The scale of Liverpool’s ownership shake-up is significantly larger than first thought, with the Jeff Bezos-backed consortium 1892 Holdings understood to have acquired around 38 per cent of the Premier League club from Fenway Sports Group.
Initial reports following Friday’s announcement suggested the consortium had purchased roughly 30 per cent to one-third of Liverpool. Fresh reports on Tuesday, however, put the stake at 38 per cent.
Even more significantly, the agreement includes an option for 1892 Holdings to increase its holding to a controlling stake within the next 12 months. There is no formal commitment for that option to be exercised, meaning FSG remains Liverpool’s majority owner and retains operational control for now.
The revelation raises the possibility of Liverpool undergoing another major ownership change within a year.
1892 Holdings is led by British-Indian businessman Amit Bhatia and includes investments from Bhatia and the Mittal Family Trusts, K5 Sports and EE Capital.
Amazon founder Jeff Bezos is the lead investor in the K5 Sports fund, while EE Capital is the family office of Elaine and Facebook co-founder Eduardo Saverin.
Liverpool’s owners confirmed on Friday that they had entered into a “definitive agreement” to sell what they described as a minority equity stake to the consortium.
The transaction is understood to value Liverpool at around £5.5 billion, with The Times reporting that 1892 Holdings has paid just over £2bn for its 38 per cent stake.
Bhatia is set to become Liverpool’s vice-chairman and join an expanded board, subject to regulatory approval.
He has considerable experience in English football after spending almost two decades as a director and co-owner of Queens Park Rangers before giving up his stake last month.
Bhatia is also the son-in-law of Indian billionaire steel businessman Lakshmi Mittal.
Bezos himself is not expected to sit on Liverpool’s board. Bryan Baum will represent K5 Sports, while Elaine Saverin will also join the expanded board.
The deal remains subject to regulatory approval, including scrutiny by the Premier League and the Independent Football Regulator.
FSG has owned Liverpool since purchasing the club for about £300m in 2010. Despite selling a substantial minority holding, the American group has stressed that it remains in control.
The official announcement said FSG “continues to retain majority ownership and operational control of Liverpool FC.”
The possibility of 1892 Holdings eventually taking control, however, is likely to attract considerable attention.
Tuesday’s reports indicate that the consortium has a route to increase its stake to a majority position during the next 12 months, although FSG has stressed that it has not committed to a further sale.
For now, Liverpool remain under FSG control. But with 1892 Holdings holding almost 40 per cent of the club and some of the world’s wealthiest investors behind it, the ownership landscape at Anfield has changed dramatically.
