Premier League move back decision on USM naming rights deal

Friday, 10 April, 2020 42comments  |  Jump to last

The Premier League's assessment of Everton's naming rights deal with USM Holdings has reportedly been delayed and a decision won't now be reached until the end of June.

According to a report by the Daily Mail, the League have postponed their investigation into the deal struck by Everton whereby USM, the company owned by Uzbek billionaire Alisher Usmanov, paid £30m for first rights on a primary sponsorship of the club's proposed stadium at Bramley-Moore Dock.

The delay is due to “resources being stretched” by the ongoing coronavirus pandemic but Everton were said to be confident that the arrangement with USM, who already sponsor the club's Finch Farm training complex, meets the Premier League's requirements and falls in line with other naming rights deals of the same type.

Everton submitted a planning application for a new 52,000+ stadium on Liverpool's derelict north docks and expect a decision from Liverpool City Council by the end of the summer.

All being well, the first spade is anticipated to go into the ground later this year with a target opening of the Bramley-Moore Dock stadium in 2023.

 

Reader Comments (42)

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Patrick McFarlane
1 Posted 11/04/2020 at 00:05:51
It seems the Daily Mail don't approve of the proposed deal judging by a couple of paragraphs in the report.

Sportsmail revealed in January that the Premier League were investigating the extraordinary deal in which Usmanov's holding company, USM, will pay £30million for the option to buy naming rights for a ground that will not open until 2023 at the earliest on a site where building work has yet to begin.

The Premier League are seeking to establish if Everton's sale of a future naming-rights option for an unbuilt stadium, which would represent a first in UK sport, for £30m represents fair market value.

Executives at rival clubs raised eyebrows at the deal when it was announced in January, questioning its value and whether Usmanov could be considered independent, leading to private claims that the cash injection was an attempt to help Everton comply with the Premier League's profit and sustainability rules.

Premier League Rule E.54 states that any commercial deal 'arising from a related party transaction' must be 'recorded in the club's annual accounts at a fair market value'.

Patrick McFarlane
2 Posted 11/04/2020 at 02:02:44
Perhaps the Mail didn't like this?

A Russian tycoon and the other shareholders of his holding company USM have donated RUB2bn ($26mn) to help in the fight against the coronavirus (COVID-19) epidemic in Russia, the company said in a press release on April 6.


USM

Derek Thomas
3 Posted 11/04/2020 at 04:21:11
Media in - 'We'll print any story that shows Everton in a poor light' - shocker.
Simon Smith
4 Posted 11/04/2020 at 06:51:32
Spot on, Derek.
Alan J Thompson
5 Posted 11/04/2020 at 06:55:41
Have they got nothing better to do!
Football could be in a financial hole as they cannot meet their end of the TV contract, seem to have few other revenue streams and the EPL are falling over themselves trying to find a way to complete a season even with hundreds dying every day.

If the poor souls are so overworked then they need only announce that there can be no further action planned, never mind undertaken, until the Government gives the all clear for life to return to normal.

Next I'll need planning permission to display the name of my house.

Colin Glassar
6 Posted 11/04/2020 at 07:49:51
If fat Martin Samuel has anything to do with it, we'll never have a stadium or be able to have players on loan. His dislike of EFC is old and unending.
Bob Parrington
7 Posted 11/04/2020 at 08:08:02
Go mind their own fucking business! Jealous pricks!
Jerome Shields
8 Posted 11/04/2020 at 08:09:54
At the time that the deal was announced at the AGM, it was reported that other Premier League Clubs had raised concerns with the Premier League regarding the deal. This report seems to confirm that the Premier League is in the process of investigating the USM deal on Stadium naming rights as a result, if true.

The AGM was a bit of a shambles, but I can't see why Everton should be singled out for investigation at the request of other Premier League clubs. The only possible unknown is the extent of Usmanov involvement in Everton and whether it constitutes an ownership interest, breaking an ownership rule. Hopefully all the t's were crossed and i's dotted. The FA haven't been favourable to Everton in the past.

Bill will have to earn his corn because, in my opinion, he is in situ to deal with governing bodies.

