Jan 23 2008
by Tony Barrett, Liverpool Echo
LIVERPOOL co-owner Tom Hicks remains confident the long awaited refinancing deal will be signed, sealed and delivered tomorrow.
Sources close to Hicks told the ECHO that it is now just a matter of ironing out a few minor details with the Royal Bank of Scotland and American investment bank Wachovia, and that the American’s stance that he is not interested in selling the club to DIC has not altered in any way.
As well as privately committing himself to announcing the financial restructuring deal tomorrow, Hicks has informed confidantes he will also reveal finalised plans for the new Anfield at the same time.
“Tom is in no doubt that the deal with RBS and Wachovia is going through and he is looking forward to revealing the new stadium design which is every bit as spectacular as promised,” said one source.
“There are a few minor glitches to be ironed out but nothing major – it’s pretty much just standard procedure for a deal on this scale.”
Should the deal be completed tomorrow it will result in a £350m loan being taken out. But, under the terms on the table, the entire debt will not be taken on by Liverpool.
The ECHO understands the club will take on £105m, Kop Investment, the holding company set up by Hicks and Gillett in the immediate aftermath of last year’s takeover, will take on £190m, with the co-owners having been asked to put up £55m of their own money.
The fact that the loan is being arranged in this way represents a minor victory for David Moores and Rick Parry, who successfully argued with Hicks that the entire debt should not be loaded onto the club.
Moores and Parry, who remain on the Liverpool board, refused to budge from this position and their stance was one of the main reasons why the financial restructuring deal is only now nearing completion.
Had they capitulated, the likelihood is Liverpool would today be saddled with a debt of £350m.
But should the duo be removed from the board for any reason at any point in the future, there would be nothing to stop the entire debt from being shifted onto the club.
If Hicks’ plans come to fruition tomorrow as planned, the next stage of his plans will be the hunt for a further £300m loan to finance the construction of the new stadium.
by Tony Barrett, Liverpool Echo
LIVERPOOL co-owner Tom Hicks remains confident the long awaited refinancing deal will be signed, sealed and delivered tomorrow.
Sources close to Hicks told the ECHO that it is now just a matter of ironing out a few minor details with the Royal Bank of Scotland and American investment bank Wachovia, and that the American’s stance that he is not interested in selling the club to DIC has not altered in any way.
As well as privately committing himself to announcing the financial restructuring deal tomorrow, Hicks has informed confidantes he will also reveal finalised plans for the new Anfield at the same time.
“Tom is in no doubt that the deal with RBS and Wachovia is going through and he is looking forward to revealing the new stadium design which is every bit as spectacular as promised,” said one source.
“There are a few minor glitches to be ironed out but nothing major – it’s pretty much just standard procedure for a deal on this scale.”
Should the deal be completed tomorrow it will result in a £350m loan being taken out. But, under the terms on the table, the entire debt will not be taken on by Liverpool.
The ECHO understands the club will take on £105m, Kop Investment, the holding company set up by Hicks and Gillett in the immediate aftermath of last year’s takeover, will take on £190m, with the co-owners having been asked to put up £55m of their own money.
The fact that the loan is being arranged in this way represents a minor victory for David Moores and Rick Parry, who successfully argued with Hicks that the entire debt should not be loaded onto the club.
Moores and Parry, who remain on the Liverpool board, refused to budge from this position and their stance was one of the main reasons why the financial restructuring deal is only now nearing completion.
Had they capitulated, the likelihood is Liverpool would today be saddled with a debt of £350m.
But should the duo be removed from the board for any reason at any point in the future, there would be nothing to stop the entire debt from being shifted onto the club.
If Hicks’ plans come to fruition tomorrow as planned, the next stage of his plans will be the hunt for a further £300m loan to finance the construction of the new stadium.
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