Gillett Says He Is Not Preparing To Sell Liverpool Stake
 |
Gillett Says Potential Canadiens
Sale Will Not Impact Liverpool |
Canadiens Owner and EPL club Liverpool co-Owner George Gillett yesterday insisted that he is "not preparing to sell his stake in Liverpool," according to Tony Barrett of the LIVERPOOL ECHO. Gillett has "appointed financial advisers BMO Capital Markets to examine all his family's investments across the globe and is believed to be in the market for a buyer" for the Canadiens, but he insisted that those moves are "not the beginning of a process which would lead to him selling his stake in Liverpool." Gillett: "We have engaged professionals who are doing some asset planning, it has nothing to do with any decisions to sell any assets. We may do some recapitalisation, but any links between what we are doing and the situation at Liverpool is incorrect. We have made no decision to sell" (LIVERPOOLECHO.co.uk, 3/24). In London, Ian Herbert notes any decision by Gillett to "sit tight" at Liverpool "may reflect conclusions that he will not find investors willing or able to buy." Though there "has been interest from investment groups in Dubai and later Kuwait," the asking price, "in the region of [US$728.6M] before the credit crunch hit, has simply been too high" (London INDEPENDENT, 3/25). ESPN SOCCERNET's Jerrad Peters writes it is "doubtful that the profit generated from the sale of the Canadiens will go towards Liverpool's debt." Gillett's "best-case scenario would include both the lucrative sale of the Canadiens and a debt restructuring agreement with Liverpool's creditors," but "failing that, it wouldn't be at all surprising if he combined portions of his interest in both clubs and packaged them off to investors." But if Gillett "opts to hang on to the Canadiens and offers combined Liverpool-Montreal investment packages" to new investors, he "will no doubt damage his already battered reputation in the eyes of many Liverpool supporters who opposed" Gillett's and co-Owner Tom Hicks' takeover (ESPNSOCCERNET.com, 3/25).
RIGHT TIMING? The GLOBE & MAIL's Stephen Brunt writes if Gillett were "a really smart guy," he "would have put the Montreal Canadiens on the block a year ago." Brunt: "Emotions were riding high, the team was first in the NHL's Eastern Conference. ... If Gillett had put up the for sale sign on March 25, 2008, a grateful city would have bid him fond adieu." But the sale of any asset, and "especially the asset that is the Montreal Canadiens, will be far trickier now, though the business of the franchise is still booming" (GLOBE & MAIL, 3/25). However, in Montreal, Pat Hickey writes the Canadiens and the "ancillary businesses here will never be worth more than they are now and it's a perfect time to cash out." A sale "would ease some of the pressure on Gillett's financial empire," and Liverpool "offers a potential for growth" if Gillett and Hicks "can follow through on a promise to provide the team with a new stadium" (Montreal GAZETTE, 3/25).
LINING UP: In Toronto, Mike Strobel reports RIM co-CEO Jim Balsillie "is a frontrunner" to purchase the Canadiens. The NHL "wouldn't let Balsillie buy the Nashville Predators and move them to southwestern Ontario, but the league must deal with him sooner or later." Meanwhile, Cirque du Soleil Founder & CEO Guy Laliberte "is a potential local candidate." Strobel notes former Expos Owner the Bronfman family and Montreal-based business exec Paul Desmarais are "in the thick of the rumour mill, too," as is Quebecor Media Inc. President & CEO Pierre Karl Peladeau (TORONTO SUN, 3/25). However, in Calgary, Bruce Dowbiggin writes "don't look for local interests to pay a hometown premium," as there were "no takers from Quebec" when Gillett bought the team in '01. Dowbiggin writes what makes the sale of the team "fascinating will be the criteria used to value the franchise -- and how that will affect the rest of the ownership positions in the NHL." Dowbiggin: "Value, not perception, is now king" (CALGARY HERALD, 3/25).
|
Related Stories By Company
|
Related Stories By Sport
|
EPL Clubs Divided Over China TV Rights
November 13, 2009 :
SportsBusiness Daily
Liverpool Eye Naming Rights For New Stadium
November 9, 2009 :
SportsBusiness Daily
Chelsea May Sell Stadium Naming Rights
November 6, 2009 :
SportsBusiness Daily
Liverpool Signs Deal With 188BET
November 4, 2009 :
SportsBusiness Daily
Soccer Franchise Notes
November 4, 2009 :
SportsBusiness Daily
|
Filings Show Coyotes Lost $5M In Oct.
November 20, 2009 :
SportsBusiness Daily
Catching Up With RSL President Bill Manning
November 20, 2009 :
SportsBusiness Daily
MLS Commish Sits For Wide-Ranging Q&A
November 20, 2009 :
SportsBusiness Daily
Will Handball Harm Henry's Marketability?
November 20, 2009 :
SportsBusiness Daily
Canucks Criticized For Getting H1N1 Vaccine
November 20, 2009 :
SportsBusiness Daily
|
|
