English Premier League soccer club Everton have announced the departures of multiple senior board members as they prepare to conclude a deal with US-based sports investment group MSP Sports Capital.
Chief executive Denise Barrett-Baxendale, chief finance and strategy officer Grant Ingles, and non-executive director Graeme Sharp have left their roles with the team.
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Everton said the trio “have worked tirelessly over recent months to assist with the preparation for a transition to a new board.”
The Merseyside club will also issue a statement about interim appointments and the future of chairman Bill Kenwright – who is also expected to leave – “in the next 48 hours.”
It was recently reported that Everton have reached an exclusivity agreement with MSP Sports Capital over a funding deal.
MSP is understood to be seeking a 25% stake with a preferential share structure, not equity in the club, so would be paid back in interest.
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By GlobalDataThe move by Everton indicates that an agreement is imminent as the US firm is likely to look for representation on the board as part of a minority investment in the club.
The departing directors said: “We have all been fully committed during our time here and are disappointed to have made the decision to leave Everton.
“We have worked tirelessly alongside our chairman in what has been a challenging period to deliver some of the most significant projects in Everton’s history – projects that will safeguard and sustain the commercial future of the club for generations to come.
“We are proud of the commercial growth projects progressed during our time on the board, including the construction of the club’s new waterfront stadium. This construction project – the largest currently on site in the UK – is progressing at pace.
“The club’s partnership portfolio has also been increased and diversified, reflected in record commercial partnerships and the expansion of our work internationally.”
Everton require funding for their new stadium being built on Bramley-Moore Dock. It was initially under construction at a cost of at least £550 million ($691 million), but that has increased to about £760 million.
MSP appears to have moved ahead of rival group 777 Partners despite recent reports that the latter was named as the preferred bidder for an outright takeover of the club.
777 was given access to the team’s financial accounts but has not been prepared to pay a 'significant' price due to the debt on the balance sheet, which stood at £141.7 million in the latest accounts.
Everton posted financial losses for a fifth successive year, with their losses totaling more than £430 million over that period.
In January, Everton owner Farhad Moshiri denied he had put the club up for sale and insisted he remained committed to the project. However, he did admit he was talking to "top investors of real quality."
Moshiri, who owns a 94% stake, has pumped more than £750 million into the Premier League outfit but a large section of the club’s fans are unhappy with his ownership.
The British-Iranian businessman and his fellow board members did not attend home matches at Goodison Park in the latter portion of the season because of unrest among the fans and concerns over their safety as the club battled relegation for a second consecutive year and narrowly avoided the drop on the final day of the 2022-23 season.
Throughout the season, supporters called for the board to resign.
MSP has made several significant sports investments in recent years, acquiring a minority stake in the McLaren Racing Formula 1 motor racing team in 2020 and a majority interest in action sports series X Games.
Meanwhile, court records have revealed that former Everton manager Carlo Ancelotti is suing the club at the High Court.
The claim relates to "general commercial contracts and arrangements”, but the listing provides no further details.
The 64-year-old Italian, now at Real Madrid, managed Everton between December 2019 and June 2021 before leaving to rejoin the Spanish giants for a second stint.
