By Paul Nicholson
January 8 – English Championship club Leeds United is about to change ownership – again. Currently majority-owned by GFH Capital, a new consortium fronted by the club’s managing director David Haigh and Andrew Flowers, the managing director of the club’s main sponsor Enterprise Insurance, are poised to get shareholder control.
The incoming consortium, Sports Capital, has been expected to conclude negotiations for a while. The sale of the club to various consortia has never quite come to fruition, though the current deal looks most likely to go through.
Sports Capital will take a 75% stake in the club with GFH retaining a position as well as Salah Nooruddin and his family and IIB. No figure has been announced for the deal.
Funds have already been promised to Leeds United manager Brian McDermott to enable him to strengthen his squad in the transfer window and push the club towards a return to the Premier League.
“I’m delighted to confirm that I am part of the consortium that will be acquiring the major shareholding in the club,” said Flowers.
“As a lifelong Leeds United fan and as a buisinessman, I can assure other fans, that while the process is being finalised, we have been working hard to ensure that our due diligence was completed as quickly as possible and that there are funds in place ahead of completion to support the manager during the opening weeks of the January transfer window.”
While Leeds continues its ownership roller coaster – it was previously owned by former Chelsea Ken Bates and going back to the nineties was quoted on the London Stock Exchange – another championship club, Charlton Athletic, also changed hands last week.
Charlton have become the first Belgian-owned club in English football following a takeover by Walloon millionaire Roland Duchatelet .
Dutchalet is believed to have spent £20 million buying the club. The microelectronics magnate already owns Standard Liege as well as clubs in Germany and Hungary.
Charlton currently loses about £8 million a year and Dutchalet will be assuming the club’s debts.
Further proof that life outside the premier league can be financially bleak was given by Bolton Wanderers’ financial results last week.
Following the club’s relegation from the Premier League it has revealed a financial loss of £50.7 million for the year ending June 2013 with net debts rising to £163.8 million. The club were relegated in May 2012 having spent the 11 years in the Premier League. Annual turnover fell from £58.5 million to £28.5 million.
Contact the writer of this story at moc.l1734796912labto1734796912ofdlr1734796912owedi1734796912sni@n1734796912osloh1734796912cin.l1734796912uap1734796912