Where Sunderland's long-running ownership saga now stands - and what could happen next explained

The group's plans and announcement, released via Sky Sports, immediately drew strong concern from fans, and a rare public statement from Kyril Louis-Dreyfus.

So where do things currently stand, and where might they head next? We attempt to unpack it all here...

HOW CREDIBLE ARE ‘TFT’ GROUP DEEMED TO BE AND SHOULD SUPPORTERS BE CONCERNED?

In a statement released to The Athletic, Charlie Methven confirmed that TFT had submitted an ‘acceptable offer’ which would therefore allow them to potentially move on to the latter stages of the process.

In theory, producing proof of funds, passing the EFL Owners’ and Directors’ test and completing the transaction would allow them to become minority shareholders in the club.

In this sense, the story is very much real.

In an acerbic response to the reports, Kyril Louis-Dreyfus appeared to cast doubt on whether the group would be able to complete that process and also appeared to signal his severe reservations as to their plans: “All shareholders must also be qualified to take the club forward in line with EFL Governance and have alignment with the values and principles of SAFC and its supporters, as well as our long-term strategy.”

Louis-Dreyfus also pointedly said that the group had not had any contact with either himself or any current employee of the club.This is particularly interesting because at the most recent meeting with the supporter collective Chief Operating Officer Steve Davison confirmed he had passed enquiries onto the ownership group. Clearly that did not happen in this case.

Technically TFT do not have to deal with club figures as the transaction would be between them and Methven/Donald, but it further underlined the Chairman’s suspicions surrounding the developments.

The response of the majority of the Sunderland support was one of understandable concern, given the long-term plans of the cryptocurrency group.

In essence, they want to give fans what they describe as ‘ownership’ in the club by allowing them to purchase digital tokens in return for an input, of sorts, in decision-making. However, this does not mean actually giving shares to fans. The cost of the tokens and also the scope of the ‘decision-making’ would be set purely on the group’s terms. This is very relevant in Sunderland’s case because as we know, Louis-Dreyfus has no intention whatsoever of giving up control, so the scope for their plans seems limited.

Crucially, there is also at this stage no clarity on where the investment for the initial share purchase is coming from.

The initial response from supporters is that such an experiment is wholly unsuitable for an institution of this standing, and rightly so. That reservation also casts doubt on the long-term viability of the group’s plans.

One further, important factor in all of this is that Louis-Dreyfus does have the right to match any deal struck by a third party.

That perhaps explains why even despite his strong statement on Tuesday night, he appears somewhat irritated but relatively relaxed about the situation at this stage.

DOES KYRIL LOUIS-DREYFUS WANT TO BUY THE SHARES AND WHY HASN’T HE JUST DONE SO ALREADY?

It’s not a straightforward question to answer.

Fundamentally yes, he would like to and Steve Davison confirmed this to local media after the current shareholding structure was finally revealed earlier this year.

However, there has very clearly been a difference in valuation that remains to this day.

Louis-Dreyfus does not want to overpay for the shares and given that he has control over day-to-day decisions, he clearly feels that he does not have to.

He has said that he is happy for a third party to take up Stewart Donald and Charlie Methven’s shares if they have ‘sizeable funds, are capable of passing the EFL Owners’ and Directors’ Test and agree with the vision for the club,’ because well, why wouldn’t he?

In many ways this is the ideal scenario from his perspective. The investment required to grow the club then becomes shared, but Louis-Dreyfus remains in control of the key calls.

Finding such a partner, happy to invest significantly with little input, is an altogether different challenge.

Perhaps the best way to put it is to say that Louis-Dreyfus is acutely aware that the club needs a resolution if it is to progress in the longer term.

If that means purchasing the shares himself, he will do that if the valuation is right.

So what we currently have is something of a stand-off, and the explosive arrival of TFT earlier this week underlined it.

Donald and Methven know how strong the appetite for their departure is and the pressure on Louis-Dreyfus to resolve the situation.

Louis-Dreyfus also knows that while progress to the Championship and beyond brings added value to those shares, it also significantly increases the burden in terms of day-to-day investment on the other shareholders.

The Chairman is clearly determined not to be pushed into overpaying, but will equally know what a toll these reports and this uncertainty takes on a fanbase that has had to endure it for the best part of six years as the descent to League One began.

JUAN SARTORI WAS MENTIONED IN LOUIS-DREYFUS’ STATEMENT - SO WHERE DOES HE FIT INTO THE PICTURE?

In the aftermath of that controversial revelation that Louis-Dreyfus held a 41% stake in the club, sources close to Louis-Dreyfus pointed out that Juan Sartori should be viewed as an ally of the Chairman.

Tuesday night’s statement was an altogether more explicit move from Louis-Dreyfus to say exactly that.

“Juan Sartori and I remain wholeheartedly committed to Sunderland AFC and our collective focus is on preparing for the upcoming Championship season,” he said.

This was part of his move to reassure supporters that his command over club matters, both present and future, is strong.

It is clear that Sartori has no intention of selling shares, is not in any way connected to TFT and supports Louis-Dreyfus’ long-term vision.

Sartori remains an enigma to supporters, given repeated previous claims of him stepping up his involvement before Louis-Dreyfus’ arrival did not appear to come to fruition as his political career in Uruguay took precedence.

What is clear is that both he and Louis-Dreyfus want it known that they are working together and as such are essentially a 61% combined shareholder.

WHAT HAPPENS NEXT?

Methven told The Athletic that two bids had been accepted, with the identity of the second party unknown.

So it is now up to either one to conclude the deal, or for Louis-Dreyfus to intervene.

IS THIS ONGOING UNCERTAINTY LIKELY TO HAVE AN IMPACT ON SUNDERLAND’S SUMMER BUSINESS?

Sporting Director Kristjaan Speakman said that the budget for next season was being settled in the week following Sunderland’s promotion at Wembley.

With the club very much focusing on a longer-term transition to sustainability, the early suggestion is that this ongoing uncertainty should not have too great an impact on what Sunderland look to do this summer. All shareholders have funding commitments so long as they remain at the club.

The proof will of course very much be in the pudding, there and it is undoubtedly frustrating that the feel-good factor and momentum that followed the play-off win has so quickly been checked.

More broadly, it has served as yet another reminder of how debilitating the current structure is. The longer Sunderland are in the Championship and trying to grow, the bigger an issue it becomes.

Even despite months of major progress on the pitch, this issue continues to hold the club back.