Sanctions against Russian oligarchs, ripple effects from the pandemic, and poor performances on the field are putting Everton FC in a financial crunch.
The Premier League club is reportedly exploring financing options, including raising equity and debt, after suspending sponsorships with at least three companies connected to sanctioned Russian billionaire Alisher Usmanov.
Other sources indicated that Everton is only raising funds for its new $655.6 million stadium.
- Everton dropped its connections with USM Holdings, which held sponsorships and a $39.3 million naming rights option to the planned stadium.
- The team also suspended deals with Russian companies MegaFon and Yota, removing names and logos from signage, shirts, and other materials.
- Everton will not renew its partnership with jersey sponsor Cazoo, as the two sides could not agree to new contract terms.
The combined loss of those sponsorships approaches $39.3 million annually.
Everton lost a combined $327.8 million in the 2018-19 and 2019-20 seasons.
Everton currently sits 17th in the 20-team Premier League, one place above the relegation zone.
An unfavorable finish could bump the team down to the second-division English Football League Championship, which would cut them out of the Premier League’s broadcast rights share. The league has secured $13.6 billion in broadcast rights for the upcoming three-year cycle.