Official update on £44m Liverpool deal as off-pitch statement issued

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Liverpool have received an official update on a would-be deal that made waves earlier this month.

Backed by John Henry and Fenway Sports Group, Liverpool are often considered the best run club in the Premier League – from a financial point of view, at least.

However, FSG‘s ownership style is very different to, for example, that of Man City, whose owners have demonstrated that they are willing to bankroll losses to fund their footballing dominance.

A big part of Abu Dhabi United’s masterplan at Man City has been the development of their multi-club system, the City Football Group.

This sprawling network now encompasses stakes in 12 clubs in five different continents, as well as world-leading infrastructure in terms of scouting and player development.

In a long-heralded move, Liverpool recently took their first concrete steps into the multi-club model.

But recent developments have highlighted the difficulties in acquiring just on additional club, let alone 12 like City.

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Liverpool owners FSG get Bordeaux update

FSG were, until recently, in talks to acquire historic but financially-imperilled French club Bordeaux in a move that would have launched their multi-club network.

However, both parties confirmed that those discussions had not yielded a positive result, with FSG believed to have been concerned about Bordeaux’s debt burden and the wider state of French football.

Bordeaux were until recently a Ligue 1 team, and the top tier of French football has been under the microscope recently for its failure to secure a TV deal for the upcoming season.

That situation has now been rectified, albeit with Ligue 1 getting nowhere near the original £1bn per year they were looking for.

But that crisis was emblematic of the issues faced in French football in recent years.

Now, Bordeaux have been confirmed as the latest casualty of the declining state of the pyramid.

As relayed by BBC Sport, the club have now officially filed for bankruptcy, with debts of £44m that Liverpool owners FSG would have to have paid if they had bought the club.

This eliminates any chance of FSG returning to the negotiating table, and the Boston-based group will now look elsewhere as they continue to search for the right opportunity to launch an MCO.

TBR Analysis: Liverpool news illustrates multi-club difficulties

While the multi-club model is hugely popular at the moment (over half of Premier League clubs operate as part of some sort of MCO), it is not without its issues.

Man City’s failed takeover of Dutch side NAC Breda last year encapsulated some of these issues.

As well as supporters of subsidiary clubs often complaining about the loss of their unique identities, Liverpool may also face regulatory hurdles when they do eventually launch an MCO.

UEFA have given Man City and Man United a reprieve to play alongside sister clubs Girona and Nice in Europe in 2024-25, but that grace is believed to be temporary.

European football’s governing body is clamping down on dual ownership, which might make an acquisition on the continent more tricky for FSG and Liverpool.

Other markets are attractive, however.

Liverpool have explored takeover of four different Brazilian clubs, although that would likely be a more expensive route than a European club.