In defense of Hicks’ asking price:
Tom Hicks has not made many friends on the opposite side of the Atlantic. He and co-owner of the Liverpool soccer team George Gillett have been approached by Dubai International Capital on a potential buyout. Hicks is being painted as the major roadblock to the transaction which appears to have a great deal of traction at Anfield.
After only months of owning the team, Hicks made a Franchise valuation of GBP 1 billion. The sum simply appears to be pricey given a purchase price of around GBP 200 million less than a year ago. In defense of Hicks, this is Dubai we are talking about. Arising from a mideast flush with oil capital, the offer may prove to be a lucrative ROI for Hicks and Gillett. It may be important to remember that Dubai is playing a major hand in bailing out many major American financial institutions. Perhaps a wiser play may be for Hicks to leverage the position he currently has to secure more lucrative future investments that hold high barriers of entry.
This may be the perfect time for Hicks to land a major international oil deal.