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This post has been edited by Petre: Aug 5 2010, 09:34 AM

China fund raises finance to match Liverpool asking price

• China Investment Fund sold shares worth £351.4m
• Sum is equivalent to Anfield club's debt


The Chinese government fund represented by Kenny Huang has spent the past fortnight raising precisely the amount of cash required to finance a bid for Liverpool. Sources have confirmed to Digger that the China Investment Corporation, the sovereign wealth fund to the world's most populous nation, is the organisation being fronted by Huang, who yesterday admitted interest in bidding for Liverpool.

In a series of trades since 19 July, CIC has sold $558m of shares in Morgan Stanley, equating to £351.4m. That sum is equivalent to Liverpool's debt to the nearest decimal place, and is exactly the number insiders say has been quoted to interested parties as the sale price.

China Daily, the English-language arm of the Chinese state media, reported yesterday: "China Investment Corp, the Chinese sovereign wealth fund that bought a 9.9% stake in Morgan Stanley in 2007, sold $90.5m of shares in the investment bank on 30 July, bringing the total amount divested in the last two weeks to about $558m."

Although sovereign wealth funds have enormous values of assets under management, cash is generally tied up in equity and bond markets. This requires liquidation by share sales before major new investments can be made. It is therefore hugely significant that the £351.4m number is also equivalent to Liverpool's debt, suggesting that CIC is shifting its assets ahead of an offer for the five-times European Cup winners.

It also indicates that despite the ambitions of the Anfield club's chairman, Martin Broughton, to generate a return for Tom Hicks and George Gillett, China is refusing to reward them for their three-and-a half-year ownership of the club. The Americans' capacity to dictate terms is further reduced by the fact that there are few other credible bidders preparing to compete with Huang and CIC.

Even those involved in the sale process have dismissed the announcement yesterday from Yahya Kirdi, the former Syrian footballer with business links in Canada, of his intention to compete with Huang for Liverpool. Kirdi has previously talked of his interest but is said not to have meaningfully pursued it, but his interest could raise the price that current owners are looking for. The Rhone Group has also re-emerged as a possible interested party. But although it is regarded as being financially capable of mounting a bid, the private equity firm has come to the table before, having looked at a minority-stake investment in March. But it did not go through with the deal.

Huang confirmed for the first time yesterday he had contacted Liverpool's brokers in the sale – who together are Broughton and Barclays's investment-banking division, Barcap – to "register interest". He did state he "has made no formal bid", however CIC's cash-raising exercise demonstrates it is in a position to make an approach at any time.

In that event the red half of Merseyside might be concerned about the impact of direct investment from the Chinese government in their club. But in anticipation of negative reaction to its world-wide investment activities, CIC's website states: "CIC strives to contribute to the prosperity and development of local economies.

It adds: "CIC usually does not seek an active role in the companies in which it invests nor attempts to influence those companies' operations. CIC seeks long-term, stable, sustainable, and risk-adjusted return."

Although the message of prudence, at a time when CIC's dumping of £531.4m of Morgan Stanley shares has conspicuously not generated any money for transfer activity, might dishearten fans, it should not be interpreted as a lack of team investment. CIC would be purchasing a debt-free club and would be capable of taking out smaller, more affordable loans to finance team strengthening this summer.

And after the years of chaos associated with the unsustainable debt run up under Hicks and Gillett, that would no doubt be a welcome relief to Liverpool fans, as will the fact CIC is happy with Roy Hodgson being the manager.

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Added on August 5, 2010, 9:38 amRoy Hodgson Admits That A Mega-Offer For Liverpool Striker Fernando Torres Next Summer Would Be Tough To Turn Down
New Reds boss is happy that the Spaniard will play at Anfield this season
By Anthony Sciarrino


Liverpool manager Roy Hodgson admits that should a huge offer for star striker Fernando Torres come in next summer it would be difficult to reject.

The new Reds boss is ecstatic that the Spain international committed his future to the club, despite reported interest from Chelsea and Manchester City this summer.

Both Premier League rivals were rumoured to be offering more than £50 million to Liverpool for the 26-year-old, but the striker has now returned to training and is adamant that he does not want to leave the club.

The former Fulham manager knows that teams will be interested in a quality player, but Hodgson is focused on what happens this season.

''The important thing for Fernando and for us is that we have a good season - he as a player, us as a club and me as a manager,'' Hodgson told The Telegraph.

''Who knows what next season will bring? We could have a fantastic season and the players will not want to go anywhere or we could have a worse one and there will be more speculation.

