Liverpool Owners in 'Investment Talks' With Moneyball Mastermind Amid $8bn Valuation
Liverpool owners Fenway Sports Group (FSG) are said to be in talks regarding a huge investment as part of a merger with the company founded by Moneyball mastermind Billy Beane.
The deal being discussed would merge the FSG with RedBall Acquisition Corporation. RedBall is a so-called 'special purpose acquisition company' launched by private-equity firm RedBird Capital Partners and Oakland Athletics executive Beane.
Beane and sports banker Gerry Cardinale disclosed they had raised $575m (£433m) earlier this year in the hope of purchasing a professional sports franchise.
Thus, the Wall Street Journal claims the pair are looking to acquire a 25% stake in the John Henry's Fenway group - which own the Premier League champions and Boston Red Sox.
They raised $575m in August for this purpose and will raise a further $1bn to complete a transaction with FSG.
RedBall are said to value FSG at $8bn, including debt, and their investment would lead to the company being listed on the public stock market.
FSG have been open to the possibility of making available a minority stake in the Reds to outside investors for some time, but have consistently denied suggestions they have any plans to sell the club outright.
The American company have had ownership of the Reds since October 2010, overseeing major success at Anfield in recent years after an initial tricky period.
Henry, meanwhile, has leaned heavily on Beane's 'Moneyball' strategies - which use statistics to take the subjectivity out of signing players - when pinpointing new talent for both the Red Sox and Liverpool. The principal owner of FSG tried to acquire Beane for the Red Sox, a monster franchise in comparison to his Athletics, but he declined their offer.
Nevertheless, while discussions between FSG and RedBall are in their early stages and could yet fall apart, the Financial Times notes that the potential listing of the FSG would be one of the most high profile sports offerings of its kind in recent years.
If a deal was to be struck, the financial boost would be stark. Although, it remains to be seen what the exact impact on Liverpool would be.