Liverpool FC could change hands for the second time in a
year as their American owners encounter difficulties in refinancing
£350million of debt incurred in taking over and running the club.
Beset by the steeply rising costs of a new stadium and manager Rafa
Benitez's demands for new players, Tom Hicks and George Gillett Jr
have been attempting to transfer the debt, for which they are
personally liable, on to the club itself. City sources believe this
is an extremely difficult task to complete before the loan's due
date at the end of February.
Sameer Al Ansari (left) is a Liverpool
fan.
It is possible that the Americans will meet the deadline, but if
not an Arab investment group, Dubai International Capital, is
understood to be close to lodging an offer to buy out the American
pair, probably for about £500m. Takeover discussions are thought to
be due before the end of this month.
If successful, DIC, led by Liverpool supporter Sameer Al Ansari,
would invest heavily in two areas: the new stadium that Liverpool
need if they are to compete with Arsenal and Manchester United for
matchday revenue, and an improved playing squad. Were they also to
acquire a new management team Jose Mourinho, who is known to be
interested in managing Liverpool, would be a prime candidate.
DIC were extremely close to buying Liverpool last February, only to
lose out to Hicks and Gillett when the club's chief executive, Rick
Parry, switched his support from the Arab camp to the American. The
latter paid £174.1m for a 100 per cent shareholding, also agreeing
to take on the club's then debt of £44.8m.
The purchase, however, was funded solely with borrowed money, Hicks
and Gillett's loan from the Royal Bank of Scotland swelling to
£350m as it was used to fund several high-profile summer transfers,
development work and architect's plans for a 60,000-seat stadium in
Stanley Park, and to roll up the interest on the debt.
The RBS loan is due for repayment next month. The Observer
understands that attempts to restructure it have so far failed and
the Americans have yet to inject new equity into the refinancing.
While RBS have asked Hicks and Gillett to each commit £20m of their
own cash to the deal, City sources believe that at least one of the
pair is not prepared to do so. Hicks and Gillett declined to
comment last night.
Meanwhile, work on 'New Anfield' has been held up by the impasse
over the acquisition loan, with no chance of funding being put in
place for the £400m stadium project until the issue is resolved. A
meeting in New York last week at which architects HKS and AFL
presented competing stadium designs, was described by Parry merely
as 'another big step forward to finding the best possible solution.
Everyone is reflecting on what they have heard and a clear decision
will be taken soon'.
Sources in the Middle East have confirmed that DIC remain as keenly
interested in buying Liverpool as they were one year ago. DIC last
night refused to comment on the matter, but they appear best placed
to resolve the financial problems affecting the club's
competitiveness in the Premier League. A mooted valuation of
£1billion has been ridiculed, but an enterprise value of around
half that figure might prove acceptable, allowing the Americans to
exit with a profit of £75m each.
The 2 Americans to exit with a profit of £75m
each?
