+- Sports Babble - sports forum (https://www.sportsbabble.co.uk)
+-- Forum: Football (https://www.sportsbabble.co.uk/forumdisplay.php?fid=1)
+--- Forum: English Football Leagues (https://www.sportsbabble.co.uk/forumdisplay.php?fid=2)
+---- Forum: Sky Bet Championship (https://www.sportsbabble.co.uk/forumdisplay.php?fid=49)
+----- Forum: Derby County (https://www.sportsbabble.co.uk/forumdisplay.php?fid=56)
+----- Thread: On the way to another points deduction? (/showthread.php?tid=11431)
On the way to another points deduction? - themaclad - 08-06-2022
He never had money, total wide boy, word is Rooney paid the wages last month
Chris Kirchner's attempt to buy financially stricken club Derby County is in danger of collapsing, despite the American insisting the takeover will happen.
The businessman was named as preferred bidder to take the club out of administration on 6 April.
BBC Sport has been told Kirchner expects the deal to be done today.
BBC Radio Derby reports that funds promised by the 34-year-old to pay the Rams' wages for May have not arrived.
Those wages are understood to have been paid by someone else close to the club.
The English Football League conditionally approved the takeover when contracts for the sale of the club had been exchanged on 17 May.
At the time, the EFL said "the terms of a Membership Agreement" had been agreed with the American's 9CK Sports Holdings Limited company to allow the sale of the club.
Derby's administrators Quantuma had said the takeover was conditional on the sale of Derby's Pride Park home ground, which is still owned by former majority shareholder Mel Morris.
Meetings between Kirchner, his representatives, Morris and Derby City Council, who have said they were exploring options to buy the ground, have failed to resolve the issue.
Derby, the EFL and Quantuma are yet to comment on the latest developments.
Report
If the deal does fall through, it will be the second time an attempt by Kirchner to buy the club has failed.
An initial bid was withdrawn in December before the American revived his interest in April after an attempt to buy Derby's then-Championship rivals Preston North End collapsed just days earlier.
It is understood that former Newcastle United owner Mike Ashley, whose company Sports Direct is based in Derbyshire, has remained interested in buying the Rams throughout.
Delays in selling Derby plunges the club's immediate future into serious doubt, with the Rams facing their first season in England's third division since 1986 after Wayne Rooney's side were relegated from the Championship at the end of the 2021-22 campaign.
Restrictions placed on the club while in administration has left manager Rooney unable to sign new players, nor able to offer fresh deals to those he already has.
Just five first-team players - Krystian Bielik, Max Bird, Jason Knight, Louie Sibley and Jack Stretton - have contracts for next season.
Rooney, England and Manchester United's all-time leading goalscorer, has previously said that his own future at the club was dependent on the prompt sale of the club at the end of the season.
How did Derby get into this situation?
2 April 2019: Derby report a pre-tax profit of £14.6m - the club's first in 10 years - but only after selling their Pride Park stadium to owner Mel Morris for £80m.
27 May 2019: Derby are beaten 2-1 by Aston Villa in the Championship play-off final, a game described by sports finance expert Dr Rob Wilson as "last roll of the dice sort of stuff" for both sides.
16 January 2020: Derby charged by EFL for a breach of spending rules, relating to losses in the three years up to June 2018. The charges are dismissed in August.
7 September 2020: EFL appeals against the decision to clear Derby of breaching spending rules, particularly with regard to how the Rams measured the value of players.
17 March 2021: Morris calls off proposed sale of Derby to Derventio Holdings, owned by the Bin Zayed Group, four-and-a-half months after talks had begun.
8 May 2021: Derby avoid relegation from the Championship on the final day of the season, with a draw against Sheffield Wednesday. Wycombe go down by a point.
14 May 2021: Proposed takeover by Spaniard Erik Alonso is called off.
24 June 2021: Derby are fined £100,000 over some of their accounting polices, with the EFL developing an interchangeable fixture list in the Championship for the Rams and Wycombe pending any appeal about the punishment.
22 September 2021: Derby are placed into administration, triggering a 12-point deduction by the EFL.
16 November 2021: Derby are docked a further nine points for breaches of EFL accounting rules.
24 December 2021: US businessman Chris Kirchner withdraws his interest in taking over Derby, having first declared his interest in October.
27 January 2022: A deadline to show how Derby will be funded is extended by a month by the EFL, a week after the league had demanded that administrators Quantuma provide proof.
30 January 2022: Fans hold a protest march to try to help force the sale of the club.
11 February: Derby and Middlesbrough reach a "resolution" over a compensation claim brought against the Rams which had complicated takeover attempts.
