The future of the National League side hangs in the balance

A potential takeover of crisis club Gateshead in the balance once again after potential owners Flacks Group delivered a major update on their bid to secure a deal for the National League basement club.

It has been a disastrous season on and off the pitch at the International Stadium with the Heed heading into Saturday’s visit to Aldershot Town sitting at the bottom of the National League table after winning just one of their first 14 games of the campaign. Now under the caretaker management of club legend Ben Clark following the departure of Lee Cattermole, the Tynesiders are 11 points from safety and they also suffered a shock FA Cup fourth qualifying round defeat at the hands of Stafford Rangers earlier this month.

There appeared to be some brief hope after the US-based Flacks Group, who reportedly have assets worth over $7bn, reached an agreement in principle for a takeover deal with the Heed’s owners. However, that agreement is now in serious jeopardy after the group revealed a previous takeover agreement with another party is causing issues for their own attempts to complete a deal that could provide the club with a brighter future.

What have the Flacks Group said about their potential takeover of Gateshead?

The Flacks Group agreed a takeover of Gateshead FC earlier this month and appeared to have brought an end to a period of uncertainty following the departure of key shareholder and a director Mark Nellist.

Speaking at the time, group spokesman Phil Forster said: “We are delighted to welcome Gateshead Football Club as the latest acquisition at Flacks Group. Gateshead FC has a tremendous history and we look forward to moving the club forward and to see it realise its true potential.”

However, the deal is yet to be ratified by the Independent Football Regulator.

Why is there is a dispute over the takeover of Gateshead FC?

In a lengthy statement released by Flacks Group on Thursday, the fallout from a previous takeover bid by Shoreline Sports Limited, who looked to buy the National League club in early 2025, has hampered their attempts to finalise their own agreement.

The Shoreline group, which included former Everton and Sunderland striker Victor Anichebe, were believed to be close to a deal during the second half of the 2024/25 season before the agreement fell through in the final week of the campaign. However, the Flacks Group statement claims Shoreline are seeking an order that the Heed shareholders 'pay certain financial sums' and those proceedings have been issued against the individuals, rather than than club itself.

Flacks Group now claim they have asked Shoreline to confirm in writing they have given up any ownership claim over Gateshead - but also state that request has been declined.

"To give the club a clean and secure future under our ownership, we needed Shoreline to confirm in writing that it would give up any ownership claim it might have over Gateshead FC. We expected this to be an uncontroversial request since Shoreline’s own court proceedings seek to confirm the cancellation of their purchase agreement.

"We made no request that Shoreline drop their financial claims against the shareholders themselves. However, we needed their written confirmation as to ownership because, without it, we could not be confident that our takeover of the club would be free from dispute.

"Unfortunately, and even though Shoreline’s own legal case before the Court asserts that they do not wish to own the club, Shoreline has refused to provide us with the written confirmation we have sought."

What have Gateshead said about the dispute with Shoreline?

Although the statement released on Thursday was released via the club, it actually came from the Flacks Group. However, Gateshead’s players have now released a statement via the club calling on the previous shareholders and Shoreline to resolve the issue ‘for the benefit of Gateshead Football Club and the wider region’.

The statement, which was released on Friday afternoon read: "We are disappointed to hear that there are issues with Flacks Group finalising their deal. We would hope that a resolution that enables them to takeover the club is found. Having met with Flacks Group representatives we are very optimistic about the future of Gateshead FC under their leadership. We feel that the stability they will bring to the club would benefit all aspects of Gateshead FC

“Flacks Group reps have been transparent throughout the process with the club and players. We are disappointed that this is holding the club back and yet again the players and supporters appear to be paying the price. We urge the club’s previous shareholders and Shoreline to settle their dispute for the benefit of Gateshead Football Club and the wider region.”

What have Shoreline said about the dispute?

Publicly, Shoreline are yet to comment on the situation although Chronicle Live believes they are keen to find a resolution to enable their takeover of League One club Bromley - believed to be worth around £20million - to progress.

What has the Independent Football Regulator said about the situation?

Not a lot but they are aware of the situation. Chronicle Live has contacted the IFR for comment and received the following reply.

An IFR spokesperson said: “We understand this is an uncertain time for the fans, staff and players of Gateshead FC. We remain in close contact with the club and all parties.”

Will Gateshead’s players and staff receive their wages for October?

Flacks Group claim they are ready to inject funding into the Heed to 'pay off the club’s outstanding creditors and the next set of player and staff wages'. However, as it stands, it seems unlikely those wages will be paid on time.

What comes next for Flacks Group’s potential takeover of Gateshead?

As it stands, in a state of flux. Flacks Group wish to progress with their takeover deal - but have insisted they will not be able to do so until Shoreline 'confirm in writing that it would give up any ownership claim it might have'. The US-based group have insisted they have not asked Shoreline to drop any financial claims they have against shareholders and just want confirmation they do not have an ownership claim.

"We are currently not able to proceed with our takeover of the club whilst this uncertainty hangs over it - that would not be fair to the club or to you, its supporters," their statement concluded. "For that reason, unless common-sense prevails, we expect that we will reluctantly have to withdraw from the purchase as we cannot acquire the club and take it forward. This is NOT something we wish to do."

Sadly, for Gateshead fans, it is now a waiting game and concerns over their beloved club’s future have now been raised and a familiar feeling of uncertainty has returned.