DIC latest - the largely wild speculation thread

[AFII]

Latest from Oliver Kay....

Benítez said that it “will be better if everything is clear” with regards to the takeover saga at Anfield, but there is no such clarity yet. Although Dubai International Capital (DIC) is optimistic that Gillett will agree to sell his 50 per cent stake in Liverpool, Tom Hicks, his co-owner, believes that Gillett will sell a small portion of that stake to him, establishing him in majority control of the club. That prospect is not agreeable to DIC, which expects to assume full ownership sooner rather than later, but it expects a short-term compromise to be reached when Hicks flies to London or Dubai to hold discussions next week.

http://www.timesonline.co.uk/tol/spo...cle3507932.ece

[Vermilion]

Cheers Afii....

[AFII]

March 8, 2008
DIC and Hicks reach power sharing deal for Liverpool
Oliver Kay

Liverpool were last night preparing to enter an uncertain period of coalition ownership after Dubai International Capital (DIC) agreed a deal to buy 49 per cent of the club, with Tom Hicks securing the additional 1 per cent that he needs to earn majority control.

George Gillett Jr, who bought Liverpool with Hicks just 13 months ago, has agreed to sell his 50 per cent share in the club, but, rather than sell the entire stake to DIC, he will sell 1 per cent of the company to Hicks. The deal allows Hicks to assume majority control, although DIC, the private-equity investment arm of the Dubai Government, remains confident that it will ultimately buy him out.

The compromise agreement, which will be finalised at a meeting in Dubai next week, was accepted by DIC last night after talks between Amanda Staveley, its representative in London, and lawyers for both Hicks and Gillett. In a statement last night Staveley said: “Subject to renegotiation of a partnership agreement and subject to the stringent minority shareholder protection rights we would be prepared to accept a 49 per cent shareholding in Liverpool FC. This arrangement provides the best possible solution to the situation and would be in the best interests of the club and their loyal fans.”

Liverpool’s supporters are likely to have mixed feelings about the partnership, which some Anfield officials had described as a “nightmare scenario”. In theory it means that Hicks will call the shots in the boardroom, but DIC is determined to exert its influence, having indicated that it will conduct a review of all aspects of the club. Staveley, a senior partner of the PCP private equity firm, and Sameer al-Ansari, the chief executive, are expected to be among those joining the board, with Gillett and his son, Foster, likely to depart.

http://www.timesonline.co.uk/tol/spo...cle3498960.ece

[AFII]

Liverpool peace deal given the go-ahead
By David Bond
Last Updated: 12:28am GMT 08/03/2008

The battle for control of Liverpool took a tentative but significant step towards a peace deal last night as Dubai International Capital and the club's co-owner Tom Hicks said they were heading for a new partnership agreement to end the uncertainty surrounding the future of Anfield.

At the end of another week of tense negotiations, senior executives at DIC yesterday gave their blessing to a power sharing arrangement with Hicks which would allow him to retain majority control of the club.

Under the terms of the deal, which is set to be discussed by senior officials from both sides at a meeting in Dubai next week, DIC would buy 49 per cent of the club's shares from George Gillett Jr. Hicks would then buy the remaining one per cent of his American partner's stake to give him a 51 per cent holding.

Although Hicks first made the proposal for the partnership nine days ago in a 60-page shareholder agreement emailed to DIC's lead negotiator Amanda Staveley, it is the first time DIC have stated publicly they would be prepared to share ownership of Liverpool in this way.

Last night Staveley, a senior partner at DIC's advisers, the private equity firm PCP Capital Partners, said: "Subject to renegotiation of a partnership agreement and subject to the usual stringent minority shareholder protection rights we would be prepared to accept a 49 per cent shareholding in Liverpool FC.

"We have decided that this arrangement provides the best possible solution to the situation and would be in the best interests of the club and their loyal fans."

A source for Hicks confirmed that he and DIC were prepared to work together to end the stalemate which has created so much instability at Anfield in recent months. But he stressed that DIC were just one of a number of potential investors he was talking to about buying out Gillett on those terms.

