog) can bend the truth a bit but I don't understand how a professional person like Mihir Bose can say the above when within hours Everton come out and basically say it's a load of twaddle.
This can only mean somebody is lying, or somebody is making a story out of a rumour.
As readers of this site (come on, we're supposed to be able to trust the BBC) we deserve better than this.
As an Everton supporter we deserve a win, just one will do!!!
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I agree with matt1il. At the top of this very page it says:
I'm Mihir Bose, the BBC's sports editor. This blog is my regular take on the key sports stories and issues behind the headlines.
What is your take on this 'key sports story' and what have you said that we didnt already know?
I wouldnt even class this as a 'key sports story', just one more in an ever lengthening line of clubs that are supposedly being bought since the start of this season. Its dull come up with something new. If you're just going to be a pacifist and just state the 'facts' (most of which amount to nothing more than hearsay judging by your sources) you'll get lots more posts like this
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Can't wait to see who the mystery buyer is...
But I will, because until the deal for EFC is signed, sealed and delivered, I just don't believe it.
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cryin' white tears wrote:
I remember, not that long ago, when blogs on the sports pages used to be about sport. Now when I come to see the sports news, to escape the gloom of the main news, all I get is more of the same: money, money money.
Give it a rest Mihir. You've done enough business blogs on the footy now.
_________________________________
How naive - since when has football NOT been intimately linked to money....since before I was a lad
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Everton officials have denied speculation the Club is on the verge of being sold.
Rumours surfaced in the UK media late on Friday afternoon suggesting a deal was at an advanced stage.
The reports went on to suggest that Blues Chairman Bill Kenwright was poised to fly overseas for a face-to-face meeting with a potential buyer.
However, Everton’s Head of PR and External Affairs, Ian Ross, confirmed: “Contrary to this afternoon’s media reports, the Club is not on the verge of being sold and Mr Kenwright spent Friday afternoon in his London office.”
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thats the end of this crap! :)
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It's people like you Webber05 that are narrow minded with your naivety of "Blue Bill saved us from agent Johnson"
What about all the lies and deception?
Let me ask you, where would you rather watch us play, King's Dock? or Desperation Kirkby?
Watch this space.
Nuff said
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Thanks for your fairly basic view on matters supa1878. I am not saying things are perfect, but critics of BK need to put a little perspective around their comments.
I think Kirkby is a great location and people who believe we can survive in Goodison and achieve European football year in year out are totally deluded. Kirkby is the most viable and only location unless you have any other suggestions. Yes it is out of the city technically but so what! If Everton becomes bigger and better as a result then so be it.
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I still rub my eyes at astonishment that some Evertonians question the motives of Bill Kenwright. We've been blessed with the best chairman in the league for so long we take it for granted. It'll be a sad day when or if we fall into the hands of the first passing billionaire, but Bill's had enough and good luck to him if he makes a few bob. I for one will miss him
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Kings Dock Money ring-fenced; Fortress Sports Fund; best served stadium for transport - a world class stadium - virtually free; "watch this space"; club's not for sale/club's for sale; investment 24/7; Rooney's not for sale - kerching! mounting debt [the £26m oft quoted is just the initial 'securitisation' of future season ticket sales made many years ago - there's been lots more added since].
Kenwright should have gone instead of Gregg; his credit w.r.t. ousting PJ is long since spent. Don't agree? Then note certain of PJ's aims: tried to move the club outside the city, plunged the club into debt, sold players to make up financial short-falls. At least two congruent activities there; as for selling players, exhibit A - our squad is now smaller and no better than last season.
Keep rubbing your eyes Dixie - you may get the sleep out one day and see clearly!
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MB needs to defend his article. Does he dispute Everton's rejection of his story? Where did he get the info. from.
Also, has anyone thought that if we get a billionaire buyer we should build on Stanley Park if LFC can't afford it and kick them out to Kirby?
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I agree with fightingjoe, Mihir Bose should now respond to the comments on this blog regarding the validity or otherwise of his claim to know that Everton are close to being sold.
Over to you Mihir......
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Bose is a guesser.
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Firstly with regard to Bill Kenwright. How could anybody want for a more committed chairman, he took over a club on the verge of relegation and bankruptcy and would leave a club with regular European football and a £65m debt 25 of which is secure (a positively rosy situation by premiership standards). Kings Dock needed European money and matching city funding as well as both clubs to get the former Liverpool refused to come in, Europe pulled out and we all know Liverpool city councils view on any support of Everton. Along comes a good deal a new stadium with local authority support and that of the businesses in the area Everton's input about £75m ? Current going rate for a new build premiership ground around £300m again a pretty good deal by the much abused Bill Kenwright. Rest assured in the current economic situation the government is not going to allow a development as important economically as this one in an area like Kirkby fail.
