Liverpool’s “future growth” has been assured after RedBird Capital invested over £500m into the club’s owners Fenway Sports Group.
The Premier League champions are estimated to have lost around £120m over the last year due to the Covid-19 pandemic. So the news will be welcomed at Anfield. The move from RedBird, which was mooted earlier this month, has been confirmed. It will see them acquire more than 10 per cent of John W Henry’s FSG. The Liverpool Echo report that the investment is based on a £5.38bn valuation for FSG.
It means that NBA star LeBron James, who has held shares in Liverpool since 2011, and Maverick Carter will become the first black partners in FSG’s history.
James, 36, who is one of the world’s richest sports stars with a $500m net wealth. He will now have a greater say in the running of Liverpool.
The LA Lakers small forward is also set to become part-owner of the Boston Red Sox and FSG’s other sporting subsidiaries.
An FSG statement read: “Over the years, Fenway Sports Group has been able to attract a dedicated group of executives and partnerships seeking to compete for titles in the most challenging and rewarding landscapes.
“Our strategic partnership with Gerry and the entire team at RedBird will enhance our ability to pursue future growth opportunities in a more accelerated way. But with the same selectiveness that has served us so well.
“We are also pleased to welcome to our ownership group LeBron, Maverick and Paul, with whom we have enjoyed a successful collaboration for well over a decade.
“Their addition is an important milestone for FSG. And expands and deepens a longtime friendship and relationship that began in 2010.”
“To our fans and supporters: Winning continues to be the driving force for all of us.
“The growth of FSG as an organization allows us to further strengthen our resources and commitment to the communities we serve. And we look forward to having these talented new partners join us in the next chapter of FSG’s evolution.”
The Echo report that part of the new investment will help FSG to reduce debts incurred over the past 12 months. The club’s owners have borrowed against their Boston business rather than against the club. The new injection of cash will ease their debt.
Gerry Cardinale, founder and managing partner of RedBird, said: “Fenway Sports Group is unique not only for the quality of its sports properties and assets, but for the highly disciplined, results-oriented organisation that John, Tom, Mike and the FSG team have built over the past 20 years.
“RedBird shares the same passion for performance-driven investing, business operations, fan experience and service to the community.
“We look forward to contributing our experience growing premier sports properties. And working alongside this tremendous leadership team, including our fellow new owners LeBron, Maverick and Paul.”