Liverpool fans plan buy-out
TWO Liverpool FC supporters’ groups today unveiled a fan buy-out plan for the club.
The move comes on the deadline day for the club’s American owners to agree a refinancing of the £350m debt they took on from the Royal Bank of Scotland and US bank Wachovia.
ShareLiverpoolFC (SLFC) and Spirit of Shankly (SoS) have proposed a scheme to raise £150m to buy a 60% stake in the club.
They hope to raise £10m by selling £500 shares in SLFC on a one person one share basis. A further £140m would come from shareholding fans acquiring SLFC loan stock giving a return of 2% a year.
In addition, they are seeking a commercial partner to invest £100m in return for a 40% interest in the club, through a combination of loan stock and equity shares.
SLFC said the £250m total could be used to pay down £250m of the current £350m bank debt. The balance would be exchanged for convertible loan stock in Liverpool FC, which SLFC said it would have rights to acquire from the banks in equal annual instalments over a 20-year term.
In a statement the SLFC board said: “This is a realistic plan that squares the circle: How to get broadly based fan ownership of the club, and relieve the level of debt, by offering Liverpool fans an affordable entry fee and a chance to get a modest return for their additional financial support.
“Now we need all those Liverpool fans to carefully consider the proposals in detail on our website – and let us know what they think.”
SLFC had originally proposed offering single shares at £5,000 but decided this plan exluded many fans.
George Gillett and Tom Hicks bought the club in 2007 but their reign has been unpopular with fans who accuse them of saddling the club with huge debts and interest charges.