''It could be he does so fantastically well and an offer comes in like the offer came in for Kaka or Cristiano Ronaldo (£56 million and £80 million respectively - both from Real Madrid) which is impossible to turn down.

''But we will take that problem when and if it arises but the important thing is it hasn't arisen this summer because he is going to be playing for us.

''He is committed to playing for us and he is going to honour his contract and it is good for me he has made it clear he likes the club and the fans.

''It is nice now the speculation can finally end once and for all after Fernando made it clear how absolutely committed he is.''

Torres scored 18 Premier League goals last year despite missing some time with injuries during the season, and is still fighting to recover from the groin injury he suffered in Spain’s 1-0 extra-time victory over the Netherlands in the World Cup final last month.

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Added on August 5, 2010, 9:39 amHodgson tells Liverpool stars: Forget new signings, it's YOUR job to turn club around


Roy Hodgson has told his biggest stars the time has come to look in the mirror and not for excuses as Liverpool's revolution gets underway.

The new Anfield boss pulled no punches yesterday as he warned that instead of looking to the club's owners to bring in yet more big names to turn around the mess of last season, the ones already at the club should be putting their hands up and taking responsibility.

Liverpool has been engulfed with off-field controversies for so long, that it is hard to remember a time when the focus was purely on the football.

Much of the summer has been spent embroiled in debate over takeovers and investment, with the futures of Fernando Torres and Steven Gerrard said to be dependent on massive spending on new players.

Read more: http://www.mirrorfootball.co.uk/news/Liver...l#ixzz0vgvjqyWa
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Both Anfield icons have now committed their futures to the club, amid suggestions that the sale process is nearing a conclusion, offering the prospect of a brighter future for Liverpool, as tycoons from China, Syria, and Kuwait among other far flung countries compete to buy the business.

Yet Hodgson believes the solution to the club's problems of last season lie closer to home, with the players themselves holding the power to turn things round in their own hands.

"As a player you have chance to change things. If you don't think the team is doing as well as it should, as a player you can do something about it," the experienced manager explained.

"Now if they are not playing well and not helping the team to win I will be advising them to look into the mirror, rather than look for excuses elsewhere and blame the owners for not having spent £500m.

"My attitude is that we want our big players because they are big players and they will help the team to win. That is why they are at the club."

Hodgson is both relieved and delighted that Torres and Gerrard have chosen to stay at Anfield, because the chance to work with such players was one of the main reasons he accepted the job.

Yet in keeping with his honest, almost refreshing approach to refusing to sugar coat his statements since arriving at Liverpool, he admitted to having little sympathy for the idea that big players want to see the club's ambition by spending yet more money.

"I think that people from the outside have more sympathy with those sort of comments than me," Hodgson added.

"Look at Real Madrid last season. They spent a fortune on two or three stars and it didn't give them what they wanted. They didn't win the Champions League, or even get to the semis, and they didn't win the Spanish league or the Spanish cup. I rest my case.

"The two most expensive players in the world par excellence didn't help them get what they want. Are those players then entitled to say I should not have come here because the club lacks ambition or is the club entitled to say we spent £150m on you two, we wanted you to help us win?

"I am not afraid of telling players to look in the mirror under those circumstances. I'm always sceptical of comments where players are questioning the club's ambition. I'd tend to throw that back at them and say the club's ambitions rest in your hands, you're the ones playing for us and you're the ones people are paying to watch."

Not that Hodgson has any fears over the reaction of his big stars. He spent time talking with Torres in the summer, and has also sat down with the likes of Gerrard and Jamie Carragher to explain his vision for the future.

And he is confident he will get the right reaction from his new players, as they show why they made it to the top in the first place.

"I am close to players, I will put my cards on the table. I have always been a coach and coaches get close to players," he explained.

"We have our ups and downs and we push them and some don't like it but my sympathy is with them. In my 35, 36 years I have not been let down very often, so I have every right to trust players. I don't trust some of the mechanisms around players, but who does.

"The players of the highest echelon do look in mirrors and analyse performance, so I am not fearful of that."

Gerrard and Carragher, along with Joe Cole, Glen Johnson and several other big names will make their competitive return tonight, in the final game ahead of the Premier League kick off against Arsenal.

Liverpool entertain FC Rabotnicki of Macedonia in the Europa League, with a healthy two goal lead from the first leg, making the game something of a formality.

But Hodgson admits that he will still see the evening as a momentous occasion, given that it will be the first time he leads a side out at Anfield.

"It will be a great feeling - when you take on the job, you do it because you want to be leading the team out at Anfield," he added.

"That's going to be the highlight of your time as manager. It's been five weeks now and the day has finally arrived and I'll be looking forward to it.

