DIC: takeover thread

[StevieH]

Tom Hicks under pressure to show his cash | Liverpool - Times Online

Tom Hicks, the embattled Liverpool co-chairman, will come under increased pressure to prove that he can raise the funds to build the club's proposed new stadium in Stanley Park after the latest designs for the troubled project were approved yesterday.

Liverpool City Council announced that it had approved the new designs for the stadium, which were unveiled by Hicks amid great fanfare in January, but there are serious doubts within the club about whether the Texan has - or can generate - the £300 million needed to build the stadium.

Sources indicated last night that there are no plans to begin construction in the foreseeable future and that, with Hicks at loggerheads with George Gillett Jr, his co-chairman, the proposed 71,000-capacity stadium - initially built to a capacity of 60,000 with a view to expansion - could remain a pipe dream.

Gillett intends to sell his 50 per cent stake in the club to Dubai International Capital (DIC), the private equity investment arm of the Arab state. Hicks retains ambitions of buying out Gillett and assuming sole ownership of the club, having vetoed Gillett's proposed sale to DIC in March, but despite enlisting the help of Merrill Lynch, the financial management and advisory company, he has not yet raised the funds that he requires, with an unforgiving financial climate raising further doubts as to whether he will be able to do so.
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Sources have described the impasse as “the major issue for the club”, saying that Hicks will come under severe pressure either to prove that he can generate the funds needed to take Liverpool forward or to sell his stake in the club to DIC and allow Gillett to do likewise.

The design approved yesterday is the third that has been submitted to Liverpool City Council, with Hicks and Gillett having been forced to scale down the grandiose original design that they unveiled in July last year.

When the new plans were revealed in January, Hicks boldly stated that Liverpool supporters “should have high expectations for the future: a premier sporting experience at their new stadium at Stanley Park and a winning club on the pitch for years to come”, but yesterday there was a more sober announcement on the club's official website, saying only that Liverpool “welcomed” the council's decision and “is committed to taking the stadium project forward and to starting on site as soon as possible” with a view to relocating in time for the 2011-12 season.

It also remains to be seen what level of funding Rafael Benítez, the manager, will be given to strengthen his squad this summer. Benítez has been active in the transfer market, making bids to sign Gareth Barry, the Aston Villa captain, Aaron Ramsey, the highly rated Cardiff City teenager, and Philipp Degen, the Borussia Dortmund full back, but sources at Anfield have indicated that the majority of new signings are likely to be financed by the sale of fringe players, such as Scott Carson, who is on loan to Villa, John Arne Riise, Jermaine Pennant and Peter Crouch.

A pre-contract agreement to sign Degen on a free transfer is in place, while Benítez is confident of success in his pursuit of Barry, having offered players such as Carson, Riise and Pennant as makeweights in any deal for the England midfield player.

Barry is regarded as a priority signing for next season, particularly as Lucas Leiva, the Brazil midfield player, is likely to join Javier Mascherano, of Argentina, in missing the start of next season to play in the Olympic Games football tournament in Beijing.

[Carra_is_legend]

Originally Posted by StevieH Tom Hicks under pressure to show his cash | Liverpool - Times Online Tom Hicks, the embattled Liverpool co-chairman, will come under increased pressure to prove that he can raise the funds to build the club's proposed new stadium in Stanley Park after the latest designs for the troubled project were approved yesterday. Liverpool City Council announced that it had approved the new designs for the stadium, which were unveiled by Hicks amid great fanfare in January, but there are serious doubts within the club about whether the Texan has - or can generate - the £300 million needed to build the stadium. Sources indicated last night that there are no plans to begin construction in the foreseeable future and that, with Hicks at loggerheads with George Gillett Jr, his co-chairman, the proposed 71,000-capacity stadium - initially built to a capacity of 60,000 with a view to expansion - could remain a pipe dream. Gillett intends to sell his 50 per cent stake in the club to Dubai International Capital (DIC), the private equity investment arm of the Arab state. Hicks retains ambitions of buying out Gillett and assuming sole ownership of the club, having vetoed Gillett's proposed sale to DIC in March, but despite enlisting the help of Merrill Lynch, the financial management and advisory company, he has not yet raised the funds that he requires, with an unforgiving financial climate raising further doubts as to whether he will be able to do so. Related Links Sources have described the impasse as “the major issue for the club”, saying that Hicks will come under severe pressure either to prove that he can generate the funds needed to take Liverpool forward or to sell his stake in the club to DIC and allow Gillett to do likewise. The design approved yesterday is the third that has been submitted to Liverpool City Council, with Hicks and Gillett having been forced to scale down the grandiose original design that they unveiled in July last year. When the new plans were revealed in January, Hicks boldly stated that Liverpool supporters “should have high expectations for the future: a premier sporting experience at their new stadium at Stanley Park and a winning club on the pitch for years to come”, but yesterday there was a more sober announcement on the club's official website, saying only that Liverpool “welcomed” the council's decision and “is committed to taking the stadium project forward and to starting on site as soon as possible” with a view to relocating in time for the 2011-12 season. It also remains to be seen what level of funding Rafael Benítez, the manager, will be given to strengthen his squad this summer. Benítez has been active in the transfer market, making bids to sign Gareth Barry, the Aston Villa captain, Aaron Ramsey, the highly rated Cardiff City teenager, and Philipp Degen, the Borussia Dortmund full back, but sources at Anfield have indicated that the majority of new signings are likely to be financed by the sale of fringe players, such as Scott Carson, who is on loan to Villa, John Arne Riise, Jermaine Pennant and Peter Crouch. A pre-contract agreement to sign Degen on a free transfer is in place, while Benítez is confident of success in his pursuit of Barry, having offered players such as Carson, Riise and Pennant as makeweights in any deal for the England midfield player. Barry is regarded as a priority signing for next season, particularly as Lucas Leiva, the Brazil midfield player, is likely to join Javier Mascherano, of Argentina, in missing the start of next season to play in the Olympic Games football tournament in Beijing.

