By Andrew Warshaw
October 15 - Liverpool’s future was finally secured today after New England Sports Ventures (NESV) completed their £300 million takeover, bringing to an end an ownership wrangle that threatened to seriously derail the legendary club.
The owners of the Boston Red Sox took control after Tom Hicks and George Gillett were defeated in their legal attempt to halt the deal after three-and-a-half years in charge of the five-time European and 18-time English champions.
The takeover means creditors Royal Bank of Scotland will now be paid the £237 milion it is owed, the deadline for which was to have expired later today.
If the repayment date had been missed, Liverpool could have been put into administration and docked nine points by the Premier League, which would leave them bottom of the table with minus three points.
But whether the landmark development ends the saga for good remains to be seen. Hicks and Gillett may have lost one battle but are convinced they will win the next and have warned they will sue for £1 billion in damages, claiming the sale to NESV was “illegal”.
A statement from their New York representatives announced they were suing over “an extraordinary swindle” even though Liverpool fans will be thrilled that the much-maligned joint ownership has finally been relinquished.
Hicks and Gillett had earlier lifted the restraining order blocking the club’s sale – but not so that the current deal could be completed.
According to the BBC, Hicks was believed to be negotiating the sale of his shares with US hedge fund Mill Financial, who already own Gillett’s shares, only for the Premier League to reject Mill’s requests to undergo a fit and proper person test.
Ever since their £219 million leveraged buyout in 2007, Hicks and Gillett have angered Liverpool fans because of rising debt and their failure to follow up on promises for a new stadium.
But Steve Stodghill, the Texas lawyer representing the duo, said they will not just walk away.
“This outcome not only devalues the club but it also will result in long-term uncertainty for the fans, players and everyone who loves this sport because all legal recourses will be pursued,” he said.
“Mr Hicks and Mr Gillett pledged to pay the debt to RBS so that the club could avoid administration that was threatened by RBS.
“That offer was rejected.
“It is a tragic development that others will claim as a victory.
“This means it won’t be resolved the way it should be resolved.”
Liverpool’s new owners reacted as if they had nothing more to fear, heralding a new era for the club which has plummeted to 18th in the table and faces Merseyside rivals Everton on Sunday (October 17).
“I am proud and humbled,” said NESV boss John W Henry.
“I can’t tell you how happy I am.
“We’re here to win.”
Henry, facing a media scrum inside the offices of a London firm of solicitors, added: “We’re going to do a lot of listening, we have a lot to learn, and we’ll walk this path together [with the fans]. We regard our role as that of stewards for the club with a primary focus on returning the club to greatness on and off the field for the long-term.
“We are committed first and foremost to winning. We have a history of winning, and today we want Liverpool supporters to know that this approach is what we intend to bring to this great club.”
Liverpool chairman Martin Broughton, who revealed he would fulfill “a transitional role” , added: “NESV is buying Liverpool in order to put it on an excellent financial footing and continue to develop it internationally.
“This is a good deal which comprehensively resolves the pressing issue of the club’s debt and should give staff, players and fans great confidence regarding the future of Liverpool FC.”
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