Times Exlusive: India's richest man wants to buy Liverpool

[Roma77]

THE TIMES Tuesday February 9 2010

Liverpool emerged as a takeover target for the seventh-richest man in the world last night as the pressure
mounted on Tom Hicks and George Gillett Jr to cut a deal to sell Anfield.

Mukesh Ambani, the wealthiest man in India, is one of two tycoons
from the sub-continent competing to buy a stake in the Merseyside club.

The Sahara Group's chairman, Subrata Roy, and Ambani's Reliance
Industries have each tendered similar bids to pay off Liverpool's £237 million
debt in return for a 51 per cent stake in the club.

Last night Christian Purslow, the Liverpool chief executive, denied
any knowledge of either bid, but The Times understands that approaches
began as early as November and that some preliminary talks have taken
place.

Each deal requires that the present owners make a commitment to take
no dividends or expenses out of Anfield for three years to allow the
club to resume a secure financial basis.

One of the potential owners has also indicated a willingness to allow supporters to take a 10 per cent stake in
Liverpool.

A source close to Hicks and Gillett said that the duo would reject on principle
any bid that left them with less than 50 per cent of the club's shares
unless it involved either of them selling out entirely.

A sale of more than half of the total stake would mean they would lose control of the club.

It is understood that Liverpool's banker, the state-backed Royal Bank
of Scotland, is pressing Hicks and Gillett to cut their asking price.
The bank declined to comment last night, but a source close to RBS said
that there has been plenty of interest in Liverpool from investors.

However, the source added, the owners are blocking all deals on the table because
they refuse to budge on price.

The source said the bank's stipulation that the pair must pay off
£100 million of the debt and inject tens of millions of pounds into the
club was intended to push them into an agreement with a new investor that would permanently stabilise Liverpool's
finances.

A number of other potential bidders include a Saudi Arabian consortium
and a United States-based buyer, who is prepared to pay the £100million
required by the lenders in exchange for 40 per cent of the club.

Roy, whose interest appears more serious, has been linked with ownership
of one of the next IPL franchises, possibly to be based in the north Indian
city of Lucknow, where the Sahara Group, of which he is chairman, is based.

Roy, 62, founded the company, which deals in property, media and
tourism, in 1978. Its four-year sponsorship
deal with the India cricket team, worth £55 million, expires this year
and Roy could be looking for a new project. Sahara was linked with shirt sponsorship of Manchester United
last February, a deal that fell through. mbani, 52, is said to be worth
$19.5 billion (about £12.5 billion) - more than the combined worth of Sheikh Mansour and Roman Abramovich
- from his investment in Reliance Industries, a petrochemicals
giant, according to Forbes business magazine.


Amongst other things there are two valuations that just don't add up there:
1. £237m to buy 51% which means that the club is worth over£470m.
2. £100m to buy 40% which gives a value of £250m.
Almost definitely just another blind alley.

[joeb090]

If he is this powerful and has been trying to set up a deal since November, it cant be to much longer.

But I think I will sleep on it.


For a few months till the next story pops up, Goodnight.

[Tony Hateley]

Yawn

[dodo46]

Would love it to be true but we have had so many false dawns I'll just take it with a pinch of salt

maybe the price hike between 40% an 51% is due to the yanks not wanting to lose a controlling stake...

[only5times]

Cowboys and Indians, for fucks sake.

[indiaforever]

As an Indian myself .........there is no person tighter than a rich indian!!! This is not good news.

Indians are businessmen and they would want to see a profit!!!

[Yardstick]

bloody amazing that in between the home derby and a game against a top 4 competing side another takeover story emerges. What fucker keeps doing this?

[gramck24]

Another false dawn probably.

[GazH]

Not gonna read anything into this. I'll believe it when an investor has signed on the dotted line and not before.

[elliotgc]

If he was so good they'd have bitten his hand off.

YANKS OUT!

[kanonkop]

Time to intensify the pressure on the yanks so that they are forced to sell the whole club in the summer.  RBS will force them to do this.

I agree that Indians are frugal with their money (not a bad thing) but equally, they are sporting mad and you could see them being very good owners.

Fingers crossed this is true...but that its for 100% not just 51%.

