Ahead of the Game: Rangers’ US takeover could hinge on EFL talks
Rangers’ takeover by US investors could depend on talks between EFL clubs about loosening regulations which prevent the dual ownership of clubs in different competitions – including the Premier League and Scottish Premier League – at their divisional meetings this week.
No vote will take place as the issue is not a formal agenda item, but the discussions could have significant implications for the future of Rangers – the subject of a 51 per cent takeover bid from a group of American investors which includes Leeds United chairman Paraag Marathe.
Under existing rules the EFL would block the Rangers takeover if Leeds remain in the Championship next season, which remains possible despite Daniel Farke’s side moving five points clear at the top with a stirring 3-1 comeback victory over second-placed Sheffield United on Monday evening.
With more owners seeking to pursue a multi-club model however, club executives will discuss the issue this week with a view to putting it to a vote at their AGM in the summer if there is a groundswell of opinion favouring a change.
The Premier League’s rules are less restrictive, and Marathe’s proposed involvement in the Rangers takeover will be approved if Leeds are promoted.
In a similar deal Bournemouth owner Bill Foley bought a 25 per cent stake in SPL club Hibernian through his Black Knight investment group last year, which would have been prevented had the Cherries not been promoted to the Premier League the previous season.
Top clubs shun Premier League US series
The Premier League is struggling to get top clubs to sign up for their pre-season Summer Series tournament in the US, due to concerns among the Big Six that American fans may have football fatigue following the Club World Cup.
Manchester City and Chelsea will compete in the first 32-team Club World Cup as recent Champions League winners, so have no intention of returning to the States for pre-season, while Arsenal, Liverpool and Tottenham Hotspur have all signalled their intentions to travel to Asia this summer.
Manchester United have expressed an interest in taking part, and are in advanced talks with organisers Relevent Sports along with Everton, West Ham United and Bournemouth, but the expected absence of the biggest clubs is a slight concern for the Premier League.
After launching the Summer Series in 2023 the Premier League was forced to abandon plans for a second edition last summer after broadcast rights partner NBC made it clear it did not want a pre-season tournament to clash with their coverage of the Copa America and Olympics.
Chelsea, Newcastle, Aston Villa, Brighton, Brentford and Fulham all took part in the 2023 Summer Series and the Premier League still needs two more clubs to complete this year’s line-up.
New Jersey, Atlanta and Chicago have been lined up as host venues in a possible gamble from Relevent as the first two cities are also staging Club World Cup matches.
Eagle Football bidders eyed Hundred deal
Investment company Sportsbank, which is in exclusive talks over purchasing a £230m stake in John Textor’s Eagle Football that could give them a seat on the board at Crystal Palace, is continuing to pursue other opportunities in the sports sector.
City PM has learned that Sportsbank, a group of investors from the UAE and North America, approached Hampshire about taking part in the Hundred auction and buying into Southern Brave, although their interest did not progress.
Southern Brave were ultimately bought by Delhi Capitals part-owners GMR Group in a deal that valued the franchise at £98m.
Lender role clouds latest Reading bid
The protracted sale of Reading appears set to rumble on despite the club’s statement expressing hope for a “quick completion” after entering exclusive negotiations with Robert Platek, an American private equity investor.
In addition to the complexity of Reading’s existing ownership and money owed to previous bidders, Platek’s position as Head of Global Credit at BDT & MSD Partners could become an issue for the EFL.
MSD has lent heavily to EFL clubs including Sunderland, West Brom, Derby and Burnley, leading to concerns over a potential conflict of interest.
RFL in spotlight over safeguarding resignation
The Rugby Football League’s head of safeguarding has resigned following allegations of misconduct in a development that will raise further questions over the sport’s governance and leadership.
The departure of safeguarding manager Kerry Simmons follows criticism of the RFL’s failure to prevent Salford Red Devils fielding a reserve team who were thrashed 82-0 by St Helens in their first game of the season a fortnight ago, and a power struggle at board level that has seen chair Simon Johnson offer to stand down prematurely.
Simmons was suspended in September after the RFL received a complaint from a whistleblower containing multiple allegations of misconduct.
Following a five-month investigation Simmons left the governing body earlier this month, although the circumstances surrounding her departure are unclear. The RFL declined to comment.
The RFL is still investigating Salford’s team selection against St Helens and could charge them with bringing the sport into disrepute.
Due to salary-cap restrictions the Red Devils were denied the use of several senior players for the match, but coach Paul Rowley omitted a number of experienced players who were available and St Helens ran in 15 tries to secure the biggest winning margin in Super League history.
A number of other Super League clubs have complained, saying Salford’s team selection damaged the integrity of the competition.
Johnson’s offer to resign follows a club revolt led by Leigh Leopards owner Derek Beaumont, but may not be enough as the rebels want a vote of no confidence in his leadership to be held at the next meeting of the RFL Council on 12 March.
In addition to general unhappiness at the direction of the clubs’ strategic partnership with IMG, the RFL’s handling of the Salford situation and internal disciplinary matters including that involving Simmons are believed to have triggered the backlash.