Liverpool sale plans given £535m boost as alternatives run out for FSG transfer scheme
Liverpool’s sale intentions have been given a £535 million boost as FSG’s transfer options have run out. The £535 million boost could impact the sale as FSG plots its next actions.
According to researchers from the US sports business website Sportico, Liverpool’s valuation has climbed by up to £535 million in the last two years.
The Reds’ owners, Fenway Sports Group, are now seeking new investment in the club through a partial sale, however they would be open to complete sale offers. The latter is not believed to be the desire of major owner John W. Henry at this time.
The club’s worth has been a contentious topic, with the Reds, who were purchased by FSG in 2010 for just over £300 million, being valued at more than $4 billion. Last month, sources with knowledge of the deal in the United States told the ECHO that only bids beyond $4 billion would elicit high-level conversations.
There have been no formal talks as of yet, and there has been no bid for the football club or concrete interest that has merited serious discussions. That could change in the coming weeks, with FSG certain to get interest from Morgan Stanley and Goldman Sachs, the investment banks assisting the hunt, with US private equity and institutional investors likely to show their hand in some form. Interest from the MENA region could also be presented, although nothing has materialised as yet.
Liverpool have exhausted their alternatives for repeating a huge FSG transfer trick.
While the last five years have established Liverpool as one of the most savvy transfer market operators, incomings have only been a small part of that reputation.
With the assistance of their recruitment team, Jurgen Klopp, Michael Edwards, and Julian Ward have brought in some of the most coveted players in decades at Anfield under the sports director model.
However, for every Mohamed Salah, Virgil van Dijk, and Alisson Becker, there have been a lot of less-publicized transactions that have helped supplement Klopp’s efforts to remodel the squad to his taste.
In the summer of 2018, Liverpool were able to fetch £20m for Dominic Solanke from Bournemouth, while Danny Ward brought in £12.5m after he was deemed surplus to requirements following the arrival of Alisson.
After a successful loan stay, Danny Ings was signed by Southampton for a sum of £20 million the following year, while youngsters Rafa Camacho and Ryan Kent fetched around £15 million when they moved to Sporting Lisbon and Rangers, respectively.
Rhian Brewster joined Sheffield United from Liverpool for £23.5 million in the summer of 2020. Nearly three years later, it appears to be an amazing trade, but the Reds’ valuation was dictated by market factors at the time.
For a club like Liverpool, which is constrained by the self-sustaining model preferred by owners Fenway Sports Group, such a style of operating is essential to supplying additional finances, yet a mere look around the current roster may elicit a sense of discomfort.