Dubai International to make bid for Liverpool FC

[desertscouser]

It really is. As a club we've had glory but we've also had so much tragedy. I just think it's our destiny to get out of this sh!t.

[CharlieMansonsSquint]

I think DIC will be our new owners by the end of the season. I have no inside information to back that up but it's a gut feeling.

Agree.

Today's stock market balls up has convinced me that they'll either sell us to DIC directly, or they'll default on the RBS loan and they'll sell us to the Sheik.

Whether that will be a positive outcome for us I don't know.

[ronniedrew]

we will be owned by DIC if the yanks decide to sell up, they hold all of the aces here, make no mistake about that!

i would love a "source" in their camp, a word or 2 from gilette, then we might know what the hell is going on.

[desertscouser]

Agree.

Today's stock market balls up has convinced me that they'll either sell us to DIC directly, or they'll default on the RBS loan and they'll sell us to the Sheik.

Whether that will be a positive outcome for us I don't know.

I think it will be positive. DIC have seen what happens when a new owner comes in and disrespects our traditions and everything we believe in. They would be foolish not to have learnt how not to do things. DIC are a business but they are also trying to enhance the image of the Emirates. I doubt they would want mass demonstrations against them. They'r not fools. I genuinely believe they would be good owners.

[Guest]

we will be owned by DIC if the yanks decide to sell up, they hold all of the aces here, make no mistake about that!

i would love a "source" in their camp, a word or 2 from gilette, then we might know what the hell is going on.

They'll be gone soon mate. One day, One month or 2n,... months.

[kopdan]

I think it will be positive. DIC have seen what happens when a new owner comes in and disrespects our traditions and everything we believe in. They would be foolish not to have learnt how not to do things. DIC are a business but they are also trying to enhance the image of the Emirates. I doubt they would want mass demonstrations against them. They'r not fools. I genuinely believe they would be good owners.

not many clubs get a second chance with something like this. Hopefully its not taken away from us

[MascheredUp]

There were fresh indications last night that Hicks and Gillett may be forced to sell, with serious doubts over whether they can proceed with their £350 million plan to refinance the club. A harrowing day in the world financial markets yesterday is said to have raised even greater doubts about the feasibility of that plan, with Gillett understood to be keen either to sell up or to join forces with Dubai International Capital (DIC), who would then bid for the 50 per cent stake controlled by Hicks.

Hicks hoped to proceed today with the refinancing plan that would load the Americans’ debts on to the club and stabilise their position at Liverpool, at least in the short term, but there is growing doubt as to whether that deal, agreed in principle with Royal Bank of Scotland and Wachovia, will go through. Although Royal Bank of Scotland remain convinced that it will – albeit not today, as they had originally believed – sources in the City believe that the Americans’ regime is crumbling by the day.

Failure to secure a new loan by next month would open the door for the from back page club to be bought by DIC, the private equity investment arm of the Arab state. That would be the preferred option of many Liverpool fans – and of the club’s previous board, who accept that they erred in selling to the Americans, rather than DIC last February.

[Chris]

Fears that Dubai rescuers may be scared off as Liverpool tip towards crisis point
Oliver Kay

The turmoil surrounding Liverpool continued yesterday amid growing fears that the proposed “rescue plan” from Dubai International Capital (DIC) will be abandoned if Tom Hicks, the unpopular co-owner, proceeds today with a £350 million refinancing package that will plunge the club deep into debt.

Despite the grave misgivings of George Gillett Jr, his co-owner, and of the Liverpool board, Hicks intends to press ahead with a refinancing plan that has been agreed in principle with their bankers, the Royal Bank of Scotland and Wachovia. That plan, to transfer the duo’s existing £300 million debt to the club, will leave Liverpool facing annual interest payments in the region of £30 million, but the greater concern in the immediate term is that it may drive away DIC, the private-equity investment arm of the Dubai Government, which is regarded by many at Anfield as the potential “saviour” of the club.

