Thai PM says £60m Liverpool deal 'is concluded in principle'

Without even a whisper from the office of Liverpool's chief executive, Rick Parry, yesterday, the Thai prime minster, Thaksin Shinawatra, trumpeted the news that the Premiership club had verbally accepted a £60m offer by the Thai government and a group of investors for a 30 per cent stake in one of Britain's most venerable football teams.

Without even a whisper from the office of Liverpool's chief executive, Rick Parry, yesterday, the Thai prime minster, Thaksin Shinawatra, trumpeted the news that the Premiership club had verbally accepted a £60m offer by the Thai government and a group of investors for a 30 per cent stake in one of Britain's most venerable football teams.

"By the end of June, part of Liverpool will be owned by Thais," said Thaksin, who expects to sign a non-binding agreement with the club this week. However, any deal could be jeopardised by Gérard Houllier's position at the club which was thrown into doubt last night after a meeting between the manager, the chairman, David Moores, and Parry, broke up with Houllier's future still unclear.

Thaksin's spokesman, Jakrapob Penkair, said three other English clubs, presumably unfazed by the prospect of so-called Thai "blood money" trickling into their coffers, have come knocking should the Anfield deal fail to go through at the 11th hour. "They approached us," Jakrapob said. "Liverpool know that. We are just talking out the fine print, such as the number of board members we can have."

Pongsak Raktapongpaisal, the Thai deputy commerce minister who helped work out the deal with Liverpool, and Santiparb Tejavanija, who heads the Sports Authority of Thailand, will arrive in England today for further talks. There was no comment from Liverpool but Thaksin said: "In principle, the deal is concluded." His cabinet approved a new scheme to issue a special one-off sports lottery and sell shares in a new holding company for the bid, which will be 51 per cent-owned by the state-run Sports Authority of Thailand.

So what is in it for the sports-obsessed Thailand? Pride of ownership, mostly. The rights to sell merchandise with the Liverpool logo throughout Asia has huge earning potential. And world-class Thai footballers could emerge if Liverpool coaches staff an academy for young players which will be founded in Chiang Mai, the prime minister's hometown.

But political opponents charge that the thin-skinned prime minister feels under attack while his government faces scrutiny for corruption and human rights abuse. He needs a popularity boost before next January's elections. Football, which is the focus for illegal gambling, grabs global headlines.

Many Thais deplore Thaksin's decision to back the British and American governments by sending troops to Iraq while Muslim unrest in his own country festers. Activists still demand that the deaths of some 2,500 drug dealers during last year's "War on Drugs" be investigated. Senator Kraisak Choonhavan, an outspoken independent legislator, was baffled by the hoopla. "Both sides are buffoons, the Liverpudlians and the Thai prime minister," he said. "He tends to do things on the spur of the moment. Liverpool don't know what they're getting into. Organisations in Thailand are not legally able to do such a transaction. The Thai Sports Authority has no brief to purchase teams around the world. It is very premature.

"We cannot know exactly who would be the buyer. If it were the prime minister's own money, the Thai people could not care less," he added.

Deep pockets to pay for players and a new stadium could bring Liverpool up to the level of Chelsea and Arsenal. Thailand plans to sell up to £140m in lottery tickets to raise money for the Liverpool stake, along with shares in a holding company, according to Somchainuk Engtrakul, of the Finance Ministry.

Half of the money raised in the lottery would finance the deal, with the rest going to big jackpots and sports development within Thailand, Santiparb said. He added that the government plans to sell 10 million tickets at 1,000 baht (£14) each. Losing tickets will be converted into shares in the holding company that owns the Liverpool stake.