Reds receive Financial boost as Gillett sells NHL team

Liverpool co-owner George Gillett has moved to strengthen his financial position by agreeing a £330 million deal to sell Montreal Canadiens, his National Hockey League franchise to brewing giants Molson reports the Telegraph.

The 60-year-old, who took control of the Canadiens in 2001, has agreed to sell his 80.1% stake in the ice hockey team, together with the Bell Centre Arena where they play and the Gillett Entertainment Group, which promotes sport and music. The Canadiens buy out has yet to be approved by the NHL’s board of governors, could take up to six weeks to be approved, but it is not expected to be blocked.

NHL commissioner Gary Bettman said: “I think to the extent that they [Gillett] have been able to find people who are obviously passionate about the game and structure a transaction that makes sense for everybody, that’s a real plus for the franchise.”

Both Gillett and Hicks have been actively seeking buyers for their American sports franchises in recent months in order to raise funds to consolidate their position at Liverpool. Gillett has struck a deal with brewing giants Molson for the Canadiens, Hicks continues to search for a buyer for his Texas Rangers baseball franchise.

The Molson deal will no doubt strengthen the pairs position in refinance their £350 million loan with the Royal Bank of Scotland and Wachovia on July 24, but could also give Rafa Benitz the extra spending power to strengthen his squad this summer. It may also stave off the pack of clubs intent on picking off players because of the clubs so called financial hardship.

Quebecor join race to purchase Gillett’s hockey team

Following on from yesterdays story, media conglomerate Quebecor has joined the Molson family in the race to purchase George Gillett’s Montreal Canadiens, as well as its Bell Arena home claims the Telegraph. The story says the “price that could rise as high as £300million, allowing Gillett to secure both his position at Liverpool and the club's immediate financial future.”

The article goes on to say: “Both Gillett and his business partner, Tom Hicks, have admitted in recent weeks they are looking for "minority" investors in their sporting empires and it is believed both are prepared to countenance selling their sport assets in the United States to maintain control of Liverpool.”

Hicks and Gillett are said to be “close to securing a six-month extension on the £350 million loan taken out last January. It is believed any such deal would likely be dependent on both owners putting more of their own capital into the club.”

The story also states Rafael Benitez “is not likely to be handed a significant boost in the transfer market should Gillett sell the Canadiens.”

Gillett receives bid for Montreal Canadiens

Liverpool FC owner George Gillett has received a takeover bid from Quebec’s Molson family for the National Hockey League’s Montreal Canadiens, reports today’s Echo. Gillett bought the Canadiens from brewer Molson Inc. in 2001 and it is believed they are seeking to regain control of the 24-time Stanley Cup champions.

Geoff Molson, a 38-year-old director of the Canadiens and Molson Coors Brewing Co., is leading the investor group, which also includes brothers Andrew and Justin. The family said in a statement today:

“We have assembled a very solid and credible group of investors and financial institutions as part of our offer,” Geoff Molson said in the statement. “We think our offer has all the ingredients to be well received by the potential seller and the National Hockey League.”
Molson said he looks forward to meeting with Gillett, though he declined to comment further on the offer, citing a confidentiality agreement.

The Mirror is also running the story and values the hockey team at “£200m”. It also claims Tom Hicks is “close to selling half his stake in the Texas Rangers baseball franchise” The Mirror article headed under the screaming headline: “Liverpool secure loan to refinance club and top players look safe” declares: “Liverpool's owners have secured a £350million loan to refinance the club, after pledging more funds for Anfield.” However the loan has not yet been re-financed and the same article admits this later by saying: “the pair have been told that the refinancing with the Royal Bank of Scotland and American bank Wachoiva is a formality.” The so called new deal will allow: “manager Rafa Benitez to resist a Spanish armada trying to tempt three of his top stars away from Anfield,” the story claims.