3 March 2022: Administrators provide forecasts showing "sufficient cash" is available to finish the season.
10 March 2022: The US-based Binnie family end takeover discussions after submitting an offer for the club in January.
1 April 2022: Rooney admits his future as Rams boss in uncertain as administrators are further delayed in efforts to name a preferred bidder.
6 April 2022: Kirchner is confirmed as preferred bidder after reviving interest in the club just days earlier.
18 April 2022: Derby are consigned to play in England third tier for the first time since 1986 next season after defeat by QPR seals their Championship relegation.
5 May 2022: The EFL single out issues with buying Pride Park from Derby's former owner Mel Morris as a "hurdle" in Kirchner's attempted takeover.
9 May 2022: Kirchner's period of exclusivity as preferred bidder to buy the Rams is extended to allow extra time to complete the deal.
17 May 2022: Derby's administrators exchange contracts for the sale of the club with Kirchner. The sale is targeted for 31 May or before.
RE: On the way to another points deduction? - themaclad - 10-06-2022
Businessman Chris Kirchner has failed to meet a deadline to prove he has the funds to complete a takeover of Derby County, administrators have confirmed.
The Rams have been in administration since September 2021 and Kirchner was named as preferred bidder on 6 April.
Friday's 17:00 BST deadline has now passed and the administrators are talking to "other interested parties".
"No interested party has been excluded from these discussions," administrators Quantuma said in a statement.
Quantuma reached a sale and purchase agreement with Kirchner on 16 May, but despite providing proof of funding to the English Football League and passing the governing body's Owners & Directors' Test, he has not transferred the funds that would allow the deal to be completed.
Former Newcastle United owner Mike Ashley is among the interested parties who could now attempt to buy the embattled club.
Other local businessman have been meeting this week to come up with a contingency and lifelong Derby fan David Clowes, who has struck a deal to buy the club's Pride Park stadium, is also a potential owner.
However, there is no guarantee any of them would be willing to agree to the same deal put in place for Texas-based Kirchner.
He has remained silent over the deal for the best part of a week, but sources close to him still believe it will eventually reach a successful conclusion.
RE: On the way to another points deduction? - themaclad - 14-06-2022
So the American wideboy withdraws his bid
Chris Kirchner has withdrawn his bid to buy League One side Derby County.
BBC Sport has been told Kirchner took the decision due to the difficulty he has had transferring funds to the UK.
Derby's administrators had given the American a deadline of 10 June to complete the deal and are now talking to other parties to find a buyer.
The Rams, managed by Wayne Rooney, were deducted 21 points during last season, finishing 23rd in the Championship to drop down to League One for 2022-23.
Derby have been in administration since September 2021 and Kirchner was named as preferred bidder on 6 April and granted exclusivity over the process.
Contracts were exchanged last month, but delays were encountered over completing the takeover, which was initially due to be done by 31 May. He then failed to meet Friday's deadline. set by administrators Quantuma.
Despite providing proof and sufficiency of funding to the English Football League and passing the governing body's owners & directors' test, Texas-based Kirchner was not able to conclude a deal with administrators.
A spokesperson on behalf of the joint administrators of the club said: "We're aware some will be concerned by this news, however, the joint administrators wish to reassure the club's staff, players and supporters they are continuing to actively engage with a growing number of interested parties, each of whom have a real willingness to complete a deal as soon as possible."
Former Newcastle United owner Mike Ashley is among those interested in buying Derby, who were English top-flight champions twice in the 1970s, European Cup semi-finalists in 1972-73 and last played in the Premier League in the 2007-08 season.
On Sunday, the EFL said it would become closely involved in the sale of the Rams in order to secure their future in the league.
Conditions suspending Derby's expulsion from the league, imposed when they went into administration, have been changed.
The EFL now wants to be informed of all discussions between Quantuma and potential bidders.
In a statement, the league said it was "increasingly concerned" the delays presented "a real risk to the integrity of next season's competition", with the EFL fixtures being released in less than a fortnight.
Confirming it had received notification of Kirchner's withdrawal, the EFL said on Monday evening it "reiterates its commitment, made over the weekend, to work proactively alongside the administrators of the club as they continue to engage with a number of interested parties, so that the objective of concluding a sale is achieved at the earliest possible opportunity."
'It could be a blessing in disguise' - analysis
Ed Dawes, BBC Radio Derby
"It's another blow for the Rams' fans, who really have had such a tough time since September and social media is reflecting that.
"They're really cross that this has wasted so much time, considering the start of the season is just around the corner (30 July).
