Contracts exchange between GFH and Cellino as Leeds Takeover nears completion.

Leeds United have confirmed they have signed contracts to sell a 75% stake in the club to Massimo Cellino. The deal is subject to Football League approval.Chairman Salah Nooruddin will remain in his post and managing director David Haigh will become chief executive. In a statement, Nooruddin said: “I am delighted to announce that we have exchanged contracts for the sale of 75 per cent of the club to Eleonora Sport Ltd, subject to Football League approval. “GFH Capital and its investors will retain a 25 per cent stake in Leeds United. I will remain the club chairman and David Haigh will be the club CEO. “The board has always had as its principal aim the creation of a long term ownership structure through partnership with sound and strategic investors to build on the foundations we have laid for sustainable success for this great club. “We believe we will have achieved that with this deal. It provides the basis from which Leeds United can move forward to a position which will enable it once again to compete at the highest levels of football. “That is where this great club belongs and it is nothing less than its fans deserve. Throughout the difficult years, as well as the glory years, they have remained second to none in their support of the club and we as a Board have always appreciated their passion. “Following the introduction to GFH to the Cellino family which owns Eleonora Sport Limited it quickly became apparent that the family and the company offered both the long term investment and the footballing knowledge necessary to take their place as majority owners of Leeds United. “Everyone on the Board is looking forward to working with our new partners who we hope will be in place at Elland Road very soon.” Gulf Finance House chief executive Hisham Alrayes said: “It has always been our aim since taking over Leeds United to create an ownership structure through partnership with like-minded strategic investors who would help us take the club forward on a long term and sustainable basis. “It has taken us some time to get the right deal in place with people who truly shared our commitment to, and faith in, the future of Leeds United. “We are delighted to have reached agreement with Massimo Cellino and Eleonora Sport Ltd who share our determination to move the club forward. “Despite media and market speculation, we have refrained from making any official comment on this matter until this point when contracts have been exchanged. “We understand that the speculation has been unsettling for the fans and, even though it was not of our making, we apologise to them for that. We are happy now to inform them of the accurate position with regard to the new ownership which will, we believe, enable the club to achieve promotion in the shortest realistic time possible. “GFH Capital and its investors continue to show its commitment to Leeds United through the minority 25 per cent shareholding we will be retaining.”

Massimo Cellino set to Pass"Fit and Proper" Test

Leeds United's would-be new owner Massimo Cellino looks set to complete his takeover within 48hrs.The Italian, waiting to exchange contracts with United owners Gulf Finance House (GFH) after agreeing terms late last week over a £25m takeover deal for a 75 per cent stake.Reports that Cellino is unlikely to pass the Football League’s Owners and Directors’ Test, formerly the Fit and Proper Person’s Test appear to be wrong. Cellino, despite two previous convictions for false accounting in Italy and a reported arrest on suspicion of embezzlement in 2013, would still be able to buy Leeds with his first conviction in 1996 expunged on appeal and the second offence in 2001 considered as spent under English law – specifically the Rehabilitation of Offenders Act (1974). That
 means Cellino is under no obligation to disclose the charges and the offences should no longer be held against him in any way. It is understood Cellino’s lawyers have presented a case to the League arguing that he cannot be barred from owning Leeds due to the past offences. The threat of proceedings following Cellino’s arrest last year on suspicion of embezzlement is also not considered a problem to him completing any purchase of Leeds with no measures preventing people taking over a club if they are under investigation or facing charges for an alleged criminal offense of dishonesty. Under League rules, people are regarded as innocent until proven otherwise. The League are still considering the bid from Cellino’s company Eleonora Sport Ltd before deciding whether he passes the test. The Cagliari owner, based in Miami, does not foresee any problems regarding meeting League criteria and is quoted as saying: “I’ve had 22 years as an owner in Italy where regulations are much stricter than in England. I don’t see why this should be an issue.” Besides awaiting approval of his purchase of United from League authorities, his other major hurdle is getting the required signatures from GFH officials to seal the takeover. As far as Cellino is concerned, a deal was struck to purchase 75 per cent of the club last Friday with Leeds chairman and GFH shareholder Salah Nooruddin. But the deal is still waiting to be signed off with Cellino and GFH yet to exchange contracts, prompting the rival group involving members of failed Sport Capital and Together Leeds consortiums to join forces in an attempt to hijack the Italian’s bid and secure a controlling stake in the club. Claiming a deal was struck late last week, Cellino said: “The money was paid on Friday. Me and the Bahraini, we’re serious people. “Between us, there is no problem. But in the middle, there is a problem, there is a lot of s*** going on. “The Bahraini trusts me and I trust him. He could have done other deals, but chose me because I showed I can run a club.” Meanwhile, Cellino has been frantically attempting a charm offensive after what amounted to a public relations calamity in sacking McDermott via a phone call from his lawyer Chris Farnell. The Cagliari owner has told one national newspaper that he plans to return Leeds to their former glories. The agriculture magnate said: “I already love this club and want to do something right for it. “I want to get it back where it belongs, in the Premier League.”

