Everything we know so far as Sheffield United ownership dispute takes fresh turn in High Court
COH Sports, the company that bought Sheffield United in 2024, has been wound up
The latest twist in the muddied ownership of Sheffield United saw the company that bought the club from Prince Abdullah 18 months ago, wound up in the High Court.
COH Sports who aquired the Blades from Prince Abdullah’s company United World in December 2024 had been handed the petition last month following claims that a figure of at least £35 millions was still owed for the transaction.
A hearing in the petition took place on Wednesday at the specialist Insolvency and Companies Court (ICC) in London, which lasted around 10 seconds with neither Steven Rosen or Helmy Eltoukhy - the club’s current owners present.
Here’s everything we know, who has said what and whether the threat of a points deduction is likely with Kieran Maguire explaining the potential punishment...if any.
What has been the response to COH sport being wound up?
United World accused Rosen and Eltoukhy of showing no concern for the club. In a statement sent to The Star, it is claimed that the current owners ignored repeated attempts to resolve the dispute.
“No defence was filed and the debt of more than £35 million was not disputed. United World made every effort to resolve this matter amicably and tried until the morning of the hearing to give the owners a final opportunity to find a solution and spare Sheffield United the consequences of their conduct,” the statement read.
“That approach, like every one before it, received no response. It appears that Helmy Eltoukhy and Steven Rosen are simply not concerned about what this means for the club.
“What happens to Sheffield United now is the result of their choices. United World will continue to pursue the full sums owed through every legal avenue available, including against those personally responsible, and will support the officeholders of COH Sports Bidco with their investigations.”
Far from offering a full explanation from their side, Sheffield United responded with a short statement via a club spokesperson which acknowledged the High Court winding-up of COH Sports.
It said: “Sheffield United Football Club is aware of today’s hearing at the High Court. This is a matter between the current owners and former owner.
“The Football Club is in contact with the EFL and the day-to-day operations at Sheffield United are unaffected.”
United’s owners had previously criticised Prince Abdullah after claims from the opposing camp that the Blades could be deducted points as a result of the dispute.
They said: "We are disappointed Prince Abdullah is trying to hurt the club and its supporters with publicity stunts.
"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.”
What of the governing bodies?
The English Football League could find themselves under a little bit of pressure regarding all of this. Earlier this year, 1919 Partners LLC rather than COH Sports became Sheffield United’s parent company.
As a result COH Sports essentially no longer existed and had no assets and it is unclear at this stage if the EFL were made aware of that fact or allowed it to go through, without any checks.
They too released a short statement in which they said they were investigating ‘whether any further action is required’.
The statement read: “The EFL notes the High Court’s decision to issue a winding up order on COH Sports Bidco Limited. The League will consider the implications of that development in line with its Regulations, including whether any further action is required.
“In addition, the EFL continues to consider other regulatory matters following changes to the Club’s ownership structure and developments within the wider group. As these issues remain ongoing, the EFL will make no further comment at this stage.”
Has the Independent Football Regulator got involved?
The IFR, relatively new to the scene, are also keeping a close eye on developments. In their statement issued to The Star, they said: “We are examining the court's decision on COH Sport in detail, and we are in contact with the club and the EFL.
"The IFR can assess an incumbent owner's honesty, integrity and financial soundness under its Owners, Directors and Senior Executives regime, should it have grounds for concern.
"We are unable to comment further at this stage."
So what happens next?
We’re unlikely to hear much about it for a while. The Official Receiver will now take over and see if there is anything that can be sold off to pay what is seen as the outstanding debt to United World. Frankly, it appears there isn’t anything to sell.
What is a certainty is that Prince Abdullah is not going to simply walk away from what he is owed despite the current owners standing their ground.
There is no precedence in English football for a situation such as this and football finance expert Kieran Maguire says the EFL and IFR will fight to ensure this stance can’t succeed.
“I think they're being cute with this, but I can assure you the football authorities will try to ensure that this can't take place, because it could set a precedent,” he said. “It would also mean that all future football sales, they would only ever go through if you pay 100% of the cash upfront. And again, I'm not sure that that would suit the EFL, the National League or the Premier League, because it will reduce the number of potential buyers of clubs.
“[It appears the owners] think that they found a way out of avoiding their legal commitments. The regulator is going to take a dim view of this, the EFL is going to take a dim view of this, and potentially, legally, certainly from UK domestic law, I think they're on very thin ice.”
Call it bravery or arrogance, Rosen and Eltoukhy’s strategy appears risky. Perhaps they are prepared to take that risk to save themselves £35million. Only they know and they’re not telling anyone at this stage. In fact they’re barely saying anything, as has largely been the case since they took charge.
Is a points deduction likely at this stage?
It can’t be ruled out but it would appear to be a long way off at this stage. The threat came from United World’s side and of course it makes for a good headline because it’s not a false claim but the possibility of it happening anytime soon is unlikely.
As Kieran Maguire explains: “ It would need Sheffield United Football Club to go into administration. Now at present, they're still signing players, they're paying the wages. There's no reason to suspect that the club will go into administration unless United World can find some vehicle to prevent them from putting cash in or prevent them from paying bills. Which I don't think is the route that United World want to go down. But they're owed £35 million. That's not being disputed. The very fact that Bitco owners didn't turn up today is an effective acceptance of the debt. So, who knows what the legal complications are. But it's going to get messy and it's going to get expensive as well.”