"But it could be a blessing in disguise because this process has been going on for a such a long time.
"On 17 May Chris Kirchner declared he would be the next owner of Derby County. Since then he's failed to provide the funds to close that deal. Deadlines have come and gone with excuses.
"As far as I understand, there are six to eight other bidders who are happy to put forward bids for the football club. I'm not worried that it'll be a problem to appear in League One next season.
"Derby will have a team to put out, a deal will be done. It's just that unfortunately, because of the [exclusivity] contract that was entered to allow Chris Kirchner to have first dibs, it's wasted so much time and other people have been circling, waiting to close a deal if it does collapse - and it now has."
RE: On the way to another points deduction? - theo_luddite - 14-06-2022
Tells you everything about the EFL that they agreed he had the funds available for the takeover and then the Administrators never received them, or proof of transfer of them.
RE: On the way to another points deduction? - themaclad - 20-06-2022
Administrators running Derby County are seeking a short-term loan to pay the wages of staff for June.
The money would also be used to help put season tickets on sale for 2022-23 and sign players, although they are still subject to a transfer embargo.
Derby have only five players contracted for next season, having been under the embargo since September 2021.
In a statement to supporters, administrators Quantuma said the club's future "must be secured very soon".
But supporters groups have sent a joint letter to Business Secretary Kwasi Kwarteng, asking him to intervene and "expedite the sale of the club as soon as possible".
The letter adds: "Quantuma is borrowing further money to keep the club going - increasing the debt and making the club more difficult to sell and increasing frustration amongst fans, prospective purchasers, and now the EFL.
"You are the only person who can hold the administrators to account so can you please proceed to do so?"
Former preferred bidder Chris Kirchner withdrew his offer for the League One club last week, prompting further uncertainty about Derby's future. The Rams have been in administration for nine months.
Ex-chairman Andy Appleby and Mike Ashley, the former owner of Newcastle United, are among those known to be interested in taking over the club.
EFL 'frustrated' at not being able to speak to bidders
Where will Derby turn next in bid to save club?
In their statement, joint administrators Carl Jackson and Andrew Hocking said: "Before a sale is finalised, there is an immediate requirement to secure the short-term future of the club, to allow players to be signed, issue season tickets for sale and to secure commercial agreements, as well as our best intentions to bring the uncertainty for staff and supporters to an end as soon as possible."
The statement continued: "We are having extremely positive and productive discussions with interested parties in relation to the short-term requirements and are confident of those discussions leading to a sale thereafter which will secure the club's long-term future.
"We do not, however, believe that imposing 'hard deadlines' are the answer at this stage."
'Not the luxury of time'
The administrators are looking for bidders who will pay football creditors in full, pay at least 25p in the pound for other creditors and have proposals regarding Pride Park stadium, which the club does not own.
Proposals offering less than 25p in the pound for other creditors will also be considered, but this would result in a 15-point penalty being imposed by the English Football League.
Derby were relegated from the Championship last season after having 21 points deducted for going into administration and breaches of financial regulations.
The statement added: "All interested parties know that it is in their interests to be in situ as soon as possible in order for them to put together a competitive playing squad and secure valuable commercial contracts whilst giving staff and fans certainty for the future.
"The club does not have the luxury of time, and so, even without hard deadlines, the club's future must be secured very soon."
The administrators say they are in daily contact with the EFL to update them on progress after the governing body said earlier this month that they wanted to be more closely involved in the search for a buyer.
'Seems like a mess' - Analysis
BBC Radio Derby commentator Ed Dawes
The administrators' statement has been welcomed by supporters groups, as was the EFL one 24 hours prior. But the landscape of getting Derby County ready for their first season in the third tier since 1985 is far from smooth.
They have five contracted players with the rest expected to walk out of the door next week. The EFL needs to clarify how Derby can sign players while under a transfer embargo? Will rules be changed to afford them to do this now? Some cynics would say yes because relegation has happened and other parties are satisfied.
There is no doubt Quantuma are working behind the scenes to end this process, but the speed at which everything is happening seems to be incurring more debt for the club and whoever the new owner proves to be.
A source close to the Andy Appleby group has told me that six days after submitting a "highly competitive bid", there has been no progress and just an acknowledgement of it being received.
Why is it so difficult for the EFL to speak to the parties involved who want to buy the club? Although non-disclosure agreements have been signed, the EFL will have to ratify any deal to finalise a sale of the club, so what difference does it make if it speeds things up?
From the outside, it seems like a mess, with little communication or end in sight. I have submitted questions to the administrators and asked the EFL for clarification. I am still waiting for a response.