Leeds United face winding up Order

According to a report in the Financial Times Leeds United's shirt sponsors Enterprise Insurance have made a move to wind up the company.Enterprise, whose managing director Andrew Flowers is a failed bidder, has filed a winding-up petition for the Championship club over an alleged unpaid debt. It will be heard in the High Court in March.The Gibraltar-based insurer issued the petition on January 29, a day after talks with Sport Capital, a consortium including Mr Flowers, a life-long Leeds fan, and David Haigh, managing director of Leeds, collapsed.The move appears designed to prevent a sale to Massimo Cellino, owner of Cagliari, the Italian top flight club, who clinched an agreement to buy 75 per cent of Leeds on Friday. Since then, the manager, Brian McDermott, has been sacked and reinstated, and Mr Cellino’s lawyer, Chris Farnell, has been asked to leave Leeds’ Elland Road base. GFH Capital, the Bahraini investor seeking to sell the bulk of its stake in the club, has reiterated that it remains in charge. In debt proceedings, courts potentially have the power to reverse the sale of assets, freeze bank accounts and even order an administration or liquidation. Leeds, which has had a difficult financial history, entered administration in 2007, with £35m in debts. Mr Cellino has applied to the Football League to pass its “fit and proper person” test required of club owners. Leeds city council, which owns the club’s training ground, has also written to the league calling for a “thorough vetting” of Mr Cellino.Enterprise has apparently scrapped its shirt sponsorship of the club. In 2012 it lent Leeds £1.7m at 7 per cent interest for repayment in 2015. Mike Smith, a corporate insolvency expert from Jameson Smith, said the insurers’ move was “risky”, since the debt must be proved in law or costs could be awarded against it. Unless settled, the petition must also be advertised in the London Gazette. “Other creditors can use the same petition to pursue their own debts so I suspect it is solely being used as a bargaining chip to apply pressure to the board of Leeds United,” he said. Mr Flowers has reportedly joined a third bidding consortium, which includes Adam Pearson, former Hull City chairman, Mike Farnan, ex-Sunderland marketing director, and Gary Verity, who runs Welcome to Yorkshire, a tourism promotion agency. They are understood to be offering around £30m in staged payments. GFH bought Leeds in December 2012 for £17m from Ken Bates, the former Chelsea owner.

Confirmed Leeds United Takeover has Collapsed

The takeover of Leeds United by Sport Capital has collapsed owing to a lack of "financial backing", leaving the club's future unresolved and uncertain amid speculation that two separate groups remain interested. Leeds managing director and head of the Sport Capital consortium, David Haigh, released a statement on today stating that it was unable to complete a deal despite two months ago agreeing to purchase a 75% stake in the club from the owners Gulf Finance House. Haigh claimed he and Sport Capital had "injected substantial sums into the club to ensure its viability" but earlier in the week fellow consortium member Andrew Flowers, the managing director of Leeds' shirt sponsor Enterprise Insurance, stated that GFH had "breached their covenant with us" after inviting a rival bid from Massimo Cellino, the president of the Serie A club Cagliari. Cellino has been strongly linked with a takeover although another consortium are also reportedly interested in securing a majority shareholding in the club.Haigh's statement read: "We signed a share acquisition agreement with GFH Capital at the end of last year. This meant, I believed, that we were in a position to move things forward and complete the transaction in time for the January transfer window. "Unfortunately, however, some of the consortium's backers ultimately didn't feel able to deliver the financial backing we had hoped was agreed to take the club forward. "I have met many, many potential investors over the past year and, sadly, while many are keen to talk the talk, they have been unable or unwilling to deliver in financial terms."

