Hike funding

Derby County bidder Chris Kirchner hits back over funding demands and collapse of Preston deal

Potential new Derby County owner Chris Kirchner has hit back after reports there are doubts about his proof of finances.

Kirchner was this week named the preferred bidder to take over Derby by Quantuma administrators. It comes after his bid to buy Championship rivals Preston failed last month.

A report in the Daily Mail says the deal at North End fell through because the club were concerned when Kirchner failed to provide proof of his funding sources. Instead, he showed a bank statement with a balance of over £60million.

READ MORE: Every word Chris Kirchner has said on Wayne Rooney’s Derby future, transfers and Ligue 1 victory

READ MORE: ‘I’ve had enough’ – Wayne Rooney’s stance on possible new points penalty for Derby County

The report adds that Kirchner has not drawn up a business plan himself to submit to the EFL, which is needed to show how he would fund Preston for the next 18 months. It is also said that alarm bells rang in Deepdale when the American businessman tried to lower the price of the club after a deal had already been agreed.

In a Twitter Q&A after the report, Kirchner said he had proven to Preston that he could bankroll the club, and that Quantuma and the EFL had also seen such proof. He said he had not provided a business plan as a deal was still being discussed.

Kirchner said: “My company’s valuations are wrong and most of them are illiquid. The money for the team came from private investments and early crypto investments.

“I had to show this to Preston. Quantuma and the EFL have seen it when we have already committed to Derby. It was also shared with another club we reviewed as things got more serious.

“We were still finishing the stagecoach and did not submit a plan to the league as it would have been premature. It was scripted and constantly changing as we learned more.

“There was no ‘use’ of Preston. We just found things in the stagecoach that weren’t what we expected and ultimately couldn’t come to an agreement. It’s happening in deals.

During the breach of the Preston deal, Kirchner suggested there was a rise in the club’s price which went beyond the figure he had agreed. Accused of having insufficient funds, Kirchner said: “Let’s make a guess here…Have you ever bought a car? If someone raises the price mid-term by 10% of what you agreed on and then wants to force you to buy options and packages you don’t want/need with the car, l would you buy? »

Further questions followed for Kirchner as to whether he had to make a £5m deposit to secure preferred bidder status at Derby, but he replied: “No. This was due to working capital requirements for the club to operate. They have had enough until the end of the season. When this is exhausted, I will finance the club.

He also denied claims he was only worth £5million, pointing out he had just bought a plane with cash and it cost around £22million. Kirchner then confirmed that his bid for Derby was based solely on his finances, but that he could bring other investors to Pride Park in the future.

He wrote: “I can bring in partners for small stakes on the road for strategic reasons. Like media experience, retail experience, or other things important to the business we’re building. Or I could ask friends to buy small pieces to be part of it. But the deal is only me at this point from a financial point of view and does not depend on anyone else.