Liverpool accept American bid

English Liverpool FC submitted yesterday a statment to the Stock Exchange, confirming that the GBP 470 million ($925.3 million) takeover offer by Americans George Gillet JR and Tom Hicks has been accepted by the club's board.

"Liverpool FC today [Tuesday] announced that the board has agreed the terms of an offer for the club from Mr. George Gillet and Mr. Tom Hicks," the statement read. "The offer is GBP 5,000 in cash for each Liverpool Share, valuing the issued share capital of Liverpool at approximately GBP 174.1 million. "Together with the GBP 44.8 million of net debt in the club as at December 31 2006, this represents an enterprise value for Liverpool of GBP 218.9 million."

Kop Football Limited, the American pair's bid vehicle, is an English private limited company, which has been incorporated for the specific purpose of making the offer and which is ultimately jointly controlled by Gillett and Hicks.

Kop has indicated its intention to build, as soon as reasonably practicable, the proposed new 60,000 seat stadium at Stanley Park for which the club has already received planning permission and to facilitate the financing of its construction. Kop has also indicated that it is committed to an annual budget for player transfers and is able to supplement this should Liverpool's management and Kop agree additional funds are required.

"Liverpool is a fantastic club with a remarkable history and a passionate fanbase," read a joint statement issued by the new owners.

Gillett admitted his first bid to take control of the club had not been up to scratch, and was almost turned down because of the stadium plans, till Hicks chipped in to seal the deal.

The pair confirmed that current Liverpool chairman David Moores and chief executive Rick Parry will stay with the club.

"We are particularly pleased that David Moores and Rick Parry will have a continuing involvement in the club. For us continuity and stability are keys to the future," the statement added.

Parry will continue doing his role while Moores will be an honorary life president.

"This is great for Liverpool, our supporters and the shareholders - it is the beginning of a new era for the club," said Parry.

"They have made clear their intention to move as quickly as practicable on the financing and construction of our proposed new stadium at Stanley Park and also to support investment in the playing squad."

Liverpool's takeover is the latest foreign raid on Premiership clubs after Chelsea, Manchester United, Portsmouth and West Ham United were taken over by foreign investors.

Source: euFootball.BIZ © Copyright 2006 - All rights reserved.