LFC Talk

Huang closes in on takeover by lfctalk
August 2, 2010, 12:17
Filed under: News

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Chinese businessman Kenneth Huang has offered to buy the club’s £237m debt from the Royal Bank of Scotland in an attempt to end Tom Hicks and George Gillett Jr’s control of the Premier League club, sources have confirmed today.

Mr Huang has not commented publicly on the speculation but has appointed a British media relations firm to represent him “in respect of his interest in Liverpool Football Club”.

Mr Huang has previously been linked with a takeover the club, but was put off by the high price Hicks and Gillett have placed on the club – but could push through a £350m deal with the creditors getting impatient.

Mr Huang, chairman of the Hong Kong-based QSL Sports Group, has the backing of a sovereign fund behind him. A source close to the deal told BBC News: “A deal has to be done before the transfer window closes, Huang has made a firm proposal. The club’s board has to sanction the sale and it could be sewn up in days.”

But co-owner George Gillett has reportedly informed RBS that he is in negotiations with the Syrian businessman and former international footballer Yahya Kirdi. The terms of the loan say that any offers coming in through the current owners must be listened to, but it is believed that this is a smokescreen being used to up the price Mr Huang pays for the club.

Mr Huang’s opening offer for the club would prevent Hicks and Gillett from making any profit on the club – which they bought for £218.9m in February 2007. They have publicly stated their expectation of collecting at least £600m for the debt-ridden club.

Roy Hodgson has urged all parties to get any potential deal tied up before the end of August so that he can bring in some new faces and extra quality to the club.

Should no bid be successful this summer, there is a possibility that RBS could call in a percentage of their loan in October, potentially pushing the club into administration.


3 Comments so far
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I’m affraid to be like man.city part 2 or portsmoth part 2..I hope. Not..YNWA..

Comment by roy

Basically this is a hostile takeover, dealing with the bank to buy the debt and force the yanks out, very smart. The RBS owe the tax-payer £millions so they have to accept the deal on behalf of the public, very smart move!!!

Comment by Gano

This is not the making or breaking of RBS, unless they find themselves having to choose between not being repaid or owning a football club. That would at least straighten things out, don’t you think? I have no idea of the value of the brand but doesn’t it have something to do with whether the club is a profligate money-spending machine or a reliable money-earning machine?.

Comment by Julian

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