Despite Rumors of An Acquisition by Hull City AFC by SportyCo, The Deal Has Fallen Through
Deals come and go in the cryptocurrency world, just like any other industry. Hull City AFC, an English Championship football club, was supposed to be acquired by a crowdfunding platform named SportyCo last year. The managing director of SportyCo, Marko Filej, had even collaborated with the owners and set a price, according to reports from The Next Web’s Hard Fork.
Investors were told about the price, but the deal ultimately was withdrawn, though there are sources that say that the price ended up being “higher than the real market valuation.” Last year’s report indicated that the Hull City Supporters Trust (HCST), which was created for the purpose of representing supporters, had teamed up with SportyCo to launch a bid worth $58 million for the purchase of the club.
Unfortunately, Geoff Bielby, the chairman of HCST, spoke with Hark Fork last year, saying that their involvement “has been misunderstood by some journalists” at the time. He added that the organization was not leading this bid but was instead
“a partner representing supporters.”
In the original reports, it was suggested that there would be an opportunity to allow fans to purchase a stake in the football club. Alas, that has turned out not to be true either. Bielby stated that the whole point was not meant to involve cryptocurrency. However, he said,
“SportyCo did lead the bid with the intention of following up the traditional investor led bid with crowdfunding using [the blockchain-based] SportyCo platform.”
As the bid was first put together by SportyCo, the idea of developing a coin for the football club would have required too much work and time. While the bid was led by SportyCo, the entities that contributed the funds were Alexander Jarvis and the Blackridge investment firm.
Jarvis has not had the best publicity, considering his substantial lack of experience. The New York Times decided to investigate last year, discovering that Jarvis has consistently exaggerated the connections that he has with investors. Most of his claims are that the investors are located in China. During the same article, former chairman Paul Duffen of Hull City AFC said that he does not think that Jarvis has
“done a football transaction before, or more likely, any transaction.”
Duffen’s comments continued, as he told the publication that he had investors ready for a deal with the Hull City football club three years ago. However, that never happened. Even with the appeal of crypto and blockchain in this deal, there was no way to regain Jarvis’s investors on this time around.
So far, Hark Fork says that they have attempted to contact Hull City AFC, but there’s been no response at this point.