Exclusive: Everton cash-flow update emerges after takeover latest
Everton prospective owner Dan Friedkin is unlikely to provide any extra funding before the takeover is completed as the club are not currently facing any immediate cash-flow issues, sources have told Football Insider.
The Merseyside giants confirmed in September The Friedkin Group has reached an agreement to purchase owner Farhad Moshiri’s 94.1 per cent stake at Goodison Park.
It comes after Friedkin previously pulled out of talks to buy Everton in July due to risks associated with the £200million loan provided to the club by former prospective owner 777 Partners.
But those concerns have since been resolved, allowing the American billionaire to reignite his interest and agree terms with Moshiri on a deal believed to be worth in excess of £400million.
Football Insider revealed on 12 November Friedkin is still on course to complete the takeover before the end of December after no unforeseen issues have emerged.
There have been suggestions Everton could require some extra funding over the coming weeks to help boost their finances while the deal is going through.
But sources have told Football Insider the Merseysiders’ cash-flow situation has improved in recent months and they should be fine until at least the end of this year even if the Friedkin deal is delayed until January.
Everton off-field deals have improved cash-flow situation
Everton are believed to be more comfortable financially after slashing their wage bill over the summer and securing an uplift in commercial revenues this season.
In their latest accounts for 2022-23, the club’s commercial revenue fell from £50million to £39million and their sponsorship decreased from £35million to £19million.
But Football Insider revealed on 19 June Everton are set to generate up to £95million in commercial and sponsorship revenue this season after landing a more lucrative kit manufacturer deal with Castore.
Sources say club officials are currently relaxed about the cash-flow situation at Goodison following the recent off-field deals and efforts to bring down costs.
Friedkin is already a lender to Everton after previously supplying a £200million loan to pay off a debt owed to MSP Sports Capital and provide working capital to complete the new stadium development.
The Merseysiders are currently in more than £600million worth of debt after Moshiri has struggled to keep on top of their financial situation in recent years.
Football Insider revealed on 23 October Friedkin’s takeover will help tidy up the balance sheet and provide a complete reset of Everton’s finances, ensuring he owns pretty much the whole club.
For more Everton and exclusive news, follow us on Facebook or join our brand new WhatsApp Channel for instant updates to be sent straight to your phone.