Fans set to protest as Liverpool FC owners look to saddle club with £350m debt

Jan 21 2008 by Tony Barrett, Liverpool Echo

Farce That's so Damaging

GIVEN recent events at Anfield, it surely can’t be long before a banner is hung on the Gwladys Street bearing the legend: “Agents Hicks and Gillett, Mission Accomplished”.

From being the club which was so well run it was compared to a machine, Liverpool today finds itself in the unlikely role of national laughing stock – and with good reason.

In the latest twist to the ongoing farce, Tom Hicks has insisted that the keys to Anfield which he was given by outgoing Reds chairman David Moores last year will not be handed over to Dubai International Capital.

“I’ve not received any offer to purchase the club from DIC or anyone else, much less accepted any such offer,” he said.

“Nor do I have any intention of doing so,”

DIC clearly think differently and are hovering with an offer of around £350m.

Despite his protestations, there are those who know him well who believe Hicks is merely playing hard ball with the investment arm of the Dubai government to try and force them into paying over the odds for Liverpool.

The only problem is, DIC simply do not operate like that.

If Liverpool FC exists to win trophies, then DIC exists to make profits and you don’t get rich by being held to ransom.

Stalemate is therefore a distinct possibility – that is unless George Gillett refuses to sign up to a financial restructuring deal which will overnight turn Liverpool into a club with one of the biggest debts in world football.

If he refuses to sign up this week then DIC’s bargaining position is strengthened as it is now less than six weeks before Hicks and Gillett have to pay back their initial loan.

When they bought the club in February last year, Hicks and Gillett borrowed £220m from the Royal Bank of Scotland to make it happen.

That personal debt currently stands at £270 and the American duo are now looking at shifting the debt onto the club with a financial restructuring deal worth £350m from RBS set to be done this week – unless DIC’s interest is made concrete and an offer from them is accepted.

DIC officials were today meeting senior executives from RBS in London, talks which are likely to be the precursor to a formal bid of around £350m for Liverpool.

Should refinancing go through as planned then it is still unlikely that DIC will walk away – but any future offer for the club would be lowered to take into account the extra debt and banking fees they would have to take on.

Hicks remains adamant – in public, at least – he will not sell at any price and his stance has only served to inflame tensions between himself and the Liverpool supporters. Not since the days when “Deadly” Doug Ellis was seen as the scourge of Aston Villa has a Premiership club owner been as reviled by the fans as Hicks is today.

Almost a year on from having the red carpet rolled out for him at Anfield, the Texan will tonight to see the Kop attempt to pull the rug from beneath him in an unprecedented demonstration against the Liverpool hierarchy.

By picking a fight with Rafa Benitez – the most popular Liverpool manager since Kenny Dalglish – Hicks has totally alienated the Reds support which will use tonight’s league game against Aston Villa as the vehicle for their discontent.

How ironic that just six months ago Hicks was talking of his visions of the Kop at the long planned, but still not delivered, new Anfield as the orchestra to whose tune the team would play.

Tonight, the Kop will be playing a tune. But far from being sweet, the music will be angry and it will be directed at him and his co-owner, who has remained strangely silent given the firestorm which is raging around him.