Brian Williams
9 Posted 11/04/2020 at 09:11:29
I believe that this is sensationalist, disingenuous reporting.

I also believe there is no "investigation" as such, just a delay in accepting or rejecting Everton's deal.

Every deal will come under a certain amount of scrutiny to check it complies with the rules. This one is no different apart from the fact that some journo prick wants something to write about to justify his salary because there's fuck all going on in football at the moment.

Tony Abrahams
11 Posted 11/04/2020 at 09:35:22
It says Everton are confident but, if I was Usmanov, I'd reduce the terms in the sponsorship deal, leaving Everton to sue the Premier League for not accepting the deal right away, and therefore costing our club a lot of money.

Money is going to be scarce but, with a super-accountant in charge of proceedings for his super-rich boss, then I'm taking the positive side, and although we know the press won't like it one bit, we need to start finding a bit of fight to help put these one-sided reporters in their place!

Steve Carse
12 Posted 11/04/2020 at 09:42:28
'Executives at rival clubs raised eyebrows at the deal when it was announced in January, questioning its value and whether Usmanov could be considered independent, leading to private claims that the cash injection was an attempt to help Everton comply with the Premier League's profit and sustainability rules.'

Which circles was Samuel a party to? With what other deals were the 'executives' comparing 'value'? What was the criteria being used to judge Usmanov's independence? Why use the word 'private' in the claim that the finance was to assist Everton under the League's profit and sustainabiity rules?

We all know that most big deals in English football attract 'raised eyebrows'. Doubtless it is one subject among many that people in the game would look upon with interest. But what we have here is simply a journalist expressing his own opinion but without the bravery to word it as such.

Derek Thomas
13 Posted 11/04/2020 at 09:46:16
Brian @ 9; Everything is delayed with this virus. 2020 will be the 'year that never was' and it won't suddenly restart again next February, fullspeed ahead, like it never happened.

All the Mail have done is taken the blindingly obvious delay and turned it into fake news to fill column inches – par for the course with the media, if there's no 'new' news – and there isn't. Let's face it, there's only one story at the moment. Make it up.

Johnny Rainford
14 Posted 11/04/2020 at 09:48:44
Spot on, Tony. The vibe is pretty clear. There are a lot of interested parties from the Premier League establishment down through the media to the fans who are shitting themselves re Everton's potential financial clout and we need to be reminded of our "place".

The comments from the gobshites on the article are hilarious. Even more so because I didn't think the average gobshite had the IQ to read a paper like the Daily Mail.

Dennis Stevens
15 Posted 11/04/2020 at 10:27:42
Quite right too! The last thing football needs at the moment is for clubs to be finding ways of bringing extra funding to the table.
Philip Bunting
16 Posted 11/04/2020 at 10:39:57
Why don't they investigate shirt sponsorship then?

They say they are investigating naming rights based on market value at the minute. Well, Liverpool, Man City, Man Utd, Chelsea can all go and sign ١M to 㿔M per year deals for shirt sponsorship leaving other clubs, eg, Norwich, for instance, on maybe ١M to ٢M per year estimate. How is that fair then?

When it suits the big clubs that's why, when a club comes along to threaten the top 6 cartel, a rule book comes out. Screw that... press on, Everton – forget the cartel

Derek Thomas
17 Posted 11/04/2020 at 10:50:48
Philip @ 16; Not that I feel we are in any way bullet proof on this, but the bigger the big 6 are the more they spend and the more they have to lose.
Brian Harrison
18 Posted 11/04/2020 at 11:15:39
I think, when we can finally come out of this uncertain time, both the Premier League and Sky will have more to worry about than whether Usmanov's offer contravenes any rules. Many Premier League clubs may be in serious financial trouble when football returns. Burnley are just one club who say they will run out of money in August and I am sure there will be quite a few more clubs in a similar position.

There are many clubs who have players out of contract in June, and I can't see too many clubs wanting to carry on paying these players after June. They probably won't get anyone offering them a new contract till the season starts again, and as yet nothing has been said about what the leagues plan to do over the transfer window. As it stands now, it would normally open in a couple of weeks and close in August; I can't see that happening at present.