With Gillett stalling on a deal, the pressure is now on him to agree to the offer made to him by DIC last week, which could be worth a staggering £170m. That price includes £90m to cover his share of Liverpool's £350m of debts, £60m in cash and a further £20m based on the completion of the club's new stadium at Stanley Park.

http://www.telegraph.co.uk/sport/mai.../sfnfro108.xml

[AFII]

Tom Hicks' letter opens the door for DIC
By David Bond, Chief Sports Reporter
Last Updated: 12:28am GMT 08/03/2008

The first signs that Tom Hicks might be prepared to enter into a power-sharing agreement with Dubai International Capital came in an email to Amanda Staveley nine days ago.

Written by Casey Shilts, chief operating officer of Hicks Sports Group and one of the Dallas billionaire's key executives, it set out the terms under which he might now be prepared to work together with the Arab investment fund to bring an end to the deadlock over the future of Liverpool.

It included a 60-page attachment, drafted a day earlier and detailing how Hicks would retain the upper hand in the event that DIC became major investors in the club by buying 49 per cent from Hicks' American co-owner George Gillett Jr.

"It is under these terms we would agree to DIC's purchase of 49 per cent of George Gillett's holdings in Kop Investment [Liverpool Football Club's parent company]," Shilts wrote, referring to the shareholder agreement, which has been seen by The Daily Telegraph.

At that stage, however, DIC were in no mood to discuss a partnership where Hicks retained control - even on paper. Sheikh Mohammed bin Rashid Al Maktoum, the head of both DIC and the Dubai ruling family, had instructed his advisers, PCP Capital Partners, to obtain full control.

Besides, with Gillett considering an offer for his 50 per cent stake, there was no need to start making concessions to Hicks.

On Wednesday Feb 27, they had tabled a package worth £150million to buy out Gillett's share of the £350m debt in Liverpool, give him £40m of cash up front plus a further £20m dependent on the club's financial success. Potentially he would earn a guaranteed £40m profit.

As Gillett's lawyers met with Staveley, a senior partner at PCP, and the club's chief executive Rick Parry in DIC's offices near Westminster on Tuesday, there was optimism that they were close to landing a major chunk of the club they have long coveted.

However, Gillett's legal team made it clear the Colorado-based tycoon wanted more money to sell. He believed another Roman Abramovich could be just around the corner and was convinced DIC had ample resources.

In response, DIC increased their offer, promising Gillett another £20m in cash up front taking the potential value of the deal to £170m. But, with no agreement reached by the time Gillett's lawyers left for America, it was clear to Staveley and DIC that they would need a plan B.

Then on Thursday came the development they had hoped for. On a letter headed with the famous Liverpool club badge, Hicks wrote to Sameer Al Ansari, the chief executive of DIC, suggesting a meeting on Monday.

Hicks wrote: "A group of my people will be in your region early next week. It might be useful if they came to your office on Monday to visit."

Although Hicks stresses in the letter that his party of executives are travelling to Dubai on unrelated business, DIC sensed a major thawing of relations.

Hicks also acknowledged the fans' concern over the turmoil. "All of our fans will be pleased when George's ownership is resolved," he writes.

Liverpool insiders remain cautious about this week's developments. They know that Hicks could be using talk of a partnership as a way of smoking out DIC's long-term intentions while it may become apparent that the two sides will be unable to work together.

They are also aware that any agreement with Hicks is worthless unless Gillett agrees to sell to DIC. Sources last night claimed that Hicks and Gillett may yet unearth another investor.

But what businessman would be willing to trump DIC's £400m valuation when a further £300m is needed for the new stadium?

After all the damaging headlines, this saga could edge closer to a conclusion next week. But recent events at Anfield have shown that this may be the start, rather than the end, of the story.

http://www.telegraph.co.uk/sport/mai.../sfnliv108.xml

[Rehan]

49% Is better than nothing i guess. Only a matter of time before hicks sells up though espicially if protests continue

[carlton]

Tom Hicks' letter opens the door for DIC
By David Bond, Chief Sports Reporter
Last Updated: 12:28am GMT 08/03/2008

The first signs that Tom Hicks might be prepared to enter into a power-sharing agreement with Dubai International Capital came in an email to Amanda Staveley nine days ago.