That is just a summary of this thread. Lazy journalism at its very best.

[gatnick]

Originally Posted by Carra_is_legend That is just a summary of this thread. Lazy journalism at its very best.

Your not wrong and i dont know about anyone else but im very bored of the media especially the part they're playing in this painfully slow shambles!

[JoeyKop]

Oliver Kay writes the same article every week. He just uses different words.

[coop]

Originally Posted by lfc4eva99 Its 7th may where I live... Deadline day, Coop??????????

As per usual mate things change on a regular basis and although they were hoping to make an announcement it wasnt forthcoming.

Im not sure if you understood when i said an announcement. It wasnt to say they had bought the club although that is still ongoing.

At this precise moment Dubai Holdings offer is there for all to see and they are waiting on a phone call from Tom Hicks or his representatives to say he is willing to sell.

Hicks is running out of options. He has tried whoring the club around the Middle East, he has tried America and more recently London to try and attract investment.

He has changed advisors because they are not giving him the information he wants (advisors are telling him to sell) and now it seems he has turned to Hedge funding which i shudder to think what will happen if he gets them.

What is happening now is Tom Hicks is under a lot of pressure to find some money. He has loans due now on other activities and the banks he owes the money to are getting restless.

Banks are not a charity case and they want their cash back from overdue loans. The banks know that Hicks as a way of paying money back and that is by selling his share in Liverpool.

Tom Hicks knows this but he is reluctant to sell Liverpool as we are the biggest money spinner he owns and he is exploring every avenue to be able to raise the money, even if it means putting the long term future of the club at risk he will try it.

[Sangria]

Hedge funds I fell a bit ill. I pray he does not go down that road although nothing would surprise me.
He is one pig headed cunt.

[theRedHorse]

Excuse my ignorance but what exactly is a Hedge fund and what would it mean for LFC?

[RedinSweden]

The hedge fund idea is no surprise. He is a friend of Bush.

[hamstrung]

Ooooh that's bad.

[JohnnyH]

Thanks for the updates and info coop.

[RedinSweden]

Originally Posted by hamstrung Ooooh that's bad.

shrubbish

[Sinos]

Originally Posted by theRedHorse Excuse my ignorance but what exactly is a Hedge fund and what would it mean for LFC?

Hedge funds are bad fucking news. You might want to track down David Conn's recent piece on Manures financial health from a couple of days ago.

Originally Posted by Sweet Silver Song off Rawk Hedge fund companies are the equivalent of loan sharks in the financial world. They provide loans where no other self respecting Banks will. They come at a price though, because their interest charges (and financial penalties) are that much steeper. The Glazers are doing ok now, but they took a massive gamble and it just about paid off. They were loaned up to their eyeballs with debt, the demand for corporates had bottomed out at OT. they were struggling to fill the 76K stadium and season tickets were only slowly being taken up. If they had continued for another season in that vein, they would have gone into meltdown. I know certain Hedge companies involved were already looking at identifying certain players that they wanted sold. But luckily for them Cech suffered that injury at Reading, and they managed to sneak the league. Since then they've gone from strength to strength on the pitch, and the corporates are back as well as the demand for tickets from the fans. Things are much more stable now. Hicks may similarly gamble like the Glazers, but I doubt even with Rafa's guile we will see a similar outcome.

[spider-neil]

moores couldn't have picked a worse invester if he tried.

[Sangria]

Originally Posted by theRedHorse Excuse my ignorance but what exactly is a Hedge fund and what would it mean for LFC?

What it would mean is massive interest rate repayments.

The banks will not lend him the money so he has to go elsewhere and that means higher interest rates. As someone said read the article about the mancs and the rate of interest they are paying.

[The Acolyte]

Originally Posted by Sinos Hedge funds are bad fucking news. You might want to track down David Conn's recent piece on Manures financial health from a couple of days ago.

He can't be serious?
It wouldn't happen anyway.
He still needs GG to accept and would he be that callous in taking the money knowing what it will do to the club.
Probably and thats what scares me.