777 Partners seek to reassure Everton fans with direct letter

"There will be no magic wand, nor quick fixes — the path to creating a sustainable business that then translates into on pitch success is laid with hard work and difficult decisions."

Certainly it sounds like a much more professional approach than we're used to. There will be no spending spree, but I'm not too bothered about that.
It's better to have a good durable strategy than an amateurish spending spree.

Hopefully it's also the end of Kenwright and I'll be very glad to see the back of Moshiri too, although credit him for the stadium when that finally materialises.

"...We are confident approval will be granted without issues, but we understand the process could take several months..."

If that is the case, and it seems to be, how does EFC continue to function in the meantime? Who is making top level decisions? Who is carrying the can (or taking the plaudits) for those? Our liquidity seems utterly fragile and Christ knows what is going to be sprung on us at the end of the month.

I just hope we can survive long enough for these guys to even be given the chance.

Chris #2 - agree. And Robert @7 provides more balance.

So this gets a wee bit closer. Let's wait and see. All we can do.

It's been stated by others on other threads that the Carpetbagger runs the club like an Old Boys Club and wants the say on everything – snuffing out any danger of innovation or a new approach. I cannot imagine for one second he would fit 777s approach – for me, the key will be whether he is kept on in any capacity. It's a fire sale but it's Moshiri's losses that he (Moshiri) is trying to minimise. Kenwright should be nowhere near the decision-making.

On the finance side, it's not good, but I do not believe the club is about to enter administration. I guess it depends on who you want to believe, if the Daily Mail etc is your breakfast reading choice, give yourself a slap.

Exciting times around here!

And they can't win with alluding to the club's past/slogans. After years of Bill, many Evertonians are understandably too cynical — it's either fluff to butter the fans up or proof they're doing the work to connect with and learn about the asset they're buying.

Some communication is always better than none, though. They've essentially set their stall out here and obviously need to back it up, first with proof of funds and then step-by-step actions to get this club back on its feet.

Long road ahead, assuming their takeover goes through which, based on the news flow, is not a given!

Being as positive as I can with them, they've now attended two home matches in a row and so far have communicated well which is more effort than Moshiri has put in for years.

The big worry is, when they're missing all these payments everywhere else, how are they going to buy us, settle the debts, and pay for the rest of the stadium? And then there's the tiny, tiny issue of us being able to actually buy players.

Keep in mind we've been on a good run injury-wise and, bar Seamus, have a full-strength squad (assuming Gomes and Dele Alli at this point are nothing more than squad options) and we're still losing. When the injuries come, we still need a larger squad.

Either way, as much as I think they're glorified asset strippers, at least they're acknowledging we actually exist which is something. Hoping for more of this communication going forwards.

If so and you happen to be in fan group talks that were held, could you post on ToffeeWeb exactly what was asked and how 777 answered? Thanks.

Moshiri couldn't care less who he sold us to. There is plenty of evidence of their failings at other clubs to see enormous red flags. Not a good colour for us Evertonians.

It is a letter that re-iterates mostly the obvious. With confirmation that they are serious in purchasing the club.

The worries I have are concerning the allegations (some serious) regarding the clubs they own. Not a word.

At each of these clubs, we have improved sporting results meaningfully while reducing costs and increasing player value. Our success both on and off the pitch is clear to see.

Hmmmm. Many would beg to differ.

Also to quote the great Alan Ball may not have been the wisest move. Many of my seniors were livid at his treatment and sale by Everton. A history forgotten over time possibly.

With late October's judgement to be announced, the stadium financing another debacle to be resolved, plus the Premier League and "other" regulatory bodies' involvement in (dis)approval of their takeover, this could well be a long running production.

COYB

The proof will be in their actions.

At least he didn't refer to himself as Chairman Josh.

Jonathan, if they get rid of him on Day 1, I will begin to believe.

It's not in Kenwright's interest for 777 Partners to take over as they will get rid of him.

Calvin Trillig, a clever New York writer, has a theory on that. In the old days, finance guys were the middle of the class types whose ambition was to have a cushy life at the country club while their underlings push paper around.

Once the MIT, Univerity of Chicago and Princeton quantitative types got in the business, the cannibalism of the economy by finance, insurance, and real estate operators took off. Check a layer chart of GDP contributions by industry since the 70s. It isn't obvious that the Wanderer is our saviour.

We have heard all the cheese in the statement many times before but I suppose they are just trying to endear themselves to the fans.

However, I do like the sound of the club being ran professionally. 777 are actual business people who sound like they might know what they are doing and if they can achieve their aim of buying a struggling club for cheap and turning it around - we will all be happy.