Written by Casey Shilts, chief operating officer of Hicks Sports Group and one of the Dallas billionaire's key executives, it set out the terms under which he might now be prepared to work together with the Arab investment fund to bring an end to the deadlock over the future of Liverpool.

It included a 60-page attachment, drafted a day earlier and detailing how Hicks would retain the upper hand in the event that DIC became major investors in the club by buying 49 per cent from Hicks' American co-owner George Gillett Jr.

"It is under these terms we would agree to DIC's purchase of 49 per cent of George Gillett's holdings in Kop Investment [Liverpool Football Club's parent company]," Shilts wrote, referring to the shareholder agreement, which has been seen by The Daily Telegraph.

At that stage, however, DIC were in no mood to discuss a partnership where Hicks retained control - even on paper. Sheikh Mohammed bin Rashid Al Maktoum, the head of both DIC and the Dubai ruling family, had instructed his advisers, PCP Capital Partners, to obtain full control.

Besides, with Gillett considering an offer for his 50 per cent stake, there was no need to start making concessions to Hicks.

On Wednesday Feb 27, they had tabled a package worth £150million to buy out Gillett's share of the £350m debt in Liverpool, give him £40m of cash up front plus a further £20m dependent on the club's financial success. Potentially he would earn a guaranteed £40m profit.

As Gillett's lawyers met with Staveley, a senior partner at PCP, and the club's chief executive Rick Parry in DIC's offices near Westminster on Tuesday, there was optimism that they were close to landing a major chunk of the club they have long coveted.

However, Gillett's legal team made it clear the Colorado-based tycoon wanted more money to sell. He believed another Roman Abramovich could be just around the corner and was convinced DIC had ample resources.

In response, DIC increased their offer, promising Gillett another £20m in cash up front taking the potential value of the deal to £170m. But, with no agreement reached by the time Gillett's lawyers left for America, it was clear to Staveley and DIC that they would need a plan B.

Then on Thursday came the development they had hoped for. On a letter headed with the famous Liverpool club badge, Hicks wrote to Sameer Al Ansari, the chief executive of DIC, suggesting a meeting on Monday.

Hicks wrote: "A group of my people will be in your region early next week. It might be useful if they came to your office on Monday to visit."

Although Hicks stresses in the letter that his party of executives are travelling to Dubai on unrelated business, DIC sensed a major thawing of relations.

Hicks also acknowledged the fans' concern over the turmoil. "All of our fans will be pleased when George's ownership is resolved," he writes.

Liverpool insiders remain cautious about this week's developments. They know that Hicks could be using talk of a partnership as a way of smoking out DIC's long-term intentions while it may become apparent that the two sides will be unable to work together.

They are also aware that any agreement with Hicks is worthless unless Gillett agrees to sell to DIC. Sources last night claimed that Hicks and Gillett may yet unearth another investor.

But what businessman would be willing to trump DIC's £400m valuation when a further £300m is needed for the new stadium?

After all the damaging headlines, this saga could edge closer to a conclusion next week. But recent events at Anfield have shown that this may be the start, rather than the end, of the story.

http://www.telegraph.co.uk/sport/mai.../sfnliv108.xml

Is this how high level negotiations are organised?

[Leyton388]

The fact that they have a big foot in the door now means it is only a matter of time before they chase that hill billy out of dodge

[carlton]

The American's desire to have a controlling interest is derived from the financing arrangements he is making for his sporting franchises which include Texas Rangers and Dallas Stars, among others. This requires him to have technical control of Liverpool.

This bit from the bhose article is interesting. For DIC to agree to 49% maybe Hicks has agreed to sell to them at a later date?

[Leyton388]

The American's desire to have a controlling interest is derived from the financing arrangements he is making for his sporting franchises which include Texas Rangers and Dallas Stars, among others. This requires him to have technical control of Liverpool.

