Sunday Torygraph said:Tom Hicks and George Gillett ready to sell Liverpool
Tom Hicks and George Gillett ready to sell Liverpool
Liverpool’s co-owners Tom Hicks and George Gillett will this week appoint Barclays Capital, the bank’s investment arm, to begin the search for new owners after both agreed to discuss a complete sale of the club.
Though the pair had previously engaged Merrill Lynch and Rothschild in a bid to attract minority investors to Liverpool, the arrival of Barcap to invite new offers for the club and the forthcoming installation of Martin Broughton, chairman of British Airways, as the club’s chairman is understood to be evidence that the Americans are preparing to withdraw from Anfield.
Both appointments are likely to be confirmed in the coming days as Hicks and Gillett bid to present a united front to potential suitors. That both had approached different banks in the past to sell all or part of their own stakes is thought to have been a considerable obstacle to attracting investment.
That search, led by Merrill Lynch, Rothschild and then Christian Purslow, the club’s managing director, has acquired a new sense of urgency in recent weeks after it emerged the Royal Bank of Scotland, holders of Liverpool’s £237 million debts, had made refinancing those loans in July conditional on the club securing £100 million of fresh investment.
The only concrete offer received by Liverpool, though, from the New York-based fund management firm Rhône Group, was effectively rejected last week amid suggestions the proposal – £110 million for a 40 per cent stake in the club – did not meet the Americans’ asking price.
That is likely to remain a source of concern for potential buyers, despite the appointment of Barcap and the arrival of Broughton to ease the sale.
Though the latest development is believed to represent the beginning of the end for Hicks and Gillett, they have twice held discussions over a complete sale in their three-year tenure at Liverpool, once with Dubai Investment Capital and once with the Qatari Al-Ansari family.
On both occasions, their asking price proved prohibitive, with the Americans thought to have demanded around £500 million for a club they bought for 220 million in February 2007.
Estimates drawn from guideline figures released by Deloitte suggest that, applying the same formula Hicks and Gillett used to place a value on the club when conducting their own takeover, Liverpool is now worth around £295 million.
New investment cannot come quickly enough for the Merseyside club. Trailing fourth-placed Manchester City by four points and having played a game more, Liverpool are faced with the sobering prospect of their place in the league hierarchy coming into line with their place in the financial hierarchy.
Never exactly a club that embraced modernisation, off the pitch Liverpool have been on pause as the rest of the Premier League has progressed. It has got to the stage where Benítez cannot even guarantee that the “spine of the team” — and for that read Steven Gerrard and Fernando Torres — will be at the club next season.
“We will try [to keep them], we will see what happens,” he said. “But I cannot guarantee it – it depends on the investors.”
Two seasons ago Liverpool’s wage bill was £10?million behind Arsenal, £30 million behind Manchester United and £80?million behind Chelsea. That gap will have grown and Manchester City will have also overtaken them with Tottenham closing in rapidly. In financial terms they have fallen behind the curve.
“It is not easy to compete with Manchester City and Chelsea,” Benítez said. “I always say that we have to do almost everything perfectly. If we make a mistake in the transfer window it is extra difficult for us to manage.”
The obvious example at Liverpool is Alberto Aquilani, whose £17 million signing has been used as an example of Benitez’s inadequacy in the market.
The failure of Aquilani to replace Xabi Alonso is exacerbated by the thinness of Benitez’s squad. Manchester United have signed Mexican striker Javier Hernandez and Chris Smalling of Fulham for fees that could total £19 million ahead of next season and neither is expected to come into the first XI. “No, we can’t do this,” Benítez said. “They even have a player worth £12 million [Zoran Tosic] out on loan.” Still, Benítez is, to use his own choice of idiom, trying to “wheel and deal”. He said that the signing of Milan Jovanovic from Standard Liege was “very close” but then that is a free transfer.
If City beat them to fourth then the ambition of Sheikh Mansour is bound to kick back in and the A-list players he wants might start to buy into the 'project’. Liverpool could be blown out of the water this summer.
Benítez is clear in what he wants: “three or four” top quality players, costing “£15-20 million” each, to get his squad in shape to compete for the title and the Champions League.
Despite the limits on wages, Benítez has tied many important players on long-term contracts, Pepe Reina the latest last week, and has got to work on rejuvenating the academy. But if Barcap’s search for new investment fails, Liverpool’s failure to qualify for Europe’s elite competition could become habitual.
NOTW said:LIVERPOOL PLANNING FULL-BACK CULL
LIVERPOOL are planning a full-back cull this summer.
Argie left-back Emiliano Insua could be off to Spain for £5million, Fabio Aurelio has not been offered a new deal and Philipp Degen is bound for Germany.
