Farhad Moshiri and 777 hold talks as Everton takeover concerns grow
The challenges faced by the proposed takeover of Everton by 777 Partners have prompted face-to-face talks between Farhad Moshiri and the Miami investment firm’s co-founder Josh Wander in London this week, Liverpool Echo reports.
The meeting comes after a series of red flags emerged regarding 777’s suitability to take over the Premier League club.
The firm had agreed to purchase Moshiri’s 94.1% stake in September 2023, but they have been dogged by allegations of financial mismanagement.
Late or missed payments have become a recurring theme for 777 across their business ventures and those concerns are compounded by ongoing legal issues in the United States.
Over the weekend, court filings in New York revealed accusations against 777 of masterminding a “fraudulent scheme”.
Leadenhall Capital Partners and Leadenhall Life Insurance allege that Wander and 777 deliberately pledged non-existent assets as collateral for a loan.
The lawsuit follows the recent collapse of Bonza Airline, in which 777 held a 49% stake. The budget Australian carrier entered administration last week, further raising eyebrows about the firm’s financial health.
Adding to the controversy, reports surfaced of unpaid wages for players at Standard Liege, one of several European clubs owned by 777, which intensified scrutiny of the potential Everton owners.
During the meeting, Moshiri reportedly demanded urgent clarification on 777’s financial capability to complete the deal, a concern growing stronger with each passing day.
777 have been injecting working capital into Everton since the new year, exceeding £200 million for construction and payroll. But their own access to funds seems increasingly limited.
A significant source of their cash came from a relationship with Kenneth King’s A-CAP firm. But that has hit a snag, with regulatory pressure from two US states prompting A-CAP to reduce its exposure to 777.
This squeeze on 777’s finances has sparked serious concerns about their ability to complete the Everton takeover, forcing Moshiri to seek clarity ahead of exploring potential alternatives.