[bavo]

Not gonna read anything into this. I'll believe it when an investor has signed on the dotted line and not before.

A few months ago Christian Purslow said he would have the investment in place but after all this time it seems they still are no closer.

Whoever it is I hope they are someone with real liquidity, access to real assets, someone whose money is not tied up in other franchises. This needs to be sorted before the summer. I would imagine the longer that goes on with no action RBS will begin to exert more pressure on them to sell up.

[Niall]

Time to intensify the pressure on the yanks so that they are forced to sell the whole club in the summer.  RBS will force them to do this.

Spot on. The only thing that really took my attention was the bit about them holding out for more money. We have to keep the pressure on them and make their situation untenable. Look at the Purslow minutes, they're under pressure from RBS and we have to be the final nail in their coffin.

[elliotgc]

A few months ago Christian Purslow said he would have the investment in place but after all this time it seems they still are no closer.

Whoever it is I hope they are someone with real liquidity, access to real assets, someone whose money is not tied up in other franchises. This needs to be sorted before the summer. I would imagine the longer that goes on with no action RBS will begin to exert more pressure on them to sell up.

I agree - it seems strange that the deal hasn't already been completed - especially if he has so much money. Unless they're actually doing thorough background checks this time! Or maybe it's just more media BS.

[zizkov]

As an Indian myself .........there is no person tighter than a rich indian!!! This is not good news.

Indians are businessmen and they would want to see a profit!!!

I dont know, that Vijay Mallya has thrown some money at Formula 1 Force India team and seems to be getting results.

I think it will depend if this Indian fella is a footy or Liverpool fan, or just trying to add to his portfolio.

But Ill wait until it happens before I get excited. Im not too happy with another foriegn owner who we've never heard of, Id rather share Liverpool get in but anything is better then these yanks. Id take Bin Laden right now.

[kanonkop]

At least these guys have genuine wealth so that at the very least, we are better off to the tune of £30m each year by not having to service debt.

Unbelievable that the yanks are holding out as if they think they are in a position of strength.  Seriously deluded them boys.  Do they not realise that the best price they will get is now and not in the summer when RBS will force the sale..

[rav]

As an Indian myself .........there is no person tighter than a rich indian!!! This is not good news.

Indians are businessmen and they would want to see a profit!!!

isnt this guy meant to be a bit of a twat?

[zizkov]

isnt this guy meant to be a bit of a twat?

Arent all billionaire types twats though? They've usually stood or maybe murdered a few people to get where they are. The Russian ones certainly.

[Eddieb]

Being denied if you search the web, so well have to wait and see btu the guy does have serious money so here's hoping.

[gmw]

Too many false dawns to get exited. Just got to get those yanks out.

[adidaslad]

At least these guys have genuine wealth so that at the very least, we are better off to the tune of £30m each year by not having to service debt.

Unbelievable that the yanks are holding out as if they think they are in a position of strength.  Seriously deluded them boys.  Do they not realise that the best price they will get is now and not in the summer when RBS will force the sale..

They will assett strip us before they are forced to sell, that's how hateful and greedy they are.

[Danny Boys Dad]

Would love Indian owners. Cobra or Kingfisher beer and curry with naan bread instead of pies and sausage rolls 

[Arl Arse]

Hes denying it , seems like an Indian fella called Roy is the one who intersested hes only worth about 50 billion dollars , trust us to be linked with the poor relation

I wouldnt mind a bit of his tikka though, 

[kanonkop]

Yes, but a) Mukesh Ambani would probably deny it anyway and what he has actually denied is buying 51%, i.e. not denied buying 100%.  Semantics, but a way out for him in terms of a statement and b) Subratha Roy has not denied it at all and c) I really don't think the Times would lead with this story unless they were very sure about the quality of their info / source and hence the validity of the story.

We might be renamed Bollypool though if this goes through!!!!!!!!!!!!!!!!

[indiaforever]

Vinay Mittal is part owner of QPR isnt he? thats got them nowhere...

Indians are sport mad, but cricket is no1 sport.

Went Mumbai at Xmas and everyone does watch the premiership, but the same could be said for any country (except states) really.