Oliver Kay
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The troubled regime of Tom Hicks and George Gillett Jr at Liverpool suffered another severe blow last night when it emerged that they are preparing to postpone construction of the club's new stadium because of difficulties raising the funds in an unforgiving financial market.
Hicks and Gillett had hoped that the building of a 60,000-capacity stadium on the site at Stanley Park, barely a quarter of a mile from the club's Anfield home, would start within weeks, dispelling some of the concerns about their ability to drive Liverpool forward. But their apparent failure to do so casts further doubt about their credibility as owners, increasing the pressure on them to sell to Sheikh Mohammed bin Rashid Al Maktoum, the ruler of Dubai.
The American tycoons will play down the significance of this latest setback, saying that the market conditions are not favourable for such large-scale borrowing, but, 18 months after they bought the club, pledging that building would start “within weeks”, it is another embarrassment that they could do without. According to one source, they were recently told by the Royal Bank of Scotland that they could borrow the money required for the £350million project on the condition that they could put up £200million in guarantees, but they have been unable to do so.
The Hicks-Gillett regime has appeared doomed since it emerged that they had invited Dubai International Capital (DIC), the private-equity investment arm of the Dubai Government, to buy a minority stake last October. Hicks blocked DIC's bid to buy the club for £400million earlier this year, but the Dubai interest remains, albeit now presented as a consortium headed by Sheikh Mohammed, rather than under the DIC banner. The Dubai consortium still expects Hicks and Gillett, whose relationship remains tense, to sell within months, aware that their most recent refinancing package is up for renewal in January, albeit with the option of a six-month extension.
On the pitch, Liverpool's results so far this season have been positive enough - two wins out of two in the Barclays Premier League and progression to the Champions League group stage - but their performances have not. Rafael Benítez, the manager, has expressed overall disappointment and he may be particularly concerned at teething problems with the new strike partnership of Fernando Torres and Robbie Keane.
Another worry is the continuing lack of quality in wide areas, which should be resolved by the arrival of Albert Riera from Espanyol. However, that £8.5million deal had still to be finalised last night, meaning that Liverpool are likely to travel to Aston Villa without him on Sunday.
Dirk Kuyt, who secured their Champions League place on Wednesday night by scoring the only goal of the qualifying tie against Standard Liège late in extra time at Anfield, admitted that Liverpool have flattered to deceive. “We have had a lot of luck,” the forward said. “We have to improve and it has to happen quickly.”
Liverpool paid a combined £40million for Fernando Torres and Robbie Keane, who arrived from Tottenham Hotspur this summer. So far, neither have matched their form of last season.
Robbie Keane
2007-08 (Premier League, for Tottenham Hotspur):
Minutes on pitch: 2,731
Goals: 15 (1 per 182min)
Shots on target: 40 (1 per 68min)
Pass completion 81%
2008-09 (four games, all competitions)
Minutes on pitch: 318
Goals: 0
Shots on target: 0
Pass completion: 71%
Fernando Torres
2007-08 (Premier League, for Liverpool)
Minutes on pitch: 2,542
Goals: 24 (1 per 106mins)
Shots on target: 48 (1 per 53min)
Pass completion 64%
2008-09 (four games, all competitions)
Minutes on pitch: 389
Goals: 1 (1 per 389min)
Shots on target: 1 (1 per 389min)
Pass completion: 62%
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Time for Daisy and Jesse Duke to head out of Town. Let DIC finally sort the club out
Boss Hogg, West Derby, Liverpool,
This takeover has to be the biggest national case of daylight robbery.
G&H 'acquired' LFC for £219m -100% loan!
- refinanced £350m inc £60m to START building?!
Reported part of £20m regeneration grant ALREADY revoked.
G&H STILL bleeding LFC dry & want even more $ from DIC.
Enough- G&H OUT
Ayaz, Wakefield,
Assuming this story to be true, I agree with Jon from London . Benitez must wonder at the sheer incompetence in both the selling of the club and the the subsequent mismanagement at Board level.
Ian, Belfast,
It is time the Americans did the decent thing
and sell to the DIC consortium, and take mr parry
with them.
mark, St.helens, ENGLAND
The supporters need to emulate Barcelona and buy the club themselves. That way they can take control of the destiny of the club. One foreign owner selling to another foreign owner isn't going to help Liverpool FC in the long run.
Kabeer, Portstewart,
Martin, I think you willfind that we will always find a buyer for the club as the potential is only rivalled by Man Utd if Liverpool had the money and stadium to complete with them.
One bad season? That would just force Gillette and Hicks out as opposed to the club imploding.
Sean, Liverpool,
Liverpool are living on borrowed money and borrowed time. One poor season and the house of cards will collapse. Gerrard and Benitez may well leave unless serious new investors take the club forward. If Benitez exits expect the Spanish contingent to move on. Dangerous times indeed.
Martyn smith, Bangkok, Thailand
Great investors. Who do they think they are kidding? They pitched up, bought the club for cut-price and took out a massive loan with the club as guarantors.
Complete shambles. My hat goes off to Benitez's eternal patience and the players passion to keep pulling wins out of the hat. Great team!!
Jon, London,