There was optimism at Liverpool last week that Gillett, who is regarded as the more benign of the two owners, may be persuaded to veto the refinancing plan or that he may join forces with DIC in a bid to buy out his business partner. The expectation now, however, is that Gillett will reluctantly put his name to the refinancing package, which is regarded by the Americans as a means of stabilising their troubled regime at Anfield, at least in the short term, allowing them to proceed with plans to construct a new £300 million stadium on Stanley Park.

There is little doubt that Hicks and Gillett, faced with spiralling costs and hostility from the club’s supporters, are losing their appetite for the challenge they took on at Liverpool only 11 months ago, but they will not be forced into a quick sale.

Although they have held informal negotiations with DIC through a third party, they have no intention of selling unless they make a profit on their initial £234 million investment. They have already informed their bank that a proposed £300 million offer from DIC will be rejected out of hand.

The uncertainty at the club – not least over the future of Rafael BenÍtez, whose long-term position as manager appears untenable under the present regime after his much-publicised fall-out with Hicks – made for an unusually hostile atmosphere as Liverpool prepared to take on Aston Villa in the Barclays Premier League last night. After recent events, many supporters headed to Anfield preparing to direct their anger at the owners.

The “Reclaim the Kop” campaign has been influential in orchestrating the protests against the owners. In a prematch statement, it said: “These two . . . are not fit to be associated with our club. The current situation is unworkable. Rafael BenÍtez, with his ingrained sense of honour, dignity and morality, has been publicly humiliated by Hicks and Gillett. Rafa would have walked away by now but for one small thing the Americans will never ‘get’: he loves it here.”

Regardless of his wish to stay, BenÍtez appears certain to leave at the end of the season if Hicks and Gillett remain in situ. The Spaniard’s position was severely unstable even before Hicks admitted last week that he had held talks with Jürgen Klinsmann, the former Germany coach.

http://www.timesonline.co.uk/tol/sport/football/premier_league/liverpool/article3228035.ece

[sonsofthedesert]

From The TimesJanuary 22, 2008

Heart is ruling the head in Anfield pursuit by Al AnsariSiobhan Kennedy: Analysis
Dubai International Capital (DIC) is an investment arm of the Dubai Government and its ruling king. As such, it has an almost bottomless pit of cash at its disposal.

The group is one of the largest sovereign wealth funds that are topping the headlines at the moment after coming to the rescue of the big American banks that need propping up in the wake of the global credit crunch.

The company is best known in Britain for its acquisition of the Madame Tussauds, the waxworks museum, which merged last year with Merlin Entertainments Group, although Dubai still owns 20 per cent of the combined company. It also owns Travelodge, the budget hotel chain, which it acquired for £675 million in August 2006, and Doncasters, the UK industrials company.

The investment arm of DIC is the same as any other private equity firm, such as Blackstone, KKR, or Permira, which ran into trouble last year over its acquisition of the AA. Private equity firms acquire companies using small amounts of their own cash and lots of debt. They then push through a restructuring or refocusing of the company and pay themselves a dividend once the company’s fortunes have turned around. After an investment period of about three to five years, private equity firms then sell or float the company if it is private.

Related Links
Hicks battles on but Dubai bid could vanish
Crouch leaps to rescue as fans vent fury
Hicks and Gillett to hold out for offer they can't refuse
Typically, their interest in companies is financially driven, but in this case, it is believed that Sameer Al Ansari, the head of DIC, is leading from the heart, not the head.

Having been educated at Liverpool University School of Law, Al Ansari is a big Liverpool fan and goes to Anfield several times a season, in the same way that Malcolm Glazer’s son, Joel, had a passion for Manchester United. How better to satisfy that passion than buying the club? It worked for Glazer and Al Ansari thinks it can work for him, too.

Like Glazer, Al Ansari knows the marketing power of Liverpool is huge and he wants to find a way to turn that appeal into profits. George Gillett Jr, the Liverpool co-owner, said in February 2007 that the Liverpool “brand” needed to be promoted in the Far East. “Liverpool is the No 1 brand in Europe. If you go to the Far East, Man Utd has historically been the No 1 brand, Chelsea has recently become popular,” he said.

