Source: Telegraph
New owners promise not to sell West Ham United for three years
Straumur, the Icelandic bank, will take a 75 per cent stake in West Ham, with other creditors owed money by the collapse of Hansa, the club's holding company, assuming the rest of the ownership from the present owner Bjorgolfur Gudmundsson, who will step down as chairman. [LNB]A deal to formally transfer the ownership of West Ham could be announced within three weeks, bringing much-needed stability to the club.[LNB] Related ArticlesGuide to weekend actionWest Ham to be taken over by bank consortiumSouthampton Football Club owner in crisis as shares suspendedNo chance Steve Bruce will join Newcastle, insists Dave WhelanFSA to cap mortgage borrowingWest Ham and Sheffield United reach out-of-court settlement over Carlos Tevez affairGudmundsson will not receive any money for relinquishing control and would only receive a return at the discretion of Straumur should it eventually sell. [LNB]The bank, which has effectively been running the club for the past 18 months due to Gudmundsson's financial difficulties, will form a holding company and appoint a new non-executive chairman, probably one of its own executives.[LNB]Gudmundsson has received no firm bids for West Ham and Straumur, which provided much of the money in loans for his £85million purchase in November 2006, has now promised that it will allow the club to continue as a self-financing operation. [LNB]The bank understands there is no point in attempting to find a buyer now because, given the financial climate, it would not recoup the money it has committed to West Ham. [LNB]Its best hope, according to sources, is to develop the club under manager Gianfranco Zola and chief executive Scott Duxbury, who will remain in place, along with technical director Gianluca Nani and wait until the economy improves and it becomes a more attractive proposition to sell.[LNB]To that end one of the commitments Straumur has already given is that it will attempt to raise the £5million West Ham need, on top of the £1.5million spent on acquiring the land, to develop a new training complex at Rush Green in Romford, Essex. [LNB]Straumur, which insists it is not in the business of asset-stripping West Ham, has also agreed to allow Zola and Duxbury to spend whatever money they raise through player sales on developing the squad. [LNB]The pair, along with Nani, will quit if this is not honoured. Other funds will come from the club's turnover – set to hit about £100million – as they implement their 'Football Project' plan of self-sustainability.[LNB]Zola is fully aware of developments and is ready to commit himself to a four-year deal to replace the 12 months rolling contract he signed last year when he succeeded Alan Curbishley. [LNB]A number of West Ham's most important players have also agreed new contracts.[LNB]
