Carlisle United’s supporters’ trust have confirmed for the first time that a new company set up by Philip Day had intended to take over the Blues.

Eden Valley Sport Limited, which was created in 2019, has remained dormant since then.

But CUOSC have today revealed that the company had been in line to take over 90 per cent of the Blues in a deal with the current owners which subsequently stalled.

The trust commented on the matter in a series of answers to supporters’ questions in their latest members’ briefing, released today.

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

A revised deal was then knocked back by CUOSC earlier this year.

CUOSC, in their update today, said: “The proposal tabled to us in 2019 was for a change of control with a new entity (Eden Valley Sports) taking over approximately 90 per cent of the shareholding, leaving us with a little under 10 per cent.

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

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

“The answers lacked a detailed 'vision' for the club but we were assured fans would continue to play a role and be listened to, and that there would be more communication than before, the lack of which has been a characteristic of EWM for a long time.

“At the time these assurances did quell some of the doubts we had at the start of the process. That, and the financial backing that EWM brought, gave us the notion that the club would be secure long-term.

“The subsequent collapse of EWM and novation of debt to Purepay [Retail Limited] has brought considerable doubt 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 CUFC Holdings director, still is.

Neither Day nor EWM have issued any public comment so far about the demise of a deal for the Blues.

The News & Star was told by a spokesperson last year that Eden Valley Sports was set up as a “potential holding company for sporting interests in Cumbria" but CUOSC's comments today are the first explicit connection between that company and United.

Asked what in the EFL requirements had seen EWM unable to proceed with a deal, meanwhile, CUOSC replied: “Neither the club nor ourselves wish at this stage to go into detail. More info may emerge in future. Right now we have to focus on reaching a suitable arrangement over the debt repayable to Purepay. The statements issued last week were both designed to facilitate a smooth transition to talks to help settle that particular issue.”

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

On the revised deal this year, the trust said they could not back a deal or dilute their stake under terms which, on this occasion, would not deliver change of control at the top of Brunton Park.

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

The trust added: “The message from the questionnaire is that owners should be open, transparent and visible. They should be prepared to meet with supporters.

“The owner of EWM has never communicated directly with the club's chief executive or ourselves. This has been done through representatives only. 

“In addition to the above factors, there is the rather obvious one that the EFL and EWM could not agree a deal satisfactory to the EFL's requirements for a change of control.

“This would render EWM incapable of taking control no matter what we as supporters think of their potential merits as owners.

“It should be stressed that CUOSC do not believe the EFL's requirements are unreasonable.”

The trust say they are continuing to press for a “sensible” arrangement regarding United’s £2.4m debt to Purepay.

A supporters’ groups (CUSG) meeting was held at short notice last week at the invitation of chief executive Nigel Clibbens, and saw fan representatives speak to the director about the takeover/debt situation.

Clibbens said that, under the 2019 deal, the Blues’ current owners had planned to transfer their shares for £1, with CUOSC to dilute their stake from 25.4 per cent to 10 per cent, and that it had been expected that a deal would go through.

The trust’s Jim Mitchell, meanwhile, said Day’s representative had come up with “some semblance of a vision” for the Blues “but nothing substantial”.

“There had never been any contact except with [the representative]. It sounded encouraging at the time but no further detail was ever forthcoming,” Mitchell added.

In terms of the debt to Purepay, Clibbens said there had “only been preliminary discussions” so far and that, despite there being “an open door” to discuss it, nothing had changed on the situation. Indeed, the minutes add: “It was uncertain if anything would change at all.”

Clibbens, meanwhile, has said the demise of a deal does not affect the positions at United of those connected to Day.

That followed a question by supporter liaison officer Simon Clarkson in the CUSG meeting, and may have referred to CUFC Holdings director Jackson, director of football David Holdsworth, and commercial advisor Kevin Dobinson.

Clibbens replied that last week’s announcement “was about shares only [and] doesn’t affect anything else.”

The News & Star last week invited United’s owners to be interviewed about the current situation.

The full CUSG minutes can be read HERE

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