/ 10 December 2003

Leeds in takeover talks

Leeds United told the London Stock Exchange on Wednesday they are in early talks with interested parties, in a move that appears to confirm reports that three Arab sheikhs are planning to buy out the English Premiership crisis club.

Bahrain-based Sheikh Abdul Mubarak Al-Khalifa, a long-time Leeds fan from his school days in Britain, and two Saudi businessmen were reported to be bidding to takeover the club.

The other two are Sheikh Mansour Salah Al-Zamil, who owns oil and gas containers and storage businesses, plus steel and construction companies and huge land interests, and Sheikh Fahd bin Muhammed Al-Sudairi, a businessman who is connected to the Saudi royal family.

Al-Zamil sees Leeds as potentially the Manchester United of the Arab world, a brand name that will attract business for him and also boost the ailing club.

Al-Khalifa has persuaded the men that Leeds are a good investment — despite debts of £80-million.

Sheikh Al-Khalifa’s offer includes £17-million for shares, as well as more millions to settle the two major creditors.

Leeds chairperson John McKenzie has put a £60-million price tag on the club.

Leeds came to an agreement with their creditors last week, which avoided the immediate threat of administration.

The ”standstill” deal has also released £4-million to give the club until January 19 to find a buyer or to negotiate and secure a longer-term deal with creditors. — Sapa-AFP