So would Everton be an attractive target, a top seven team(last 2 seasons and they will be thereabouts this season), therefore not huge player investment required, stable premiership club with probably Britains most highly rated young manager, potential regular 40,000 plus crowds for £250 million including a new ground. I would argue yes and ask why haven't they been bought before. The answer is probably that Bill Kenwright was looking for the right type of investor.
Has he found one? The evidence, David Moyes failure to sign a new long term contract, the departure of Wyness and lack of movement until very late in the transfer market would all point toward something major happening. The reason for it not going ahead in the summer isprobably the referral of the development including the new ground and assurances may well have been forthcoming from the developers, local authority and possibly even at government level.
Mihir Bose's article would seem to me to make perfect sense and the sale be in the best interest of all those involved.
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The Temple - re the 'new ground':
"...assurances may well have been forthcoming from the developers, local authority and possibly even at government level."
Only the last of those agencies carry any weight on this matter now. To believe that this development (proposed) has been given any "assurance" prior to an inspector carrying out the public inquiry is nonsense.
That was one of the reasons I pretty much took MB's blog article with a pinch of salt...to state that Everton could pass on an assurance to a prospective buyer was ridiculous.
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BK has taken the blues as far as he can. We obviously need new investment to be able to compete with the 'big 4' and stand a chance of breaking into the CL on a regular basis.
We should not forget where we were when BK took charge. We were struggling to stay in the PL, now we are challenging for European places every year. We had massive out of control debts, now we are financially sound (by today's standards.) We had no plan to leave Goodison and now we have an option at least.
I do not want to see Everton move to Kirkby but we cannot stay at Goodison and progress as a club. Evertonians should show gratitude to BK for all his work, and respect the man for trying to do what is best for Everton Football Club. He is a true blue and I thank him for what he has tried to accomplish at Everton. COYB.
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I must declare that I have no direct interest in Everton Football club per se but I do respect them as a pillar of the elite in the upper echelons of English football.
As usual it seems with Mihir Bose's articles the moderator's have their work cut out in maintaining what they see as fair comments directed at this man.
My club, Arsenal, have been the subject of several rather pessimisstic reports by Mihir despite posting record turnover and profits over the last couple of years.
Mihir's recent posting regarding the apparently imminent sale of Spurs for a "market value" of 350m but will be "rounded up to 400m" seems to be a piece of pure wishful thinking, especially with Everton's value being mentioned at 170m, Newcastle's at 280m, down from 400m apparently due to market forces and the current world financial crisis. This of course is the same financial crises which puts Tottenhams valuation even higher...go figure??
I think most fairminded football fans would place Everton, Tottenham and possibly Newcastle in the same area of relevant size and potential of club when all the elements are taken into account.
Even with the clubs locations also being taken into account, it is quite clear that Everton and Spurs are similarly sized clubs, Newcastle are slightly larger by crowd volumes but this is probably negated by the fact they have not won a single trophy in 40 years.
So where does the maths come from for the valuations? Beats me, perhaps Mihir can explain? Perhaps he can tell us why a club that has similar sized grounds buts lots more trophies to show (Everton), a club that has massive potential from fanbase, investment and facilities (Newcastle) is quoted at less than half the value of Spurs (a club who apparently are not affected by the financial crises)..?
I don't expect this to be published. I expect it to join the hundreds, if not thousands of other posts the moderators have to delete on Mihirs behalf. The last thing to expect by the way, from Mihir, is an explanation for why one clubs valuation goes up whilst everybody elses goes down in a financial crises.
Ask Mihir which club he supports...??
Moderators....my head is on the block...axes ready......!!
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Stick to writing about cricket, you just arent informative enough. Your articles rarely cause much debate either.
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For a kick off a Blog is a person's take on a particular subject. It is designed to provoke comment. However, the author is usually expected to make a comment back.
A lack of further comment from the author, for me just destroys the integrity of the blog.
It wouldn't surprise me if it was further engineering from certain members of the club and certain friends in the press.
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So it is two months since this story was posted and no further news and no real surprise!
Looking for a Middle Eastern Billionaire (or Russian or Nigerian) seem to be the only game in town and I for 1 believe it is totally inappropriate for "the peoples club" and for the world of football finances that is to come.
The Barcelona model (albeit scaled down) is the future for Everton.
There are 35,000 regulars at Goodison,y hundreds of thousands of Evertonians in the UK and many more globally.
Let's have some innovative and creative approach to the Everton problem rather than attempting a watered down version of the multi billionaire model that will almost certainly lead to tears for the likes of City and Chelsea.
Such an ownership/investment model would be more in keeping with the club, help us uniquely position us in the football world and potentially offer the fanbase some genuine confidence in the long term future.
We are currently punching above our weight in the Premier League and need to find an alternative way of competing with the current crop of playground bullies.
Let's give up waiting for some unheard of "7th richest man" who has made his money from the patronage of a 3rd world dictator and shape our own future.
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