In 2005, LiverpoolFC.tv, the digital media arm of the club, signed a partnership with China.com Inc to launch a Chinese language website and wireless service and spread the popularity of the brand in China. The global online membership of LiverpoolFC.tv stands at 28 million.

When Dubai’s first attempt to buy Liverpool failed last year, Al Ansari gave an unusually emotional response in a DIC press release. He said: “Liverpool is the most successful football club in English football history. It exists to win things for its supporters. It deserves to be in the hands of people who support it, who understand its history and legend and who share the enthusiasm and passion of its fans.

“I am sure I will be back at Anfield with my family soon to support my team, as I have done so in the last 30-plus years. In the meantime, I wish the manager, the players and everyone connected with the club the best of fortune for the challenges ahead and will make sure that I am there the day they lift the Premiership trophy.”

LINK

[AFII]

The Royal Bank of Scotland's shares fell 7% yesterday so I can understand if they have second thoughts about the loan to G&H.

[Morph]

Well somethings going to happen soon enough, can't be arsed speculating about it any more

[ronniedrew]

They'll be gone soon mate. One day, One month or 2n,... months.

only if they decide to go.

if someone knocked on my door and said, i like your 3 series out there , i am willing to make an offer, i would listen, but that doesnt mean that i wont tell them to do one at the end of the conversation, i own the car at the end of the day

my problem is, they see a big future in earnings for this great club, as do i, they are obviously planning for a new stadium etc and see the club to be worth a hell of a lot more than they bought it for last year.

By all accounts, DIC will not pay what they consider to be over the odds. they have walked once, this proved they will not buy at all costs and are NOT hell bent on buying our club, if they were they would not have accepted no for an answer in the first place, but yet people seem to think they are willing to do this now for some reason

This brings me back to the valuation, if they are not on the same wavelengths, then this whole thing is a red herring.


all of our inside info has come from DIC, the problem is DIC are not the ones on hte driving seat, they are trying to cause unrest among the fans, this will not faze the yanks.

It will take a large some of profit for the yanks to sell imo, and with the reports that DIC are not going to pay over the odds, i think that people on here are putting the cart before the horse

[ronniedrew]

The Royal Bank of Scotland's shares fell 7% yesterday so I can understand if they have second thoughts about the loan to G&H.

sub prime lending etc.

they will have secured a valuable asset against the loan , i.e. liverpool fc , mellwood, anfield, all the players etc, all of the assets. the whole shebang will be secured against the loan.

i would be surprised if its a problem to be honest

[Morph]

Totally irrelevant to the direction of this thread but i've had this recurring vision of Hicks slating us as fans, saying we didn't deserve his input into the club, that we didn't give him the chance, and that he's sorry we couldn't make it work, in a farewell interview in a newspaper.

Anyway I probably just sound like a big wierdo now with my visions, but there you go, felt i had to share with everyone.

[Alpha]

only if they decide to go.

if someone knocked on my door and said, i like your 3 series out there , i am willing to make an offer, i would listen, but that doesnt mean that i wont tell them to do one at the end of the conversation, i own the car at the end of the day

my problem is, they see a big future in earnings for this great club, as do i, they are obviously planning for a new stadium etc and see the club to be worth a hell of a lot more than they bought it for last year.

By all accounts, DIC will not pay what they consider to be over the odds. they have walked once, this proved they will not buy at all costs and are NOT hell bent on buying our club, if they were they would not have accepted no for an answer in the first place, but yet people seem to think they are willing to do this now for some reason

This brings me back to the valuation, if they are not on the same wavelengths, then this whole thing is a red herring.


all of our inside info has come from DIC, the problem is DIC are not the ones on hte driving seat, they are trying to cause unrest among the fans, this will not faze the yanks.

It will take a large some of profit for the yanks to sell imo, and with the reports that DIC are not going to pay over the odds, i think that people on here are putting the cart before the horse

With each passing day, the tide turns a little more against the Americans.

1.) Rift between themselves.
2.) Opposition from the support and the press.
3.) Stock market fall.
4.) Refinancing difficulty.
4.) League position.
5.) Suffering team morale.
5.) PR disasters.

They might hold all the cards, but those cards aren't exactly aces.