Why the deal fell through
Last updated : 18 July 2003 By The Chairman
On - Off - On - Off. Well it’s OFF for sure now!
Vidar Fossdal , the Norwegian business man hoping to rescue Athletic has pulled out of the deal and it’s looking like curtains to their 108 year reign as a football league team. Even if the buy-out had gone through former chairman David Brierley believed that Athletic would still have faced an uphill task to achieve financial stability. He said, “The club is not dead, but it is still in intensive care. Money has been haemorrhaging out and it is going to take a lot of hard work, and time, to sort things out.”
Part of the deal was that Mr. Moore insisted on the buyer paying off a £220,000 loan from the Professional Footballers’ Association for which he was guarantor. It was thought that if the money transfer went through Athletic would have a new owner, one who would involve Sean Jarvis, Neil Joy, the Supporters’ Trust and the new business advisory panel in his rescue plans with Mr. Brierley likely to take a role in an advisory capacity.
The following statement was issued by Mr. Fossdal of 5282 Lonevaag, Norway:
I contacted Chris Moore's advisor John Newell of Panell Kerr Foster on a number of occasions to express my interest in purchasing Mr Moore's interest in Oldham Athletic Football Club Ltd. Mr Newell provided me with financial information concerning the Club's affairs. I followed up my interest with a call to Mr Phil Black of Phil Black Sports Representatives for advice as to how to proceed. I understand that Mr Black met David Brierley, a previous chairman of Oldham Athletic Football Club on Saturday 12 July at the fundraising match and sought to ascertain if Mr Brierley could offer any assistance to further my interest in the club.
I then contacted Mr Brierley on Monday 14 July and he arranged for me to have legal representation for any possible dealings with Mr Moore and his advisors, I understand that my legal representatives North Ainley Halliwell made contact with Mr Newell who indicated that Mr Moore was willing to consider any proposals. I then gave instructions to the lawyers to put forward basic heads of agreement which Mr Moore's advisors indicated in principle were acceptable to him.
I therefore arranged to visit England on Wednesday and met with my advisors and legal representatives prior to meeting Mr Moore on Thursday morning. Terms were agreed and later in the day, legal documentation completed and held by my solicitors pending them receiving a significant sum of money which I was to arrange to transfer to their account. When I entered into the negotiations earlier this week I genuinely believed that I had a substantial financial backer who unfortunately has now withdrawn from the transaction.
Despite my further efforts, I have not been able to find a replacement in the short time available. I deeply regret that the transaction has not proceeded. I would also say that Mr Moore on his part acted with integrity and courtesy to me throughout my dealings with him and I must therefore personally apologise to him and thank my advisors for their efforts on my behalf.
Sean Jarvis said, “ To say that I am devastated is an understatement, having been informed about this potential investor and his possible investment in the club at such a late stage, for it to fail has left everybody in a very worrying position. Whilst I am disappointed, I remain committed to securing the future of the club and we will revert back to the survival plan and see if we can resurrect that deal.”
If that was no bad enough there have now been death threats made on Chris Moore. The Greater Manchester and Oxfordshire Police have asked fans to remain calm. They are in the process of tracing e-mails and phone calls to Mr. Moore. If any criminal offence is found to have occured, prosecutions will follow.