Despite a breakthrough campaign, the Merseysiders' are considering offloading Insua because he can't be guaranteed regular first-team football next season.
He is attracting interest from Spain and Liverpool could easily raise funds.
The 21-year-old is looking to force his way into Argentina's World Cup squad after establishing himself in Rafa Benitez's side this season.
But Liverpool will be hunting a new left-back in the summer and the South American will have to decide if he wants to readjust to life as a deputy.
Aurelio hasn't been offered a new contract due to his injury problems, while Degen is keen to return to the Bundesliga after making no impact at Anfield.
NOTW said:BENITEZ BLAMES BOSSES FOR LACK OF QUALITY
RAFA BENITEZ risks ending his Liverpool reign in acrimony and recrimination. The Anfield boss is demanding a £60million summer transfer kitty, despite claiming players may have to be sold if investment isn't secured. He has blamed long-term mismanagement of The Academy for leaving his squad short of quality and claimed he was forced to sell stars such as Peter Crouch because they could earn more money elsewhere.
Benitez does admit he has made mistakes in the transfer market, but Sport of the World understands his previously strong relationship with a key ally, chief scout Eduardo Macia, has deteriorated, with Macia being blamed for transfer catastrophes such as £7m Andrea Dossena and £20m Alberto Aquilani.
Benitez knows his comments put him back on collision course with his bosses. He is likely to leave despite progress to the semi-final of the Europa League. But there's no way he'll go quietly as he is taking the gamble of blowing the whistle on the restraints he feels he's worked under. He started by suggesting the club might have to sell stars to raise funds if investment didn't arrive soon.
"It will depend on the investors," he said. "We want to keep the spine of the team. But sometimes you have to manage and you have to sell two or three players who aren't playing many games. I think we can improve but it depends if we can do the right signings and it is always easier to sign more players with more money.
"If you analyse what Fernando Torres and Jamie Carragher have said, they were talking about needing four or five players. The cost of a top-class player is about £20m. I think we need three. It's not easy for us to compete for players. We have to do almost everything perfectly."
"Look at other teams, they have plenty of players worth £20m who are not playing, but they manage because of the squad. Last year we tried to keep players and extend contracts and to add some players. It depends on the money available but the key is if you don't have too much money then don't make mistakes. "
"Sometimes you bring someone who needs to settle down or they have a problem - this year we had a problem with Alberto Aquilani and his ankle - so you cannot guarantee anything. People can talk about this player and that player but they have to blend in because if you don't have £60m every year you have to sell."
Benitez has been criticised for allowing players such as Xabi Alonso, Sami Hyypia and Crouch to leave the club. But he insists he was powerless to prevent their departures.
Benitez said: "I was listening to some fans and they said 'why did you sell this player or that'. I said we sold one tall striker - I won't tell you his name, you can guess - but his wages at his other team are double what they were here. If they don't play here and they can get double wages elsewhere they will think 'maybe I should go'.
"Hopefully in the future we will have more players coming from the youth system and from the reserves. This is the first year we have had control of The Academy. We have not produced a player in the last 13 years so that was a big problem."
Benitez knows his remarks will upset Anfield's hierarchy and his reign could conclude amid claim and counter-claim about where responsibility lies for Liverpool's woes. If potential new investors Rhone have their bid accepted, managing director Christian Purslow will lead a new board next season. Their relationship is the key to Benitez's long-term survival.
But with the manager and board still pointing the finger at each other, it's inevitable any parting of the ways this summer will be bitter.
NOTW said:RUSSIANS PLOTTING £9M YOSSI SWOOP
LIVERPOOL face being hit with a £9million bid from CSKA Moscow for Yossi Benayoun. The Russians plan to lure the Israeli midfielder away from Anfield with a bumper pay deal.
Benayoun, 29, spent last week discussing his future with agent Ronen Katsav, despite having three years left on his contract. But he insisted: "It's flattering other clubs want me but what is important is where I am now. I am enjoying myself and it's good for me here. In a few more weeks, it will be the right time to talk about certain things."
Reserve keeper Diego Cavalieri will leave Liverpool this summer for compassionate reasons. The Brazilian's father died and his wife has suffered a miscarriage in recent months. Cavalieri joined the Reds from Palmeiras in 2008 but has failed to break into the side.
The People said:Rafa Benitez: I could sell Fernando Torres or Steven Gerrard
by Steve Bates
Rafa Benitez has admitted for the first time he might have to sell Fernando Torres or Steven Gerrard.