When they do finally open the window, what clubs will have funds to make transfers happen? And even for the ones who have, will selling clubs have to accept massively lower prices, as this will be a very different market when it does open?

Finally to Sky: there has been speculation that they may refuse to pay the 𧾦 million owed to the Premier League clubs if they don't fulfill this season's fixtures. If that happened, then many more clubs would go to the wall and therefore Sky would be cutting its own throat. There has been talk of increasing the number of games that Sky could show live, which may placate Sky and stop them refusing to pay the 𧾦 million.

But, for a while now, the clubs with a worldwide fanbase have long argued that they should get a bigger slice of the cake than they do at present, and would push for a similar TV deal that both Barcelona and Real Madrid get, which is were they get millions more than the other Spanish clubs.

I believe that both Man Utd and Liverpool could make much more from selling their matches live rather than be tied up to any Sky deal. How many other clubs in the Premier League would benefit from something similar, I am not sure. But I could imagine Man City, Chelsea and maybe Arsenal may also consider it being more lucrative to them than being in a deal with Sky.

Ian Bennett
19 Posted 11/04/2020 at 11:29:34
Tony 11 - that's pretty cute, I love it.
Jeff Spiers
20 Posted 11/04/2020 at 12:10:33
Fuck-all else to worry about. Pricks.
Paul Hewitt
21 Posted 11/04/2020 at 12:46:59
Maybe finally Premier League clubs, and football clubs around Europe, will realise that they have been over-spending for years. Stop spending tens of millions on transfers, and absolutely ridiculous wages.
Mike Benjamin
22 Posted 11/04/2020 at 12:49:11
No worries because, by the time June comes along, the Premier League will be glad of any additional monies that come along. The sponsorship will come in by another source if necessary, like through the shirts.
Dan Parker
23 Posted 11/04/2020 at 13:03:10
The TV monies owed if the season isn't finished could be tagged onto the end of the current TV rights deal in the form of additional games into the following season. Gives Sky compensation for the loss and provides clubs time to address their finances.
Dave Williams
24 Posted 11/04/2020 at 13:23:17
The only way clubs will survive this crisis will be if wealthy benefactors inject large sums of cash. Sky will suffer a drop in revenue as subscriptions will be cancelled by people who need to make sacrifices to pay more important bills and will be less likely to help anyone.

Could be time for FFP to be scrapped?

Niall McIlhone
25 Posted 11/04/2020 at 15:01:39
You only have to go on the football Premier League section of the Daily Mail sport section to see that that paper is obsessed with all things “Sky six” and, in particular, Man Utd. I would speculate there have been more articles about Paul Pogba than there have about Everton in the past 6 months.

As you say Dave #24, we will see a different financial picture when we emerge from the current crisis, and as for Everton, one can only hope that the BMD project keeps its momentum. I am fairly sure Mr Ancelotti will get us sorted on the playing side, given time and perseverance.

Tony Everan
26 Posted 11/04/2020 at 16:05:04
''Executives of other top clubs'' are shitting water with the prospect of Everton becoming a real and present danger to them. They will try all avenues to protect the status quo and their Champions League revenue streams provided by the cartel they are party to. Like Man City, we will probably have to fight them in court at some stage too.
Hugh Jenkins
27 Posted 11/04/2020 at 17:09:37
Dave 24 - for Everton, now, with Moshri (and possibly Usmanov), that would be a Godsend.

What price "Liverpool for Sale" if the TV money dries up?

Tony Abrahams
28 Posted 11/04/2020 at 18:09:03
That's not likely to happen right across the board, Hugh, especially when you read Brian's last paragraph @18, which makes a whole lot of sense.

Maybe money being scarce, the big guns across Europe might be looking at how they can generate more for themselves? It's uncertain times, and who knows what the future is going to hold now.

Tony Shelby
29 Posted 11/04/2020 at 18:56:19
Don't know about you lot but I'm dying to watch some live sport. Tiddly-winks or anything!

This totally sums it up. I was pissing meself by the end!

