Forget AI PCs or AI servers, tech titan Michael Dell is reportedly backing a takeover bid for Everton football club from two prospective owner fans.
MSD Partners – Dell’s family office used to oversee his finances – has agreed to support wealthy biz blokes Andy Bell and George Downing should current Everton owner Farhad Moshiri agree to a period of exclusivity to close the deal.
Bell, who founded stockbroker AJ Bell, and property magnate Downing, have already invested £50 million ($63.5 million) of their cash pile into the Merseyside-based football club, which was founded in 1878. Everton seemed destined to be sold to Miami-based creditor 777 Partners for £550 million ($700 million) but that transaction collapsed at the end of last month.
This paved the way for other interested parties to get involved, including MSP Sports Capital in addition to the Dell-backed Bell and Downing consortium. It is felt that Dell’s presence has lended their negotiations more credibility, according to The Times.
The money on the table from the two entrepreneurs is understood to be sufficient to give Everton a short term funding boost during any exclusivity agreement, and talks are said to be at an advanced stage.
This isn’t the the first time Mick D has coughed loans for soccer football clubs in England: he previously loaned cash to Burnley, West Bromwich Albion, Sunderland, Southampton, and Derby County.
Dell, who launched his now sprawling business empire in 1984 with $1,000, is worth $124 billion, at least a according to Bloomberg’s Billionaires Index. If correct this means he is the world’s tenth richest person.
In the year ended February 2, 2024, Dell Technologies generated $102.3 billion in revenue, down 14 percent year-on-year, and a net profit of $2.422 billion.
The company has benefited from the wave of AI hype sweeping the industry as Dell is selling heavy duty computing gear to train and run models.
The share price has soared in the past 12 months, peaking in May at $179.21, up from $74.79. Even though we’re in the middle of inflated expectations for AI, a bubble that could burst if returns from the tech are not realized, it’s a damn sight more stable than running a football club.
The preening stars of the game command eye-watering transfer fees and wages, and even then success is not guaranteed. Perhaps in this respect it is not that different to the AI industry, filled with rock star techies that are complaining of no longer being able to lead a normal life due their touch with fame. ®