Hicks and Gillett's refinance deal will help pay for Javier Mascherano

Jan 25 2008

TOM HICKS and George Gillett expect to tie up the deal to refinance Liverpool FC within hours - and it should prove to be a bonus for Rafa Benitez, say sources.

The loan on the table from RBS and Wachovia will enable Hicks and Gillett to repay the £298m they have borrowed over the past 12 months to buy the club, absorb existing debts of £44.8m, sign players and finance work on the new stadium.

The additional funds will repay interest and enable work on the stadium project to start.

Of the £350m refinancing package £105m will be saddled on Liverpool, with £185m secured on Hicks and Gillett's holding company Kop Investment.

The Americans are believed to have increased their personal guarantees from £30m each to about £55m. Sources close to Hick say the delay is only administrative.

In another sweetener, Rafa Benitez has been informed by Hicks that he intends to tie up the proposed £17m transfer of fans’ favourite Javier Mascherano at the earliest possible opportunity.

That is likely to happen as soon as the £9million transfer of Mohamed Sissoko to Juventus has been agreed.

Hicks and Gillett are trying to re-establish their fractured relationship with the Anfield support and, by allowing manager Rafael Benitez the funds to buy £17million-rated Mascherano they are also intimating the Spaniard has a long-term future at the club.

However, that situation will not be clear until the summer when this season’s performance will be assessed. A top-four position is crucial, plus a decent FA Cup run - Liverpool play none-league Havant and Waterlooville in the fourth round tomorrow.

It is also possible Benitez will have to beat Inter Milan next month in the Champions League to placate the Americans after their public fall-out with the manager.

But for now the stadium decision is the first step towards settling the crisis that has engulfed the club.

The American owners will now hope that a string of positive decisions on the new stadium, a potential deal for Mascherano and implied confidence in Benitez, will take the sting out of a situation which has seen their standing with the fans severely damaged.

Key to the new moves has been the re-financing deal that has caused the American owners so much trouble in recent months, igniting more moves by Dubai International Capital to buy them out.

SEE THE NEW STADIUM

Anfield: Take 3

See a picture gallery of the latest images of Anfield, released by American architects HKS Read

Hicks has resisted those moves and it is expected that their £350million re-financing plans will be formally announced shortly.

John Mackin  of supporters  group Reclaim  The Kop said:  "Unless the owners come out and say they are giving Rafa Benitez a new deal, they  are going to support him extensively in the transfer market, and  that none of the money to fund that  will put the club in debt, they have  got no chance of winning us over.

"Such is the level of disquiet  among the fans that a meeting is to  be held next week when we will discuss the next phase in our ongoing  protests against the owners.

"We have seen pretty pictures of  stadium designs before and we're  still waiting for a single spade to go  into the ground at Stanley Park,  something Hicks and Gillett promised would happen within 60 days  of takeover, so it'll take a lot more  than a new picture and a major PR  offensive for us to be won over."

It is thought that DIC are still interested in making an offer.