Stefan Borson: Everton could land points deduction boost after '£650m' Friedkin reveal

Everton could be in a much better profit and sustainability (PSR) position if Dan Friedkin puts money into the club as equity.

That is the view of finance expert Stefan Borson, who exclusively told Football Insider the American billionaire has taken on about £650million worth of debt after purchasing the Merseyside giants.

Football Insider revealed on 12 November The Friedkin Group (TFG) was on course to complete its takeover by the end of December.

Everton confirmed on 19 December the deal has now been completed at Goodison Park after receiving approval from the Premier League.

Friedkin, who also owns Roma, has acquired a 99.5 per cent stake in the club after bringing to an end Farhad Moshiri’s eight-year spell on Merseyside.

Everton were deducted eight points overall last season after being charged with two separate PSR breaches.

Everton third-party debt would impact PSR situation

Borson suggested the new owners understand they would be limited in terms of PSR if the club were to have a lot of third-party debt.

He told Football Insider: “The Friedkin’s have taken on about £650million of debt, but we don’t know yet how that will be structured.

“Everton should be relatively relaxed because I think these guys understand that they are quite limited in what they can do in respect of PSR if they have got a load of third-party debt on the club itself.

“As we know, if it’s a shareholder loan now, it’s got to be charged at a commercial rate.

“You are talking the commercial rate probably being over 10 per cent, so ordinarily the £650million would be £65million a year on their PSR calculation.

“The Friedkin’s know that they have got to do something with that.

“They can’t deal with that sort of debt, so they will probably have it hived off into another part of their empire and put the money into Everton presumably in the form of equity.

“That is easier because they will be the 100 per cent shareholder.

“If all the money goes in as equity into Everton and there is no debt actually on the football club, then that’s going to put them in a much better position from a PSR perspective.”

In other news, Monaco set sights on signing Dominic Calvert-Lewin.

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