"It'll be like a mini-debut in a way though. Having dealt with the opponents well enough in the first leg, it has taken the pressure off the second leg. I should be lucky enough to have a soft debut then a real debut in 10 days time."

Liverpool: Cavalieri; Johnson, Carragher, Skrtel, Agger; Rodriguez, Gerrard, Lucas, Jovanovic; Cole; Ngog.

Rabotnicki: Bogatinov; Egzon, Dimovski, Fernando, Sekulovski; Tuneski, Todorovski, Gligorov; Ze Karlos, Fabio Silva, Vandeir.

Read more: http://www.mirrorfootball.co.uk/news/Liver...l#ixzz0vgvsMFuR
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This post has been edited by Burningsunz: Aug 5 2010, 09:39 AM

Hodgson tells Liverpool stars: Forget new signings, it's YOUR job to turn club around

wow...alright boss,...i will do the best for my club....

sometime you cannot be too lenient with your player, and this show something that RH was serious in his job and want to make Liverpool FC as best as it can be like what Torres say... 'best club'...

i think its about time RH says that, as a reminder, and also to indirectly stamp his authority. now you know who is the boss, and what is your task. lets do it! nothing is impossible XD

This post has been edited by Petre: Aug 5 2010, 10:08 AM

If China does buy, I'll want China to change its flag and add the Liverbird CREST on its flag.

On a sidenote; Even Chairman Mao had never seen a greater show of Red strength and support.

Does ANYone actually want to buy Mascherano? He's been available for ages, yet no bids?

i think he is in Riera's situation now. no more welcomed in the squad yet no way out

i'm disappointed with the guy for his way. through thick and thin, this is the true red spirit. look at torres. stars staying. why cant masch stay? he has no confidence it the team? the manager?

if he stays, hope he do something to win back the fans

there are a lot of senior players not quite happy about Liverpools position (ownership). they & I can say ALL who was involved in 90% first team games are Happy & they know they are playing in the BEST club in Britain if not the world. (bar benny)

they dont hate or blame RH & they already knew last seasons blip is in part their own doing. The other part they have given 200% to their games but circumtances cant change when the team had lack of reasonable cover to senoir players when they were injured/dip in form.

Maybe there is an about turn in the fate of his move/heart (like insua's to italy).





on the issue of selling the club, yy biggest fear is the G&H owners are going sell to new 'donkeys' (owners who has zero sense in sports business) as if its a bloody musical chairs.

of course some argue its the job of Purslow to seek further commercial investments but as owners/ or in the capacity on the Liverpool Directors it is upmost that a sustainable and consistency to the health of the club in finance or growth.

If it goes true, lets hope tht Huangs QSL isnt another false dawn (doubt the other bids are as genuine or just a smokescreen ala being a friend of G&H). Huangs QSL don't look as deep pockets as RA or glazer, or the ManCity's owners. Just hope they are as savvy in helping to finance purchases when it counts.

the chinese guy? i thought they have like 200+ billion pounds of money? and they gonna make liverpool the richest club in the world and they aspire to acquire every best player on the planet for every position?

damn i must be reading too many lately :-X

I told him that when I met him, twice. e wasn't too happy that I was bagging him.

Somehow the sex & science free magazine caught my attention

Maddie, Mascherano wants to join Rafa or Barca, I believe that a bid will still come in, but the thing is that rafa knows the situation at Liverpool and is playing the game. Also, with the ownership situation yet to be solved, I think we can't do much at the moment. For me,he came out and say that he wants to leave, then leave, no one, I repeat, no one, is bigger than the club.


By the way, just want to share the latest ink I got...



To complement with the earlier one



This post has been edited by Jonno: Aug 5 2010, 11:47 AM

too expensive at 25m.

25m is a bargain. 40m is just right

Transfer and takeovers aside, is Astro showing the 2nd leg?

hmm just came back from SG.
and weston already got the euro jersey / training kit / euro training kits and they're all not even due for launch in UK until 12/08.

this one is nice.



This post has been edited by Everdying: Aug 5 2010, 12:53 PM

nice jonno.

Nice, didn't occur to me.

Jonno: Show off

Jonno: next one on the chest

problem is, he's too defensive for anyone's liking. Bar his workrate and defensive skills, there isnt really much to offer.

perfectly suited to Italian football.or Jose Mourinho.or his twin Sam Allardyce


btw that syrian bidder know something about football.he's an ex-international himself

Says the guys with his tattoo as his avatar...

Nah, will be looking out for the design and thinking hard where to place it...

This post has been edited by Jonno: Aug 5 2010, 03:01 PM