Link

Steavey Buckley
30 Posted 11/04/2020 at 20:47:53
The UK needs all the investment it can get hold of with the economy now in a recession heading for a depression. So, if the FA blocks the USM investment in the new stadium, it will damage both the economy of Merseyside and Everton FC at a very bad time.
Brian Wilkinson
32 Posted 11/04/2020 at 21:40:54
I do not think we have anything to worry about; Moshiri is a trained accountant so would have gone through all of this. Anything to do with Everton and they are on it like a dog on a bone.

Yet no problems other clubs having large shirt sponsors, or buying cheap houses and forcing people out of their home, to expand their stadium.

It is a good job we are looking to make use of the hydraulic tower, because god forbid had we not included it in our plans, they would have been onto Everton in a flash.

Everything Everton have done towards the new stadium, and the plans for The Goodison legacy is top class.

All thought out, great use of L4 when we leave, brilliant work by EitC, everything done with no inconvenience to anyone, a great future creating jobs, redeveloping the area by Bramley-Moore Dock and leaving behind plans to not leave a wasteland or a supermarket there.

They should be patting Everton on the back, but no they have to scrutinise anything that involves Everton, and I am not just talking about the sponsorship.

Rob Young
33 Posted 11/04/2020 at 23:50:33
When approved, can we then announce USM as our new shirt sponsor for a whole fucking lot of dosh?
Paul Birmingham
34 Posted 11/04/2020 at 23:56:49
The reality is, there's a few RS who are so-titled football sports journalists in the media.

Everton have followed all rules in planning and application processes, but the pathetic RS hangers-on will always try and pollute the real world, as the RS Neroistic bosses, showed last week.

EFC has class, and The RS will never catch us up, and that's the difference that can't be bought, nor believed.

EFC, we can turn this global transcend, in these dire times for the World, into our biggest victory.

Ian Linn
35 Posted 12/04/2020 at 03:05:23
What a load of bollocks. Resources being stretched by the Coronavirus pandemic – one would think that, because there's been no actual football for the last 4 weeks, there would be more time than ever.
Alan J Thompson
36 Posted 12/04/2020 at 04:22:25
Ian (#35); And as other sports are asking, how many Administrators does it take to run a competition of 20 teams?
Lee Jamieson
37 Posted 12/04/2020 at 13:24:46
The fact that Usmanov is not an owner is making a mockery of the fair play rules. The Premier League and Uefa are powerless to prevent a person giving money away. Moshiri knows what he is doing.
Bobby Mallon
38 Posted 12/04/2020 at 13:34:03
Who will be Everton's new shirt sponsor?
Derek Thomas
39 Posted 12/04/2020 at 14:39:21
Alan J. @ 36; As many as you have the money to pay for? – other people's money of course, goes without saying.
Alex Kociuba
41 Posted 13/04/2020 at 15:51:56
The shirt sponsor is rumoured to be MegaFon or NEC (who supply electronics and AI to MegaFon).
Tony Abrahams
42 Posted 13/04/2020 at 15:55:35
Remember when NEC used to sponsor us, and the slogan used to say, “Like 91 other league clubs, we are behind Everton.”
Patrick McFarlane
43 Posted 15/04/2020 at 00:13:38
Very curious article in the Echo relating to how Moshiri ranks amongst other Premier League owners as Newcastle United are apparently going to be taken over by Saudia Arabia consortium. This news has nothing to do with Everton FC yet the Echo seemed to have lifted it from Newcastle Chronicle and put their own particular spin on it. We have a relative pauper in charge and should know our place?

Top five richest Premier League owners and where Everton's Farhad Moshiri ranks

Eric Myles
44 Posted 15/04/2020 at 02:47:34
Typical shit reporting by the Redshite Echo

"The 64-year-old bought into Everton in February 2016 when he took a 49.9 percent slice of the Blues but that was upped to 68.6% in September of last year.

Then, in June of last year, Moshiri increased in stake in Everton to 77.2 percent."

Peter Neilson
45 Posted 23/04/2020 at 10:41:13
The Premier League should be focusing on the Saudi takeover of Newcastle as they put it through their fit and proper person test. Foregone conclusion that in their moral vacuum it will be waved through.

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