Leeds Takeover Looks Doomed

The consortium bidding to take control at Elland Road has accused Leeds' owners Gulf Finance House of reneging on a deal to sell it 75 per cent of the club's shares.Sport Capital, headed by Leeds' current managing director David Haigh and Andrew Flowers, the managing director of their main sponsors, Enterprise Insurance, had agreed the terms of a buy-out with GFH on November 30. The consortium had expected the deal to go through in time for funds to be made available for manager Brian McDermott ahead of the January transfer window. But after undertaking due diligence Sport Capital revised its offer and negotiations between the two parties have broken down. In a further twist, Sport Capital has also questioned GFH's "11th-hour decision" to open talks with controversial Italian Massimo Cellino, the owner of Serie A club Cagliari. Flowers said in a statement: "We are convinced this will not be in the interests of the club, the manager, the players or the fans. "We must ask the question whether the prospective preferred bidder understands anything about the culture of Leeds United, its fans, its heritage or British football. "We were fully justified in revising our bid because a number of things have come to light which were not as originally described. "However, as lifelong fans we believe our offer and plans were in the best interests of the club and its loyal supporters. "This boils down to much more than money, but GFH have chosen to ignore that. "We believe the owners have breached their covenant with us, but much more importantly they have breached their covenant with the fans." Bahrain-based investment firm GFH took control of the club from former chairman Ken Bates 12 months ago and has made no secret of its intention to attract further investors. Cellino, 57, whose representatives have recently been seen at the club's Thorp Arch training complex, was arrested in February last year and charged with embezzlement and false representation in connection with the rebuilding of Cagliari's Is Arenas stadium and is currently awaiting trial.

Leeds United take over Close to Collapse?

Sport Capital's bid to take a 75% share in Leeds United looks to be close to collapse as the consortium and current owners GFH wrangle over details.

GFH Capital bought the club in December 2012 from Ken Bates but they recently announced that they would be selling all but a 10 percent stake in the club, which would remain with Bahrain-based Gulf Finance House - their parent company. It had been announced that 75 percent would be sold to a consortium of British investors (Sport Capital) led by United managing director David Haigh.

Sport Capital were thought to have completed a deal in time to provide transfer funds for Brian McDermott It's been reported today that the deal is far from sealed and there could even be a rival offer from the owner of Serie A club Cagliari. Italian press are reporting that the Sardinian club's owner Massimo Cellino has made a last minute bid to hijack Sport Capital's bid.

In an interview earlier this week, the Isolani chief refused to rule out potentially bidding for the Yorkshire club, and the Italian press reported on Wednesday that a deal is close. Cellino, 57, was reported to have bid unsuccessfully for West Ham in 2010, and in 20 years at Cagliari has sacked 36 managers.

Owners sell stake in Leeds United

The Bahrain-based owner of Leeds United, GFH has agreed a partial sale of its stake in the club, the investment firm has said in a statement today. Gulf Finance House said the sale was agreed with British investors, but it did not identify them. GFH has not given details of the value of the stake or the size of the stake that has been sold. The firm bought Leeds in 2012.

Brian McDermott new Leeds United Manager

Brian McDermott is set to be named as the new manager of Leeds United. The 52-year-old has held advanced talks with the club's owners, GFH Capital, who want McDermott in place as soon as possible to guide the team away from relegation trouble in the Championship. Warnock left Elland Road 10 days ago following the home defeat to Derby County, while a run of four straight losses has seen Leeds slip to within five points of the bottom three with five games remaining. McDermott was sacked by Reading last month after four successive league defeats had left the club second from bottom in the Premier League. He guided Reading to the Championship title last season as the Berkshire club won 15 of their last 19 matches to reach the top flight for only the second time in their history. McDermott, named the Premier League manager of the month for January, was an early frontrunner for the vacancy at Elland Road and has said he is "very, very hungry" to get straight back into management.Neil Redfearn has been in temporary charge of Leeds since Warnock's departure, with McDermott expected to become the club's fifth permanent manager in just over five years.

Neil Warnock Quits LeedsUnited

Neil Warnock has vacated his position as Leeds manager after offering his resignation to the club's board. The 64-year-old said in the wake of United's 2-1 loss to Derby on Monday - a sixth game without a win - that he would not be in charge at Charlton on Saturday, and the club later confirmed his departure in a statement. Academy coach Neil Redfearn has been placed in charge while the club's owners, GFH Capital, search for a replacement. Monday's game was Warnock's 62nd in charge of Leeds and much of it was spent with the former QPR boss the subject of abusive chants from his own supporters. He signed an 18-month deal to replace Simon Grayson in February last year and openly said it would be his last job, with the sole aim being to get a record eighth promotion before retirement. That has not happened, though, and he leaves Elland Road with the team in 12th position. "We would like to thank Neil for his efforts during his time as our manager and share his disappointment that we could not achieve promotion this season," said chief executive Shaun Harvey. "We now need to look to the future and the search for his replacement is under way, for which there is no fixed timescale as securing the services of the right person is the primary objective, so as to give us the best chance of promotion next season. "We would also like to thank Mick Jones and Ronnie Jepson, who will leave the club with Neil, for all their hard work since coming to the club."

