Reds agree to American takeover terms

Liverpool have agreed to an offer from American tycoons George Gillett and Tom Hicks to buy the club.

A statement was made to the Stock Exchange stating they have agreed the terms “of a recommended cash offer” to be made by Kop Football Limited, the American pair’s bid vehicle.

The statement read: “The offer is £5,000 (€7600) in cash for each Liverpool Share, valuing the issued share capital of Liverpool at approximately £174.1m (€265m).

“Together with the £44.8m (€68m) of net debt in the club as at December 31 2006, this represents an enterprise value for Liverpool of £218.9m (€333m).”

Additionally Liverpool chairman David Moores revealed he will become honorary life president.

He said: “I believe this is a great step forward for Liverpool, its shareholders and its fans.

“This club is my passion and forms a huge part of my life. After much careful consideration, I have agreed to sell my shares to assist in securing the investment needed for the new stadium and for the playing squad.

“I urge all my fellow shareholders to do the same and to support the offer. By doing so, I believe you will be backing the successful future of Liverpool Football Club.

“I am also delighted to accept the offer from the Hicks and Gillett families to continue my involvement in the club by becoming honorary life president.”