Tweet
Liverpool's potential new owner Kenny Huang 'remarkably serious'
• Chinese businessman promises to invest in team and stadium
• He wants to get it done quickly, according to a source
(17)
Tweet this (29)
Press Association
guardian.co.uk, Monday 2 August 2010 15.15 BST
Article history
The Chinese businessman Jianhua "Kenny" Huang has put together a 'remarkably serious' offer for Liverpool. Photograph: Ng Han Guan/AP
The Chinese businessman Kenny Huang has pledged to invest heavily in Liverpool should his ownership bid succeed.
The head of the Hong Kong-based investment company QSL Sports Ltd has been in talks with Royal Bank of Scotland over buying out the Reds' £237m debt. That would give him "a ridiculously large amount of leverage", a source told the Press Association, in order to be able to force out the club's unpopular owners Tom Hicks and George Gillett.
But the spending would reportedly not stop there as Huang, whose interest is described as "remarkably serious", is keen to get a deal done in order to be able to furnish Roy Hodgson with money to spend in this month's transfer window. In addition, he would turn his attention to finally getting Liverpool's new 60,000-seat stadium built in Stanley Park after three years of inertia.
"He wants to get it done quickly so investment can come this summer," said a source close to the bid. "Liverpool need investment in the playing squad and infrastructure and Huang wants to build the stadium. The club has an outstanding reputation but does not have the infrastructure to keep with it and make it grow."
Huang is backed by one of the wealthiest investment funds in the Far East and is well known in China for his interests in baseball and basketball, last year buying a 15% stake in the NBA's Cleveland Cavaliers. He was first linked with a buy-out at Liverpool two years ago but believes now is the time to make his move.
Huang is making all the right noises to get supporters on board but although the majority would be delighted to see the back of Hicks and Gillett, the fans will be wary of grandiose promises. The US owners made similar claims when they assumed control just over three years ago, with Gillett insisting there would be a "spade in the ground [for the new stadium] within 60 days".
That particular boast, like many others, remains unfulfilled while investment in the squad has all but dried up The pair put the club up for sale in April after admitting they had taken Liverpool as far as they could and an independent chairman, Martin Broughton, was appointed along with Barclays Capital to find a new buyer.
However, Huang bypassed that process completely by going straight to major creditor, RBS. He hopes by making an offer which will see the bank receive most of its money back he can force Hicks and Gillett out of Anfield. "By going to RBS you can leverage a large amount of pressure that no one else can on the owners," the insider added. "It is a deal which has no interest in shareholders, meaning there will be no profit for Hicks and Gillett."
Gillett informed RBS last week that he is in advanced negotiations with the Syrian businessman Yahya Kirdi. However, this has been viewed as a stalling tactic in an attempt to delay the bank's considerations.
If RBS decides to turn down Huang's proposal – and no new viable bidders are forthcoming – it has the option of calling in the loan in October. It would then be classed as "distressed debt" but with the transfer window by then closed, Liverpool would be a much less attractive proposition to investors.
Huang is believed to have already spoken to senior figures at Anfield to express his seriousness. He hopes that his message will filter down to help persuade players like Fernando Torres, who returned to training today after his post-World Cup break, that the club do have a better future.
• Chinese businessman promises to invest in team and stadium
• He wants to get it done quickly, according to a source
(17)
Tweet this (29)
Press Association
guardian.co.uk, Monday 2 August 2010 15.15 BST
Article history
The Chinese businessman Jianhua "Kenny" Huang has put together a 'remarkably serious' offer for Liverpool. Photograph: Ng Han Guan/AP
The Chinese businessman Kenny Huang has pledged to invest heavily in Liverpool should his ownership bid succeed.
The head of the Hong Kong-based investment company QSL Sports Ltd has been in talks with Royal Bank of Scotland over buying out the Reds' £237m debt. That would give him "a ridiculously large amount of leverage", a source told the Press Association, in order to be able to force out the club's unpopular owners Tom Hicks and George Gillett.
But the spending would reportedly not stop there as Huang, whose interest is described as "remarkably serious", is keen to get a deal done in order to be able to furnish Roy Hodgson with money to spend in this month's transfer window. In addition, he would turn his attention to finally getting Liverpool's new 60,000-seat stadium built in Stanley Park after three years of inertia.
"He wants to get it done quickly so investment can come this summer," said a source close to the bid. "Liverpool need investment in the playing squad and infrastructure and Huang wants to build the stadium. The club has an outstanding reputation but does not have the infrastructure to keep with it and make it grow."
Huang is backed by one of the wealthiest investment funds in the Far East and is well known in China for his interests in baseball and basketball, last year buying a 15% stake in the NBA's Cleveland Cavaliers. He was first linked with a buy-out at Liverpool two years ago but believes now is the time to make his move.
Huang is making all the right noises to get supporters on board but although the majority would be delighted to see the back of Hicks and Gillett, the fans will be wary of grandiose promises. The US owners made similar claims when they assumed control just over three years ago, with Gillett insisting there would be a "spade in the ground [for the new stadium] within 60 days".
That particular boast, like many others, remains unfulfilled while investment in the squad has all but dried up The pair put the club up for sale in April after admitting they had taken Liverpool as far as they could and an independent chairman, Martin Broughton, was appointed along with Barclays Capital to find a new buyer.
However, Huang bypassed that process completely by going straight to major creditor, RBS. He hopes by making an offer which will see the bank receive most of its money back he can force Hicks and Gillett out of Anfield. "By going to RBS you can leverage a large amount of pressure that no one else can on the owners," the insider added. "It is a deal which has no interest in shareholders, meaning there will be no profit for Hicks and Gillett."
Gillett informed RBS last week that he is in advanced negotiations with the Syrian businessman Yahya Kirdi. However, this has been viewed as a stalling tactic in an attempt to delay the bank's considerations.
If RBS decides to turn down Huang's proposal – and no new viable bidders are forthcoming – it has the option of calling in the loan in October. It would then be classed as "distressed debt" but with the transfer window by then closed, Liverpool would be a much less attractive proposition to investors.
Huang is believed to have already spoken to senior figures at Anfield to express his seriousness. He hopes that his message will filter down to help persuade players like Fernando Torres, who returned to training today after his post-World Cup break, that the club do have a better future.