Carlisle United fans trust CUOSC to reveal how new company Philip Day planned to buy out Blues

The confidence of Carlisle United supporters confirmed for the first time that a new company founded by Philip Day intended to take over the Blues.

But CUOSC today revealed the company was set to take over 90 percent of the Blues under a deal with the current owners, which was later blocked.

The trust commented on the issue in a series of responses to questions from supporters in the latest briefing for its members, released today.

It followed confirmation last week that a deal has finally hit the buffers amid complaints over EFL requirements, during takeover talks between the Blues and tycoon Day’s Edinburgh Woolen Mill two years ago. .

A revised agreement was then rejected by the CUOSC earlier this year.

The CUOSC, in its update today, said: “The proposal presented to us in 2019 was for a change of control with a new entity (Eden Valley Sports) taking control of approximately 90% of shareholding, leaving us just under 10%. hundred.

“The club would continue to be financially supported by EWM, as they had been since early 2017.

“We asked EWM a series of questions at the time, to get assurances on how the club would operate after the takeover.

The answers lacked a detailed ‘vision’ for the club, but we were assured that the fans would continue to play a role and be heard, and that there would be more communication than before, which the absence has been a feature of EWM for a long time.

“At the time, those assurances allayed some of the doubts we had at the start of the process. This, and the financial support provided by EWM, gave us the idea that the club would be secure in the long run.

“The subsequent collapse of EWM and the novation of the debt to Purepay [Retail Limited] has raised considerable doubts as to the scope and terms of any future financial support.

Day is no longer a director of Eden Valley Sport, but John Jackson, who is also a director of CUFC Holdings, still is.

Neither Day nor EWM have issued a public comment so far on the end of a deal for the Blues.

the News & Star was informed by a spokesperson last year that Eden Valley Sports was established as a “potential holding company for sports interests in Cumbria”, but CUOSC’s comments today are the first explicit link between this company and United.

Asked what in the EFL’s demands had prevented EWM from reaching a deal, the CUOSC replied: “Neither the club nor we ourselves wish to go into specifics at this point. More information may appear in the future. Right now we need to focus on getting a proper deal on repayable debt at Purepay. The statements released last week were both designed to facilitate a smooth transition to talks to help address this particular issue. ”

The EFL declined to comment when invited by the News & Star Last week.

On the deal revised this year, the trust said it couldn’t back a deal or dilute its stake on terms that on that occasion would not bring a change of control at the top of Brunton Park.

CUOSC, responding to another question, said EWM / Purepay’s lack of communication during their time with the Blues would not “match” fans’ expectations of potential owners, according to the results of a recent poll.

Confidence added: “The message of the questionnaire is that owners should be open, transparent and visible. They must be prepared to meet supporters.

“The owner of EWM has never communicated directly with the general manager of the club or with ourselves. This was done through representatives only.

“In addition to the above factors, there is the rather obvious one that the EFL and EWM could not come to an agreement that satisfied the EFL’s requirements for a change of control.

“It would make EWM unable to take control no matter what we as supporters think of their potential merits as owners.

“It should be emphasized that the CUOSC does not think the EFL’s demands are unreasonable.”

The trust says it continues to push for a “sensitive” deal over United’s £ 2.4million debt to Purepay.

A Fan Group Meeting (CUSG) was held on short notice last week at the invitation of Managing Director Nigel Clibbens, and saw fan representatives speaking with the Director about the takeover situation / debt.

Clibbens said as part of the 2019 deal, the current owners of the Blues planned to switch their shares for £ 1, with CUOSC to dilute their stake from 25.4% to 10%, and that it was expected that a deal would go by.

Jim Mitchell of the trust, meanwhile, said Day’s rep had offered “some semblance of vision” for the Blues “but nothing substantial.”

“There was never any contact except [the representative]. It sounded encouraging at the time, but no further details were ever provided, ”added Mitchell.

Regarding the debt to Purepay, Clibbens said there had been “only preliminary discussions” so far and that despite the fact that there was “an open door” to discuss it, nothing had changed about the situation. Indeed, the minutes added: “It was not certain that anything would change at all. ”

Clibbens, meanwhile, said the end of a deal did not affect the positions at United of those linked to Day.

This followed a question from Fan Liaison Officer Simon Clarkson at the CUSG meeting, and may have referred to CUFC Holdings Manager Jackson, Director of Football David Holdsworth and Business Advisor Kevin Dobinson .

Clibbens responded that last week’s announcement “was only about stocks [and] does not affect anything else.

the News & Star last week United owners were asked about the current situation.

The full CUSG minutes can be read HERE


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