Let's face it, any sense of Everton belonging is held by us as fans. The clubs real value and history carried forward within us and our families.

"Nah, mate, it's legit, I swear, I'll take £75 that's my final offer."

In the short- to medium-term, I just want to see some stability, structure and strategy that makes the team progress – the past 6 years, bar the stadium, have been absurd.

Odd that they don't mention the new stadium though – why pass up an opportunity to give reassurances on this?

I think, because of all the negative press, they are trying to talk down concerns. Whilst it's true they chose to communicate, should they be successful, will they continue such dialogue?

Doesn't seem that way with other investments nor did it allay fears over actual investment with a reference to making the business pay for itself by cutting costs and increasing revenue.

All sounds very trite.

I hope everyone at the club takes them at face value and gives them a chance, I am looking forward to change.

Just typical to put out a letter to deflect from the reality we all seem to now know. We are practically if not completely skint.

No mention of the ground – will they have anything to do with it given MSP have put £120M in for the next phase? Is that the final phase or is there more and more money needed to complete the stadium?

I'm not financially savvy and don't understand the complicated issue of the type of finance to build a stadium but are there more investors being found? Will Moshiri put more in? Will MSP lend any more? Will 777 lend toward it or is that not part of their deal as yet?

I don't like the idea of these coming in – too much negativity outweighing any positives, is the club Just going to be another future asset to be stripped to pay other pieces of their pies? Rob Peter to pay Paul?

Kenwright is the poison at the club who has done nothing to push the club forward, as has been told on ToffeeWeb; he's incapable or running a bath, let alone a club. All he had done is to destroy its legacy and fill his fat face at the free buffet and fill his fat wallet with more than he needs. A total narcissist who deserves to be forgotten about once he's gone and the club thrives – with hopefully someone better than 777 Partners.

I might possibly be wrong, tiny chance, but it is unlikely and unrealistic to believe we will enjoy much in the way of equity funding. It's guesswork as to what our final level of debt will be but I can't see how it will be much if any less than £750m and possibly a fair bit more.

I think ultimately that debt will need re-structuring at some point in the future – it is close to being non-viable to service as things stand. With prevailing interest rates, I really struggle to see how the stadium can pay for itself. Debt repayment will be likely based around mortgaging future income streams and player sales.

It is not that debt financing of this type invariably fails. Whatever their shortcomings on the pitch, Man Utd pursued this model as we know, and it has been more than viable for the club and owners. Maybe less so for supporters, for whom relative failure has become the norm.

I agree with others about the pros and cons of the shared services model that 777 Partners espouse. Yes, there can be both economies of scale and cross learning. On the other hand, you do create a monopsony (a monopoly of supply) and like all such models, they can be expensive and inefficient.

Effort and accountability would be a good start, but a lot of things needs to fall into place for us to even begin thinking of a successful future. And I believe we are still, even now, a hair's breadth from administration, if the dice fall badly.

On the other, what is the option? Remain with Moshiri and Kenwright whilst Bill looks for another partner? We know how long that takes and suits his own ego and linked to his remaining ability to influence.

I don't know these people or their company. I am not naive enough to think that any investor isn't in it for a profit. Unless you get a state-owned buyer who treats it like a hobby. But even then, they make it profitable.

We've tried recklessly throwing money at the problem and it failed spectacularly. So maybe give these guys a go? After all, what are the options? I revert back to my above. We maintain the status quo? I think there is one individual who would be happy with that.

It is beyond my control.

Obviously without guarantee, this is likely to happen. They have attended the last two matches at Goodison, more than our absent Chairman in over 12 months. They have communicated more in two weeks than our present regime in 18 months other than to accuse us of being aggressive criminals. Something is clearly happening.

I'm past caring. I've got to get this irritating international break out of the way before we head across to the wrong side of L4.

Three wins in four. Let's make it a lucky forth in five. The blue boys are rising.

Exactly!! We are not in a position where we are choosing between 777 Partners and some bottomless pit-of-money billionaire! We are not in a position of choosing between the better of two evils either.

We have one interested party. We have one owner who's washed his hands of us now and left us lurching rudderless with no direction. What's the the alternative?

I've read loads about 777 Partners, I've taken in The Esk's opinion too, which is not favorable at all. We can have our reservations but, unless we've got £500M, there's only one bidder!

They may get us financially stable, get the ground finished and sell us on for a profit.
They may just be happy to have us stable in the leauge with no desire to invest heavily, or challenge for titles which needs investment and just be happy raking in the TV money that a Premier League club generates.

