China investment fund set to buy stake in Reds
A STATE-backed Chinese investment fund and top City deal broker Amanda Staveley’s PCP company are poised to buy a stake in Liverpool Football Club – valued at between £700 and £800m.
Although the Anfield club’s current American owner Fenway Sports says it has no intention of relinquishing control, a deal could be sealed within two weeks, boosting finances and allowing Liverpool to make big-name signings.
China Everbright is behind the approach with most of the cash expected to come from China Investment corporation.
Staveley, who was behind an emergency £7bn fundraising for Barclays from the Middle East during the financial crisis, could be putting money into the deal, but is primarily involved in brokering the deal between CIC and Fenway.
On Friday, chairman of Liverpool and a big shareholder in Fenway, Tom Werner, said the club was “not for sale”, but said it was open to selling a minority stake.
It is believed that Liverpool could be taken over by a new investment vehicle, backed by Everbright, the American tycoon John Henry – the club’s major shareholder – and PCP.
If it goes ahead, the deal would be the largest investment by China in the UK since the Brexit vote would follow new Prime Minister Theresa May’s decision to delay the approval of the £18bn Hinkley Point until autumn, a move which according to China’s ambassador to Britain Liu Xiaoming put the relationship between the two counties at a “critical juncture”.