Liverpool boss Benitez insists he needs a summer transfer kitty of £80million to compete with Chelsea and Manchester United next season. And with the club struggling to find new investors, Benitez's only option might be to sell off the crown jewels. He said: "I cannot guarantee that we won't have to sell a big player."
Benitez went public with his fears as it emerged that American owners Tom Hicks and George Gillett are to appoint British Airways chief Martin Broughton as independent chairman to help oversee the sale of the Merseyside club.
Sunday Mail said:Liverpool for sale: American owners admit they will cut a deal for club with £237m debts
American millionaires Tom Hicks and George Gillett have taken their first step towards selling Liverpool.
The Premier League club's co-owners have hired investment bank Barclays Capital to find potential investors to ease the financial crisis at Anfield. But, significantly, they have also indicated for the first time that they would sell the club for the right price.
The move will delight under-pressure manager Rafael Benitez, who knows his spending plans have been badly affected by the £237million debt built up by the owners, who are unpopular with the majority of Liverpool fans.
The Royal Bank of Scotland, who, along with American investment bank Wachovia, lent Hicks and Gillett the money, have demanded that they reduce that debt by £100m in July.
Benitez yesterday warned that he needs to spend £60m this summer to compete for major trophies. The manager underlined his concern that Liverpool's status will be under threat unless they sign three world-class players in addition to acquiring Serbia midfielder Nikola Jovanovic on a Bosman free.
Hicks and Gillett were met by hostile demonstrations when they went to Anfield for Liverpool's Europa League quarter-final against Benfica on Thursday night and they are set to appoint British Airways chairman Martin Broughton to take on the same role at Liverpool because of their own unpopularity.
However, the Americans are unlikely to be forced into a fire-sale of the club, having recently rejected a £105m offer for 40 per cent from New York investment bank The Rhone Group. Five sets of investors have expressed an interest but Hicks, in particular, was against the offer from The Rhone Group.
Liverpool take on Fulham today 19 points behind Premier League leaders Chelsea and four points behind Manchester City in the race for the final Champions League place.
Benitez, who is being courted by Juventus, last night put a price on his ambitions at Anfield, saying: 'We need three or four players. The cost of a top-class player is about £15m or £20m, so you can start counting how much it will cost.
'If we have problems with one of our signings like Alberto Aquilani, we find it difficult to manage. Other teams have expensive players injured, or not in the team, and they can manage because of the size of their squad.'
Atletico Madrid striker Diego Forlan, who will face Liverpool in the Europa League, and Spain forward David Silva of Valencia are among Benitez's targets.
The manager will not want to stay if players such as Fernando Torres and Steven Gerrard are sold. But he is willing to offload the likes of Ryan Babel, Albert Riera and Aquilani.
The Liverpool manager has spent £220m in six years at Anfield, with Peter Crouch, Craig Bellamy, Robbie Keane, Andrea Dossena and Mark Gonzalez, among others, coming and going through the revolving door. But Benitez insists the high turnover has not been his fault.
He said: 'I was criticised for selling one tall striker [Crouch] but his wages at Portsmouth were double what they were here. How could I keep him?'
Liverpool midfielder Yossi Benayoun has agreed a new deal to keep him at Anfield until 2013. The 29-year-old agreed a two-year extension to his current Anfield contract and will be paid about £70,000 a week.
Wolfsburg coach Lorenz-Gunther Kostner acknowledged his side were second best and he believes Fulham can reach the final in Hamburg on 12 May.
"We didn't have the team with enough bite and the right attitude tonight," he said.
"We made mistakes and we made the wrong substitutions. I'm sorry, the players are sorry.
"Fulham are a very good team with a very good defence and I'd always warned it was not going to be an easy game.
"If Fulham play in a very compact way like they did tonight then they have a very good chance of making the final."
"I don't think I will have to sell a big player, but it will depend on investors so I cannot guarantee we won't have to sell. Our idea is to keep the spine of the team," he told the People.
"Sometimes you have to manage by selling two or three players who aren't playing too many games, but that does not bring in any big money if they are not playing."
[/quote]The People said:Rafa Benitez: I could sell Fernando Torres or Steven Gerrard
by Steve Bates
Rafa Benitez has admitted for the first time he might have to sell Fernando Torres or Steven Gerrard.
Liverpool boss Benitez insists he needs a summer transfer kitty of £80million to compete with Chelsea and Manchester United next season. And with the club struggling to find new investors, Benitez's only option might be to sell off the crown jewels. He said: "I cannot guarantee that we won't have to sell a big player."
Benitez went public with his fears as it emerged that American owners Tom Hicks and George Gillett are to appoint British Airways chief Martin Broughton as independent chairman to help oversee the sale of the Merseyside club.