Last Updated: Wednesday, 14th March 2007, 16:35 GMT

£289 Million American Takeover

The American businessmen Thomas O Hicks and George Gillet Jr. have borrowed £298m from the Royal Bank of Scotland to take full control over Liverpool FC. The debt is not going to be paid by the club, but people close to the deal believe that it would probably be paid by interest.


The men took out £185m for the actually £174m takeover and associate costs. The offer document also shows that Liverpool were low on money and desperately looking for someone to take over the club. All the previous owners of Liverpool have agreed to the Americans offer of £5,000 for each share; David Moores (Liverpool’s former owner) gained £89.615m for the 17,923 shares he sold. They plan to build a 60,000 seater stadium in the historic Stanley Park for £200m, which will also be borrowed by banks taking the total amount of lending to close to £500m. According to their financial advisor they see themselves as “custodians” of the club. Also they plan to invest more money into budgets and buying players. Will the Americans make or break Liverpool FC?

 By Adam.C