Derby County Sale Set To Collapse
League One football club Derby County’s proposed takeover by US businessman Chris Kirchner is on the brink of collapse, according to a report by BBC Sport.
The Rams has been in administration since 22nd September following months of financial struggles. Kirchner was named as the preferred bidder to take the club out of administration on 6th April, but BBC Radio Derby understand that the 34-year-old has failed to close the deal, despite having his period as preferred bidder extended twice.
It is also understood that funds promised by Kirchner to pay Derby wages for May have not arrived.
The English Football League (EFL) conditionally approved the takeover on 17th May, following the exchange of the contracts for the sale, stating that “the terms of a Membership Agreement” had been agreed with the American’s 9CK Sports Holdings Limited company to allow the deal to go through.
Crucially, 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. The stadium was cited as potential stumbling block to an agreement being reached.
Despite talks between Kirchner, Morris and the Derby City Council, the issues regarding the stadium sale have not yet been resolved.
This is Kirchner’s second attempt to buy the club, having withdrawn an initial bid in December before the American revived his interest in April. This followed his efforts to buy another English football club, Preston North End, in another deal that collapsed.
In response to the length of time the deal has been taking to go through, Kirchner looked to ease fears on June 2nd by tweeting, “Nothing to be alarmed about. End of May was chosen because of scheduling for EFL (released in a few weeks) and everyone collectively didn’t think about the 3 combined bank holidays this week”.
Derby, the EFL and Quantuma have not commented on the latest developments.
Delays in selling Derby plunges the club’s immediate future into serious doubt. Under the club’s current restrictions while in administration, it is unable to sign players. Only five players in Wayne Rooney’s side currently have contracts for next season.
Image: Shutterstock
