Derby County Saved By Local Businessman
After nine months in administration, English Football League (EFL) League One club Derby County has been bought by local property developer David Clowes.
On Friday 1st July, the club announced that Quantuma joint administrators – Andrew Hosking, Carl Jackson and Andrew Andronikou – concluded the sale of The Rams to Clowes’ company Clowes Developments Ltd for an undisclosed amount. The sale means the club has been brought under the same ownership structure as its 33,000-capacity stadium, Pride Park.
Clowes, a lifelong Rams fan, recently purchased the stadium from Derby’s former owner Mel Morris. The status of the stadium ownership has been a major stumbling block for previous bidders, notably Chris Kirchner, the US businessman that earlier in the month appeared to be close to agreeing a deal to buy the club, which eventually failed.
Clowes was originally second preferred bidder named by Derby’s joint administrators, with Kircher given more than two months of exclusivity to try get his deal completed before the collapse and Clowes was able to take advantage.
Clowes had also provided Derby with a loan to ensure they can start the upcoming season.
Jackson said, “We are very pleased to have achieved today’s sale, in a deal which secures the long-term future of the club, and one which represents the very best outcome for creditors. I would like to express my sincere thanks to the club’s staff players and the fans for their loyalty, and patience, as they supported the club through the administration.”
The purchase has resulted in the relaxation of a number of restrictions the club has been under since it entered administration last year.
An EFL statement read, “The EFL welcomes confirmation from the joint administrators of Derby County FC, Quantuma, that they have today formally concluded the transfer of assets with Clowes Developments (UK) Limited to place Derby County under new ownership.
“Consequently, the EFL can now confirm that the club has met the requirements of the League’s Regulations and Insolvency Policy and is therefore no longer in administration.
“As part of the conditions of continuing membership in the EFL, the club, whilst remaining under a registration embargo, will be permitted to sign new players in accordance with the terms of a business plan.”
The restrictions the club has faced has resulted in just five first-team players remaining signed to a contract for next season. The five contracted for next season, which starts against Oxford United in four weeks, does not include a goalkeeper or any defenders. The Derbyshire-based club will now look to prepare a squad for the upcoming campaign.
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