Will new owners have to clear debt?

Hicks & Gillet made the loans they took out to buy the club as club debt would it mean new owners would basicly have to buy the club from hicks & gillet and then pay off the loans they took out to buy it?

Loans have to be repaid in full, so either way the debt will be gone.

The new owner will pay 500mil and H&G will pay off their debt.

So after we have new owners, Lfc will have £0 debt??

Unless the new owners leverage the buyout like H&G did...

Ok, so let me get this straight:

A new owner- buying the club out of his own money- not a fat loan-
And lfc`s debt will be 0?

Ok, so let me get this straight:

A new owner- buying the club out of his own money- not a fat loan-
And lfc`s debt will be 0?

I reckon so...

Loans have to be repaid in full, so either way the debt will be gone.

The new owner will pay 500mil and H&G will pay off their debt.

sounds too good to be true, I'm sure hicks will somehow screw us out of more money any way he can!

I'm sure the new owner will consider and work out the figures before purchasing. The latest atm is a Chinese buyer...

It's a mammoth task to take over the club, the new owner has to repay the full 250 mil loan taken up by the 2-clowns, add another say 30 mil interest, pass 150 mil profit to each of the 2 clowns (let's hope these greedy b**tards arent looking at a bigger amt), invest say 60 mil on new players and finally has to invest another say 500 mil on the new stadium, totals 1,140 mil GBP. Others associated cost not included. That could be the figure, if the new owner wants to start on a clean slate and get the club running in tip top condition. Hopefully, my estimation should be less. Where are we gonna get a buyer that can fork out that sum of money. Worrrying times ahead. On a consolation note at least the commercial dept is bringing in the revenue. 

I'm gonna drop my man Bill Gates a quick text!

I'm sure what ever monies the club is bought with the onus will be on Tom & George to pay off the debt, would you consider paying say for 500 million knowing full well you were buying almost half of that in debt ?

The way is see it is say a 500 million take over was forthcoming, Tom and George pay off the 237 million debt that leaves 264 million profit and a healthy 132 million each.

Ah cool thanks for clearing this up sorry if it was a bit of a stupid question.

Makes sense to clear the debt rather than pay £40 million or so in interest each year!

If and when the club does get sold, shouldn't G & H pay off the debt with the money they receive from the sale? They are the one's that took out the loan so the loan being put into the clubs and the new owners responsibility to pay off is a joke.

If and when the club does get sold, shouldn't G & H pay off the debt with the money they receive from the sale? They are the one's that took out the loan so the loan being put into the clubs and the new owners responsibility to pay off is a joke.

The new owners will not be buying the debt, fortunately for them and us the responsibility lies with Tom& George to pay that.

I guess it is the same as this...

I have a mortage for my house, I sell my house, I and not the new owners still have to pay the mortage.

But it would not surprise me if H&G have got some patsy to sign the forms.

I guess it is the same as this...

I have a mortage for my house, I sell my house, I and not the new owners still have to pay the mortage.

But it would not surprise me if H&G have got some patsy to sign the forms.

not quite - H & G have arranged it so that YOUR HOUSE owes the money. I've always thought that it should be illegal to do things the way they have. in other words, it SHOULD be the way you state and the buyer is responsible for the debt.

ultimately with LFC as it now is I think the responsibility for the debt will be part of a negotiation between H & G, the buyers and the banks with the Yanks probably eating most of it.