I agree the only (current) option is 777. There seems to be no other suitors (but we can't, in extremis, assume others won't emerge).

The Kenwright wait and see option is a non starter. If my reading is correct, we bleed money every month which needs replacing and BK cannot and won't do that. Wait and we will be in administration. Kenwright might move then but I think he would likely be outdid. Moshiri, who is ultimately still in control while he has not yet sold his shares, clearly has no interest in that scenario. He likely leaves with nothing in a fire sale.

Few clubs would ever have been in the dysfunctional state we are now in. We have an owner who wants out at nearly any cost, minimising it to himself, but otherwise couldn't care less. A group which hasn't even bought us yet resorting to sending letters to us to explain themselves while seemingly providing monthly working capital on terms undisclosed. And a silent chairman and and a board that clearly isn't really a board. How Dyche operates in such chaos is beyond me, assuming you think he does operate. Maybe on an Alamo/backs against the wall pyschology?

My thinking is 777 are gambling on a positive outcome, getting in while the price would be lower, giving credit to the club to have a say in how its sold.

We are well beyond the wallet of BK now. We were when he sold us.

My hope is that other investors are waiting to show their hand, and are not overly concerned by 777 as they seem to be struggling to finance the whole investment needed.

We can only hope that 777 if they eventually take control, do have at least show an intrest, unlike the current owner & Chairman.

My thinking is 777 are gambling on a positive outcome, getting in while the price would be lower, giving credit to the club to have a say in how its sold.

We are well beyond the wallet of BK now. We were when he sold us.

My hope is that other investors are waiting to show their hand, and are not overly concerned by 777 as they seem to be struggling to finance the whole investment needed.

We can only hope that 777 if they eventually take control, do have at least show an intrest, unlike the current owner & Chairman.

I also found the Ball reference crass. But they made similar disingenuous remarks when they “bought” but failed to pay for their other clubs. The noticeably quiet David Prentice probably slipped them that line thinking we are all mugs. Then again even this site was full of Kenwright enabled until very recently so maybe it will work.

777 Partners have an estimated net worth of $12B (£9.63B); their estimated annual revenue is currently $95.1M (£76.6M) per year.

The company's reported net worth would place them as fifth-richest owners in the Premier League should their takeover of Everton go through.

Newcastle Utd: $620 billion
Man City: $22 billion
Chelsea: $15.8 billion
Arsenal: $12.9 billion
Aston Villa: $11.9 billion

Pay Kenwright his supposed £20 million golden handshake and we will still have a bob left to spend.

I imagine our owners will want to make us sustainable. Cut waste, not over invest. Be secure in this league. Investing more and more doesn't really improve revenue given the fairly equitable split of TV money in the Premier League.

Honestly, how can I even be mad at that? It's completely unambitious but they might be the only way this club gets a reset.

In a couple of years we could be a premier league team with a new riverfront stadium. That's about the extent of my short term ambition nowadays.

Longer term, well who knows. But the current model has no long term prospects.

You can't compare the wealth of the Saudis and Emiratis owning Newcastle Utd and Man City with 777. That's their money, the families, The Saudis and Al Nayhan 'own' the countries and the oil wealth.

777 is basically a private equity fund with loads of different people's money invested. That is what comes to £12bn or whatever it is, but it is mostly fully invested, in stuff like airlines, insurance companies and a load else. I suggest they would have to raise new capital for the Everton bid, in fact I'm near certain they have to and have almost certainly done so.

Josh Wander is personally worth about £10-15 million. He's rich but personally, not as rich as even Kenwright.

So I suppose, given their business model and with our current owner wanting out, they will get the club at the price they want and will have a £750M stadium asset on their books.

It doesn't matter that Newcastle are owned by a country, they can only spend within Premier League limits.

I'll take it instead of being regarded as paupers.

“777 would have broken every bone in our bodies for our other clubs we have our fingers in, but we will die for Everton.” 🤷

It's true that P$S rules bind every club, though you do get a bit more leniency with equity funding. Plus you can use 'partners' to expand your budget. For example, Etihad with City whose sponsorship costs, at least what City claimed in their books, was in excess of their total worldwide marketing budget at the time.

Bear in mind until Ukraine, we enjoyed a similar latitude, so perhaps should be careful of criticising. Hence, Usmanov could offer £30m not for the naming rights for the stadium, but just to have first call on it. And that for a company, USM, that has near zero gain from UK sponsorship. At least Etihad could claim some gain given their flight scheduling.

I wonder if Alisher ever gets that £30m back???

For those who have info on their wealth, why are they defaulting on payments? Let's hope it gets blocked.