Sheffield United owners face High Court winding-up petition over £35m debt
Sheffield United's owners face a winding-up petition at the High Court on Wednesday, a hearing that could expose the club to a 12-point deduction in the Championship this season. The dispute concerns a claimed outstanding balance of more than £35m linked to COH Sports Bidco Limited's December 2024 purchase of the club.
Sheffield United started the Championship season with a 0-0 home draw against Birmingham. CSBL agreed to buy the Blades for just over £100m in December 2024, but United World says more than £35m remains unpaid; the winding-up petition against CSBL was filed on 8 July and is due before the High Court on Wednesday. In June, the club's shares were transferred from CSBL into a new US-based parent, 1919 Partners LLC, a move the parties say left CSBL without control of the club. CSBL is led by Steven Rosen and Helmy Eltoukhy, who remain on Sheffield United's board as co-chairmen through 1919 Partners LLC.
United World says the transfer of shares into 1919 Partners LLC was "an attempt to avoid paying CSBL's creditors" and added that since the winding-up order was issued no offer has been made to settle the debt, alleging Rosen and Eltoukhy are "trying to take the club without paying for it". The club's situation presents a regulatory question for the English Football League because the insolvency relates to a parent company rather than the football club itself. EFL regulations direct the board to consider factors including "the need to protect the integrity and continuity of the competition" and "the reputation of the league" when deciding on sanctions following an insolvency event. The EFL board could treat a parent-company insolvency as a breach and has the option to impose a 12-point deduction for an insolvency event; the article notes a 2009 example in which Southampton were docked 10 points after their parent company went into administration.
The ownership history referenced in the dispute includes Saudi Arabian Prince Abdullah bin Mosaad Al Saud, who bought 50% of Sheffield United in 2013 and acquired the remainder in 2019 following a long High Court battle. The club was deducted two points in the 2024-25 Championship season because of missed transfer payments under Prince Abdullah in the 2022-23 campaign, a sanction cited by the current owners and former owners in their statements.
CSBL made an initial payment on completion of the sale but, according to the former owners, the first instalment due last year was paid late only after a statutory demand and was sent on the deadline; the £35m payment the High Court date concerns remains outstanding, a debt CSBL has not denied. United World said that, in the absence of Eltoukhy and Rosen agreeing to pay what they owe, it had "no alternative but to take all legal steps to protect our interests." United World also said "sophisticated and well-advised parties pay the price they agreed" and added: "An offer of shares in the company that was sold, instead of the money owed for it, was not part of the agreed deal and is not payment."
Ownership representatives issued a separate statement that said: "We are disappointed Prince Abdullah is trying to hurt the club and its supporters with publicity stunts," and continued: "The deal between sophisticated parties in 2024 was well-advised by his financial advisors. Sheffield United is financially healthy, unlike under Prince Abdullah when the club incurred a points deduction for missing payments to football creditors. Nonetheless, Helmy Eltoukhy and Steven Rosen invited Abdullah to reinvest in the club and join the ownership of Sheffield United and to help use his skills to support our promotion efforts. Helmy and Steve are focused on the sustainability of the club and the season ahead." United World retorted that "If Sheffield United is as financially healthy as its owners claim, and the owners themselves have the means they are widely reported to have, then the money can be paid. Paying it would answer all questions about the club's situation at once. Instead, the owners are running a club they have not paid for and the club's financial health, such as it is, is the result of the owners' scheme to avoid paying for the club."
Neither the EFL nor the Independent Football Regulator has commented on the transfer of shares to 1919 Partners LLC. The IFR said: "We are aware of the winding-up petition in relation to COH Sports Bidco," and added: "We are engaging with the club and relevant organisations on this issue, but we cannot comment further at this stage."
The next step is the High Court on Wednesday. United World said: "As the former owners of SUFC, United World does not want to see SUFC facing months of uncertainty that will follow the winding-up order being granted on 19 August." If there is no compromise before then, or if the winding-up order is issued, this story has a lot further to run.
