Liverpool sold to NESV

Soccer: Liverpool FC has this afternoon been sold to John W Henry's New England Sports Ventures (NESV) after several failed …

Jubilant Liverpool fans celebrate the sale of the Merseyside club to John W Henry's NESV outside the offices of Slaughter and May in the City of London. - (Photograph: Fiona Hanson/PA Wire)
Jubilant Liverpool fans celebrate the sale of the Merseyside club to John W Henry's NESV outside the offices of Slaughter and May in the City of London. - (Photograph: Fiona Hanson/PA Wire)

Soccer:Liverpool FC has this afternoon been sold to John W Henry's New England Sports Ventures (NESV) after several failed attempts by previous owners Tom Hicks and George Gillett to delay the process in court. The outgoing Americans vowed to pursue €1.15 billion in compensation for what they described as "an extraordinary swindle" but have now dropped that case.

The €340 million deal clears the €270 million of debt put on the club by the owners and owed to Royal Bank of Scotland.

"The transaction values the Club at £300 million pounds (€340 million) and eliminates all of the acquisition debt placed on LFC by its previous owners, reducing the Club's debt servicing obligations from £25-£30 million pounds a year to £2-£3 million," they said in a joint statement.

Henry addressed the media briefly at the offices of solicitors Slaughter&May in London, but was clearly uncomfortable in the limelight.

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He did, however, "guarantee" his takeover was not a leveraged buyout and, unlike his predecessors Tom Hicks and George Gillett, refused to make any promises on a new ground or transfer budget.

"It's too early to say what we're going to do but we're here to win, we have a tradition of winning - we (the Boston Red Sox) are the second-highest spending club in Major League Baseball and we're here to win, we will do whatever is necessary.

"We're not going to have a lot to say, our actions will hopefully speak for us."

He also ruled out the prospect of attending Sunday's Merseyside derby, insisting his introduction to the Red half of the city should take place at Anfield.

In a statement released by NESV he added: "On behalf of the entire NESV partnership, I want to express how incredibly proud and humbled we are to be confirmed as the new owners of Liverpool FC. 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 LFC supporters to know that this approach is what we intend to bring to this great club."

Liverpool FC chairman Martin Broughton, who brokered the deal, said he was "delighted" to "successfully conclude the sale process which has been thorough and extensive.

"The board decided to accept NESV's offer on the basis that it best met the criteria we set out originally for a new owner. 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."

Introducing Henry to the media, Broughton likened the legal wrangling to a "penalty shootout".

"As any Liverpool fan knows, the most nerve-racking way to win is the penalty shootout," said the chairman, who will stay on to oversee the transition. "But in the end, as long as you get the right result, it's worth the wait. We got the right result."

Before the news broke Liverpool manager Roy Hodgson said it is "a very good day for the club".

"It's a relief ... it's been a very difficult couple of weeks ... We've had to live through that bad time. It will be very good news for us going into the important match we have at the weekend (the Merseyside derby at Everton).

"There's no doubt a cloud has been lifted from the football club today if it's true (that the takeover goes ahead)."

Prior to the sale being confirmed, a Texas lawyer Steve Stodghill said Hicks and Gillett "pledged to pay the debt to RBS so that the club could avoid administration that was threatened by RBS. That offer was rejected."

He added: "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."

However, the pair have now dropped their planned Texas lawsuit against RBS and the club's directors, but they could still launch action in England.

"Mr Hicks and Mr Gillett have withdrawn without prejudice their Texas lawsuit in order to fully comply with the order of the English court," said a statement from Fish & Richardson attorney Tom Melsheimer. "We believe the order is overboard and unfair, yet Mr Hicks and Mr Gillett respect the legal process.

"We believe that once the English court finally has a chance to hear all the facts, a very different picture will be painted."

Hicks' New York-based spokesman Mark Semer refused to elaborate on whether the battle would be fought in the English courts.

"We cannot comment on legal strategy," he said.