Liverpool’s US buyers may walk away over ‘nine-point deduction’ fearsBy ANI
Sunday, October 10, 2010
LONDON - Liverpool’s 300 million pound takeover by US-based New England Sports Ventures (NESV) is reportedly on the brink of collapse because of fears that the club would be placed in administration and docked nine points by the Premier League.
According to the Daily Mail, NESV remains committed to buying the club in their current position, but they are not prepared to take the added risk of paying a fortune for a team that would be in genuine danger of being relegated to the Championship.
“It (going into administration) has always been an issue. We have tried to deliver a sale to the owners before the loan comes up for repayment, which is on October 15,” the newspaper quoted Liverpool Chairman Martin Broughton, as saying.
“We don’t have the capacity to repay the loan so that leaves RBS with the options of rolling over the loan or putting the club into administration or finding some other exit,” he added.
The Premier League has already approved the takeover by NESV, but also made it clear that the American company must prove that it has the funds available.
“The Premier League is satisfied, with the information provided, that the individuals NESV intend to put in place in the event they complete their takeover of Liverpool FC meet the criteria set out in our owners’ and directors’ test,” a Premier League statement said.
“The board of the Premier League will continue working with Liverpool FC in regard to this process. However, we are aware that the formal completion of this takeover is yet to be resolved and it is therefore inappropriate for us to offer any further comment at this time,” it added.
Liverpool could be given a nine-point deduction by the Premier League due to the row over the club’s ownership.
On current points tallies, the nine-point deduction would leave Liverpool at the bottom of the table on minus-three points.
Current bosses Tom Hicks and George Gillett have opposed the sale by taking action in the High Court.
The Royal Bank of Scotland (RBS) would be able to put parent company Kop Holdings into administration if Hicks and Gillett fail to pay off their 280 million pound debt before October 15. (ANI)