Bezos-backed 1892 Holdings poised for Liverpool takeover

Liverpool’s new minority investor, 1892 Holdings, has secured a powerful foothold at Anfield – and a clear route to control if Fenway Sports Group decide to cash in over the next year.

The consortium, fronted by Amit Bhatia and featuring Amazon founder Jeff Bezos, has an agreement that gives it first refusal on becoming Liverpool’s majority shareholder in the next 12 months. If FSG choose to sell or dilute their stake in that window, 1892 has the option to move in and buy a controlling share.

That clause drops into a deal bigger than many initially realised.

When the investment was announced on Friday, the expectation around the game was that 1892 had taken roughly 30% to one-third of the club. In reality, the group has acquired 38% of Liverpool, paying just over £2bn to FSG for a minority share. The price still pegs Liverpool’s overall valuation at around £5.5bn, underlining the club’s status as one of the most coveted assets in world sport.

FSG, who bought Liverpool for about £300m in 2010, have been keen to stress this is not the beginning of a managed exit. The Boston-based group insist they are under no obligation to sell any further stake to 1892 and retain full operational control of the club. The option, they say, lies entirely with the new investors and only comes into play if FSG themselves decide to reduce their holding within the next year.

Even so, the structure of the agreement opens the door to a potentially dramatic change in Liverpool’s ownership landscape. Should FSG’s stance shift, Bezos, Bhatia and Facebook co-founder Eduardo Saverin – another billionaire in the 1892 consortium – could move from powerful partners to outright owners in short order.

For now, Bezos is regarded as a passive investor. His money has come into Liverpool via the K5 Sports fund, where he is the lead investor rather than the frontman. The more visible influence will come from those taking seats at the boardroom table.

Bryan Baum, co-founder and managing partner of K5 Global, will join an expanded Liverpool board. He will sit alongside Bhatia, who steps in as vice-chair, and Elaine Saverin, wife of Eduardo Saverin. The reshaped boardroom hints at a new balance of voices around the club’s long-term strategy, even with FSG still calling the shots day to day.

Bhatia’s involvement is underpinned by serious backing of his own. He has secured financial support from the Mittal Family Trust to buy into Liverpool. His father-in-law, Lakshmi Mittal, is one of the giants of global industry, an Indian steel magnate and another billionaire presence behind the scenes. The Mittal family’s wealth is estimated at around $17bn, while Saverin’s fortune sits at roughly $33bn.

Put together, it is a heavyweight cast now circling Anfield. FSG insist they are staying. The paperwork says 1892 are perfectly placed if that ever changes.