This bit from the bhose article is interesting. For DIC to agree to 49% maybe Hicks has agreed to sell to them at a later date?

Well if he is looking a selling off some of his empire it would be only right that he is in control ie majority shareholder in all his teams in order to sell.

I think there is more here than meets the eye. For example i think he has agreed for DIC to buy 49% and he 1% in order to refinance his franchises and then sell to DIC at a later date. With the crippling problems in the US i can see this hapening.

[MascheredUp]

Sorry, can someone please tell me how the **** this partnership is gonna work?

e.g. Rafa wants a £20m striker

Who pays for it?

Hicks has proved so far, that unless he's backed into a corner, he is a tight cunt that will not stick his hand in in his pocket.

[Leyton388]

Why Oh Why Cannot Liverpool Do Things The Easy Way

[BigChief]

Again, I pick up little things in those articles that irk my braincells:

Hicks also acknowledged the fans' concern over the turmoil. "All of our fans will be pleased when George's ownership is resolved," he writes.

This seems to suggest to me that Hicks thinks of himself as absolved from the fans anger if he helps get rid of Gillett, and that all anti-US turmoil is anti-Gillett only (Klinsmann being Gillett's idea, etc).

SOS need to carry on their campaign when Gillett's gone to make sure Hicks knows where he stands with the fans.

[carlton]

DIC claims deal to buy 49 per cent of Liverpool is done
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By Ian Herbert
Saturday, 8 March 2008

Dubai International Capital claimed late last night that it had struck a deal with Liverpool's two American owners which would see the Arab consortium take a 49 per cent stake in the club, with a view to total ownership in the long run.

Amanda Staveley, DIC's chief negotiator, told The Independent that, after a day of more intense negotiations, the consortium had convinced both Hicks and Gillett that it had the financial means to enable the club to build a new stadium and that it would be purchasing all but 1 per cent of the half share in the club, held by Gillett.

"All parties have now reached agreement, Tom Hicks knows that in the long run we will be 100 per cent owners of the club but we are prepared to play a waiting game," Staveley said. "We will be able to pay the price for the financing of the club and construction of a new stadium."

The price agreed with Gillett is understood to be the one put to his advisers on Tuesday – one which will enable him to walk away with a £40m profit on his investment plus add-ons. Technically, under the terms of pre-emption rights agreement signed by Hicks and Gillett when they bought Liverpool, Hicks has three months from now to buy out Gillett. But it is understood that DIC may seek to buy out Hicks from those rights and enable an immediate deal. There seems to be a good prospect that Hicks will agree. "There is a good understanding between all parties," Staveley said.

The agreement comes at the end of week of high drama in which DIC appear to have succeeded in convincing Gillett, whose interest in the club has been cooling for weeks, that he would not find a better offer than the one put to him before a deadline DIC set for midnight on Tuesday. Hicks and Gillett bought Liverpool for £218.9m in March 2007, and each own 50 per cent of the club.

There have also been suggestions that Gillett has been ill – pneumonia has been mentioned – and therefore unable to attend negotiations on the sale of his shares, though this does not seem to be the case. He was well and discussing the issues with DIC yesterday.

The deal, as outlined by DIC, seems to offer Hicks what he wants – overall control of the club – though DIC's aim on Tuesday seemed to be that Hicks might settle for DIC owning 50 per cent and management control of the club. DIC was at pains to point out that the deal was reached in principle and subject to legal scrutiny.

Sources close to Hicks insisted last night that no deal had been concluded yet. There may be an opportunity for the parties' representatives to meet next week, said the source, within half an hour of speaking to Hicks. The source stressed that there were a number of other potential minority shareholders and that DIC did not represent the only option.

[El Jefecito]

"All parties have now reached agreement, Tom Hicks knows that in the long run we will be 100 per cent owners of the club but we are prepared to play a waiting game," Staveley said. "We will be able to pay the price for the financing of the club and construction of a new stadium."

That bit is key.