Struggling English Premiership side Aston Villa announced on Monday they have followed the example of Manchester United by accepting a takeover bid from an American billionaire.
LONDON: Struggling English Premiership side Aston Villa announced on Monday they have followed the example of Manchester United by accepting a takeover bid from an American billionaire.
Pending shareholders' agreement, the Birmingham outfit will be sold to the wealthy businessman Randy Lerner for $118.3 million.
The Villa board made a statement to the London Stock Exchange recommending that shareholders accept the 547-pence-per-share cash bid from Reform Acquisitions Ltd, a takeover vehicle controlled by Lerner, who is also owner of the Cleveland Browns, the NFL American football side.
"The boards of RAL and Aston Villa are pleased to announce the terms of a recommended cash offer by RAL to acquire the entire issued and to be issued share capital of Aston Villa," the groups said.
After completion of Lerner's takeover, two English Premiership football clubs will be controlled by owners of American football teams.
Manchester United was purchased last year for 790 million pounds by Malcolm Glazer, owner of the Tampa Bay Buccaneers.
Monday's news will bring to an end the long reign of Aston Villa chairman Doug Ellis, who has been Villa Park owner since 1982 and also had a spell as chairman from 1968 to 1975.
Directors of the Birmingham-based club, including Ellis, who account for 35.9 percent of the equity, have irrevocably undertaken to accept Lerner's offer, one of four that had been under consideration.
"It is my belief and the basis for my bid to acquire Aston Villa... that it can compete at the highest level within the Premiership and in Europe," Lerner, who inherited most of his fortune from his father Al, the founder of the MBNA credit card company, said.
"The club has a rich history and a long tradition of passionate fan support."
The 82-year-old Ellis added: "I am sure that this transaction will be the beginning of a new chapter in Aston Villa's proud history."
Aston Villa's board, advised by investment bank Rothschild, said it considered the terms of the offer "fair and reasonable".
Seven-times winners of the English League and European Champions in 1982, Villa have struggled to maintain their position among the elite of English football in recent years falling well behind the likes of Manchester United, Chelsea and Arsenal in terms of playing talent and resources.
Matters came to a head last year with the combative Ellis at loggerheads with manager David O'Leary, with several players and with fans who at every home game demanded he should leave the club.
They avoided relegation from the Premiership, but O'Leary left, officially by mutual consent, and has since been replaced with the former Celtic manager Martin O'Neill.
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
)
){kind=small}
){kind=small}
)
)
)
)
)
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}