GFH sell 10% stake in Leeds United

Leeds United's owners, GFH Capital, have sold a 10 per cent stake in the club to Bahrain-based International Investment Bank. There has been uncertainty over GFH Capital's intentions for the club, with some suggestions that they were looking to sell up completely. However it appears GFH is recruiting "strategic investors" to strengthen the club's financial position, which it believes is necessary if Leeds are to regain their former status as a Premier League giant. IIB's chief executive, Aabed Al-Zeera, will join the Board of Leeds City Holdings Limited. David Haigh, deputy chief executive of GFH Capital, said: "The introduction of IIB is in keeping with what have always been GFH Capital's aims for the successful, sustainable and long term ownership of Leeds United FC. "We believe that a consortium of like-minded investors provides the best ownership model for a club which belongs among the elite of English football clubs and global sporting brands. "It is our aim to provide the finance and the stability to enable the club to complete that journey as soon as possible." GFH expects other investors to join, providing Leeds with "sound long-term finance", said the club. International Investment Bank B.S.C was launched as an Islamic Investment Bank in October 2003. On its website, IIB states the "core business activities of the Bank include investing on its own account and investment, underwriting and placement in real estate and private equity in conformity with Islamic Shari'ah". Al-Zeera said: "We are delighted to become investors in Leeds United and would like to thank GFH Capital for facilitating this for us." GFH Capital took control of the club from Ken Bates last December and claims to have already invested £10million in the Elland Road outfit, beyond the sum it took to acquire ordinary shares in the first place. Amongst the benefits of GFH's ownership, fans have already seen a reduction in match ticket prices, the introduction of half season tickets and a reduction cost of season tickets for 2013-14.

Leeds United set for another Takeover

Leeds’ owners GFH Capital are in talks to sell the club – just three months after taking over at Elland Road. The Bahrain-based group completed a protracted sale from former owner Ken Bates in late December for a “bargain” price. But they are now in negotiations to sell their stake in LUFC Holdings, the club’s parent company, for £7million more than they paid. “The group has an active plan to sell its stake in LUFC Holdings,” said Gulf Finance House in their financial statements for last year, released in February. “Subsequent to the year end, [GFH] has commenced negotiations relating to the sale of its stake in LUFC Holdings.” The news brings more instability to the club, whose Championship play-off hopes are hanging by a thread. They currently sit seven points adrift with eight games to play, while manager Neil Warnock has indicated he will leave in the summer if the club are not promoted.

Leeds 2-1 Middlesbrough

In-form striker Luciano Becchio continued his impressive goal scoring record against Middlesbrough to help Leeds kick off their new era with a 2-1 win. The day after GFH Capital confirmed their 100% buyout of the Whites, Becchio scored either side of the break to cancel out Lucas Jutkiewicz's opener and earn his side a fifth win in six npower Championship games. The 28-year-old took his tally for the season to 17 in the process - just three short of his best-ever return for the club - and improved his record against Boro to five in four games. The former Barcelona B man still has 18 months to run on his contract at Elland Road but it is likely that manager Neil Warnock will be knocking on the door of his new bosses soon to try and arrange an extension as he looks to kickstart a promotion push in the new year. In this form that looks likely for Leeds, although they still have a number of teams above them, including a Boro side who saw Scott McDonald and Jutkiewicz pass up glorious chances before the latter broke the deadlock after half an hour. El-Hadji Diouf's lay-off was missed by all of his team-mates and allowed the visitors to pick up the ball, with Jutkiewicz racing through on Paddy Kenny's goal and drilling in a low strike which the keeper did well to save with his feet. Leeds were slow to the rebound, however, and Jutkiewicz picked it up and beat Kenny at his near post via a deflection off Alan Tate. Leeds responded well to the goal and would have been level had Jerome Thomas squared to Diouf and not shot across goal, but the equaliser did come on the stroke of half-time, with Becchio half-volleying in via the angle of post and bar after Jonathan Woodgate failed to clean up Byram's cross. Jutkiewicz was twice foiled by Kenny after half-time and he was forced to rue those misses with 17 minutes left. After Becchio's header from a Diouf cross was tipped over by Steele, he rose the highest from the resulting corner to beat the goalkeeper with another nod of his head, this one taking a deflection off former United defender Woodgate.

