Byrner
01-19-2008, 12:58 AM
By James Ducker
LIVERPOOL face the prospect of a second change of ownership in less than a year as a critical next 48 hours promises to shape the future of English football's most successful club.
In another dramatic twist to the struggle for power at Anfield, Dubai International Capital (DIC) has agreed to back George Gillett Jr as he weighs up whether to make an offer to buy out the 50pc shareholding of Tom Hicks, his Liverpool co-chairman.
If Gillett is bold enough to present such an offer to his fellow American -- and there remained serious doubts last night that he will -- the success of the move, unthinkable when the pair bought the club in February last year, would be dependent on Hicks agreeing to sell.
It is a risky strategy on several grounds and one that could yet push their already strained relationship to breaking point. Hicks, the wealthier of the two, could easily take umbrage at what he may perceive to be Gillett's willingness to get in to bed with DIC, the private-equity arm of the Arab state, which tried to buy the club last year, and attempt to drive up the price of his shareholding or mount a counter-offer for Gillett's 50pc stake.
If Hicks does show a desire to sell and DIC comes on board, Gillett, who alone does not have the funds to acquire his partner's share, may have little choice but to part company with the club himself in the longer term if, as would appear likely, he was squeezed out by DIC.
Gillett may still opt against putting the offer to Hicks and instead approve a controversial £350million (€470m) refinancing plan for a new stadium that is expected to be ratified early next week.
However, it is hard to see how they can carry on working together in their present capacity beyond the short to medium term.
Gillett was furious with Hicks for admitting this week that Jurgen Klinsmann was offered the chance to succeed Rafael Benitez as manager -- the latest in a series of differences between the pair -- and by aligning himself with DIC, he has made clear his lack of confidence in his partner and is aware that much of the goodwill they originally enjoyed among supporters has been lost.
With the refinancing deal close to being agreed -- Hicks wants to replace the £270m (€360m) Royal Bank of Scotland loan that they used to buy the club with a £350m advance that will allow Liverpool to construct a 70,000-capacity stadium in Stanley Park -- the window of opportunity for Gillett to manoeuvre is small.
However, DIC, which was established in 2004 -- effectively as an investment vehicle for Sheikh Mohammed bin Rashid al-Maktoum, the world's fifth-richest man -- is unlikely to be permanently dissuaded in its attempts to buy into Liverpool in the event a deal cannot be struck. DIC tried unsuccessfully to buy a portion of new shares in the club in November and has the backing of the majority of Liverpool supporters, who, upset about the Americans' treatment of Benitez, made their feelings known during the 5-0 FA Cup third-round replay victory over Luton Town
A recent poll showed that 83pc of fans were in favour of DIC buying the club.
A change of ownership would not necessarily play into Benitez's hands, however, as it has been mooted that DIC would favour appointing its own man. Similarly, Rick Parry, the Liverpool chief executive, may also find himself between a rock and a hard place.
Like Gillett, Parry is uncomfortable with the refinancing package being proposed, but having given his backing to the Americans over DIC last year, he may find he has little support from the consortium, which had previously stated a desire to appoint its own chief executive.
Source: (http://www.independent.ie/sport/soccer/gillett-cuts-to-the-chase-as-power-struggleat-liverpool-takes-a-twist-1268396.html)
LIVERPOOL face the prospect of a second change of ownership in less than a year as a critical next 48 hours promises to shape the future of English football's most successful club.
In another dramatic twist to the struggle for power at Anfield, Dubai International Capital (DIC) has agreed to back George Gillett Jr as he weighs up whether to make an offer to buy out the 50pc shareholding of Tom Hicks, his Liverpool co-chairman.
If Gillett is bold enough to present such an offer to his fellow American -- and there remained serious doubts last night that he will -- the success of the move, unthinkable when the pair bought the club in February last year, would be dependent on Hicks agreeing to sell.
It is a risky strategy on several grounds and one that could yet push their already strained relationship to breaking point. Hicks, the wealthier of the two, could easily take umbrage at what he may perceive to be Gillett's willingness to get in to bed with DIC, the private-equity arm of the Arab state, which tried to buy the club last year, and attempt to drive up the price of his shareholding or mount a counter-offer for Gillett's 50pc stake.
If Hicks does show a desire to sell and DIC comes on board, Gillett, who alone does not have the funds to acquire his partner's share, may have little choice but to part company with the club himself in the longer term if, as would appear likely, he was squeezed out by DIC.
Gillett may still opt against putting the offer to Hicks and instead approve a controversial £350million (€470m) refinancing plan for a new stadium that is expected to be ratified early next week.
However, it is hard to see how they can carry on working together in their present capacity beyond the short to medium term.
Gillett was furious with Hicks for admitting this week that Jurgen Klinsmann was offered the chance to succeed Rafael Benitez as manager -- the latest in a series of differences between the pair -- and by aligning himself with DIC, he has made clear his lack of confidence in his partner and is aware that much of the goodwill they originally enjoyed among supporters has been lost.
With the refinancing deal close to being agreed -- Hicks wants to replace the £270m (€360m) Royal Bank of Scotland loan that they used to buy the club with a £350m advance that will allow Liverpool to construct a 70,000-capacity stadium in Stanley Park -- the window of opportunity for Gillett to manoeuvre is small.
However, DIC, which was established in 2004 -- effectively as an investment vehicle for Sheikh Mohammed bin Rashid al-Maktoum, the world's fifth-richest man -- is unlikely to be permanently dissuaded in its attempts to buy into Liverpool in the event a deal cannot be struck. DIC tried unsuccessfully to buy a portion of new shares in the club in November and has the backing of the majority of Liverpool supporters, who, upset about the Americans' treatment of Benitez, made their feelings known during the 5-0 FA Cup third-round replay victory over Luton Town
A recent poll showed that 83pc of fans were in favour of DIC buying the club.
A change of ownership would not necessarily play into Benitez's hands, however, as it has been mooted that DIC would favour appointing its own man. Similarly, Rick Parry, the Liverpool chief executive, may also find himself between a rock and a hard place.
Like Gillett, Parry is uncomfortable with the refinancing package being proposed, but having given his backing to the Americans over DIC last year, he may find he has little support from the consortium, which had previously stated a desire to appoint its own chief executive.
Source: (http://www.independent.ie/sport/soccer/gillett-cuts-to-the-chase-as-power-struggleat-liverpool-takes-a-twist-1268396.html)