RobbieS
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Chinese government targets Liverpool deal - Barclays Premier League - ESPN Soccernet
A takeover bid financed by the Chinese government is reported to be the preferred bidder in the race to buy Liverpool.
Chairman Martin Broughton is hoping to complete a sale of the club before the end of the month with several interested parties having come forward. According to reports in several of Thursday morning's newspapers, the rival offer from Syrian Yahya Kirdi will not be successful.
Current owners Tom Hicks and George Gillett were said to favour the interest from Kirdi as they would be able to walk away from Anfield with a profit.
The Chinese Investment Corporation (CIC), which invests China's cash reserves in foreign countries, is only willing to repay to debt to Royal Bank of Scotland and Barclays Capital, leaving the North American duo with no return on their investment.
Representatives of Kirdi have claimed to be "in the final stage of negotiation" but that appears to be wide of the mark, with the CIC bid - spearheaded by businessman Kenny Huang - at the head of the queue.
CIC is said to have assets of £209 billion, which would allay fears over the funding of the deal. The Times claims manager Roy Hodgson will be given £150 million to spend.
The Guardian reports that CIC has spent the past fortnight selling shares in other companies to free up the precise amount of cash to clear Liverpool's debt. The report states: "In a series of trades since July 19, CIC has sold $558 million of shares in Morgan Stanley, equating to £351.4 million. That sum is equivalent to Liverpool's debt to the nearest decimal place, and is exactly the number insiders say has been quoted to interested parties as the sale price."
CIC's website states: "CIC strives to contribute to the prosperity and development of local economies. CIC usually does not seek an active role in the companies in which it invests nor attempts to influence those companies' operations. CIC seeks long-term, stable, sustainable, and risk-adjusted return."
New York based Rhone Group and the Al-Kharafi family from Kuwait are also said to be in negotiations.
******
May be just a speculation as of now, but it does say a lot about the growing Chinese clout.
A takeover bid financed by the Chinese government is reported to be the preferred bidder in the race to buy Liverpool.
Chairman Martin Broughton is hoping to complete a sale of the club before the end of the month with several interested parties having come forward. According to reports in several of Thursday morning's newspapers, the rival offer from Syrian Yahya Kirdi will not be successful.
Current owners Tom Hicks and George Gillett were said to favour the interest from Kirdi as they would be able to walk away from Anfield with a profit.
The Chinese Investment Corporation (CIC), which invests China's cash reserves in foreign countries, is only willing to repay to debt to Royal Bank of Scotland and Barclays Capital, leaving the North American duo with no return on their investment.
Representatives of Kirdi have claimed to be "in the final stage of negotiation" but that appears to be wide of the mark, with the CIC bid - spearheaded by businessman Kenny Huang - at the head of the queue.
CIC is said to have assets of £209 billion, which would allay fears over the funding of the deal. The Times claims manager Roy Hodgson will be given £150 million to spend.
The Guardian reports that CIC has spent the past fortnight selling shares in other companies to free up the precise amount of cash to clear Liverpool's debt. The report states: "In a series of trades since July 19, CIC has sold $558 million of shares in Morgan Stanley, equating to £351.4 million. That sum is equivalent to Liverpool's debt to the nearest decimal place, and is exactly the number insiders say has been quoted to interested parties as the sale price."
CIC's website states: "CIC strives to contribute to the prosperity and development of local economies. CIC usually does not seek an active role in the companies in which it invests nor attempts to influence those companies' operations. CIC seeks long-term, stable, sustainable, and risk-adjusted return."
New York based Rhone Group and the Al-Kharafi family from Kuwait are also said to be in negotiations.
******
May be just a speculation as of now, but it does say a lot about the growing Chinese clout.