GFH Capital Complete Leeds United Takeover

The private equity arm of Middle Eastern investment bank Gulf Finance House has signed a deal to buy Leeds United. GFH Capital said it had financially supported the club since entering an exclusivity period and planned to inject more funds for working capital and to help manager Neil Warnock strengthen the team. Lifelong Leeds fan and GFH deputy CEO David Haigh, pictured, will join the club’s board immediately, while colleagues Hisham Alrayes and Salem Patel will take further seats in December. Although financial terms were not disclosed, previous reports have suggested the deal could be worth about £50m. Leeds United’s current chairman Ken Bates will continue in the role until the end of the season before a GFH Capital-chosen Chairman takes over, with Bates moving to club president. Haigh said, “After a long process of negotiations, spanning Leeds, London, Monaco, Dubai and Bahrain, it gives us great pride today to have completed the deal for Leeds United. “A brief but important transitional period now begins in terms of the changeover of ownership. “We have today injected further funds into the club and now we look to the future and start the exciting journey to take Leeds United FC back into a prime position in English football once again. “From a Leeds family myself and a supporter of The Whites since childhood, I know that football is at the very heart of the people of Leeds and the wider community.” Bates said: “I can confirm we have now completed all the negotiations with GFH Capital. “We have completed the first part of the purchase and they will be taking over 100 per cent of the club. “Meanwhile, there is a transitional period while they get to know more about the club. “I will continue as chairman until the end of the season when I will take over as president and I look forward to sitting back and taking more time off. “Neil Warnock will continue as manager with more support than the present owners have been able to give and we look forward to a smooth transition. “One thing I can say that has benefited from the negotiations is that this six-month courtship has given GFH Capital the opportunity to see the strengths and weaknesses and what needs to be supported. “You can look forward to a smoother transition than we’ve seen at a lot of clubs.”

Leeds United takeover moves closer

The proposed takeover of Leeds United has moved a step closer after the group looking to buy the Whites confirmed they have signed a deal to arrange the purchase of the club. A statement from Dubai-based finance group GFH Capital Ltd said they have "signed an exclusive agreement to lead and arrange the acquisition of Leeds City Holdings, the parent company of LUFC. "Due to a confidentiality provision, no further details can be given about the details of the transcation." The club has yet to make any comment on any takeover deal. Members of senior management at GFH Capital Ltd sat with Leeds chairman Ken Bates in the directors' box for the Whites' 2-1 win over Nottingham Forest on Saturday. Among their number were David Haigh, deputy chief executive of GFH Capital Limited, and Salem Patel, a board member at the private equity company. Both previously attended Elland Road for United's victory over Wolves on the first day of the season.  Leeds have been identified by the group as an attractive investment due to the absence of any debt and the club's large fanbase. The Gulf Daily News quoted a Bahraini source close to the takeover as saying: "This deal is a great one. It is a great investment as this is one of the six most popular teams in the country. "As it is now, the football club has no debt. The only thing that they owe is for a lease, but that is not a big deal. "Last year I believe that the club made £4 million to £5m and as a brand name they are almost at the same level as Premier League teams. "If they do get into the Premier League, it will make the investment that much better." Any takeover of Leeds would end Bates' seven-year reign which has been dogged by supporter unrest. Protests have regularly been staged against the former Chelsea owner for a perceived lack of investment.

Ken Bates Confirms Leeds United takeover is ongoing

According to Leeds United Chairman Ken Bates the much vaunted takeover of the club is still ongoing and progressing slowly.Bates this evening said: "Despite the confidentiality agreement, stories keep appearing with varying degrees of accuracy as evidenced by the statements put out by LUST (Leeds United Supporters Trust)."That included a TV interview that said a deal was 'imminent'. It wasn't then and is progressing slowly now. In football everybody expects everything now - but the real world is different."Writing in the club programme ahead of tonight's clash with Hull, Bates added: "The current situation is that as I write, the appropriate documents have not been finalised between the lawyers." GFH Capital, who are working on the deal on behalf of a Middle Eastern consortium, have sent representatives to one of United's games this season but have not made any comment on the nature of the talks.