24 Aug 2020 17:57:42
Hi Eds/ Reds

Just seen an article suggesting that Gerry Cardinale and Billy Beane could be looking to invest in a prem football team through their SPV RedBall Acquisition, and Liverpool were linked.

Richard Scudamore is on the board of RedBall which I assume why a prem team has been linked, but no idea on Liverpool's connection.

Any news from your side? Separately, Ed002 your thoughts on how a "large minority" investment works? Would the investing party expect some degree of input on the running of the club etc.

Thanks

FR.

{Ed002's Note - They have the investment funds to look to buy a decent club in mainland Europe or the lower end of the Premier League. There are several investors looking at the same thing - James Pallotta has sold Roma and could look to another club - has interest in buying low, flipping and selling high. Another is digital media distributer Henry Mauriss who is interested in buying Newcastle United if the deal with the Saudis falls through - he could also be persuaded that there is value in other clubs such as West Ham (but realistically the earliest they can be sold is 2021 and the 2023 is more likely) - Damien Comolli is doing the legwork. The third is rather more "shark" like. Ex Bordeaux owner Joseph DaGrosa and Hugo Varela (who has work as an intermediary and run "for profit" soccer schools) have formed a business called Kapital Football with a view to emulating the City Group. They tried to buy Newcastle as a starting point but that was always a non-starter - they would like a club that is a "lion waiting to roar" as their start and would also like it to be a Premier League club, possibly London based, with owners perhaps willing open to selling at a reasonable price - and that very much makes West Ham the most attractive. This would be known to Tripp Smith who may well be looking to increasing his 10% share to 30% which means he can make an offer for the entire club but to do that he would need the help of one of the owners. The covernent runs out in 2021 means that the owners can then sell the club if they wish. Smith would get a £10M discount offsetting his loan if and when that happens.

Billy Beane is a self-confessed Liverpool supporter and owns much of the Oakland As and is the "moneyball" guru. But whilst FSG would like an investor to sell part of the club to (particularly given their major financial issues at the moment), it is questionable where any of the high-profile expensive EPL sides has the growth potential of other sides across Europe. Clubs like Liverpool, Manchester United and Chelsea will see growth potential flatten out whilst the chance of growth remains elsewhere - and remember these folks are investing other people's money - not their own.}

1.) 25 Aug 2020
24 Aug 2020 23:59:12
Is Newcastle not an obviously good investment as it seems Ed?

I appreciate It’s not as simple as just buying the club and selling for a quick profit in a couple of years. I mean trying to take it away from Ashley won’t be easy as I’m sure he’ll take every penny he can and why wouldn’t he, but with it being a 1 club city, which rakes in large gate receipts and has a fanatical support group, surely a few good steps and ideas put in place would see them be a prime candidate for a great investment move?

2.) 25 Aug 2020
25 Aug 2020 07:39:56
Thank you for the answer Ed002!