Is there a template for this
I used the one I used for Blackstone's.
Dear Sirs,
It has come to our attention that Tom Hicks is attempting to refinance his loans relating to his ill-conceived lbo purchase of Liverpool Football Club with backing from your institution and to buy out his partner, George Gillett, in the process.
As a concerned supporter of LFC, I would like to detail to you why, in my opinion, loaning to Hicks would be disadvantageous to your institution.
You are no doubt aware that Hicks Sports Group defaulted on a $525m loan last year and the details of the lenders’ outrage at his subsequent manoeuvres concerning land around the Texas Rangers’ stadium. If not, we would be happy to provide you with the details.
Hicks subsequently gave interviews making clear that the default was ‘strategic’ and painting himself as a successful businessman in other fields.
Hicks cannot have it both ways. Either he is a successful businessman – in which case he thinks nothing of reneging on financial agreements if they prove onerous to him – or he did not have the money to repay the loan. In neither case can he be considered a good risk for repayment of a large loan.
No doubt, Hicks has portrayed LFC as a successful vehicle with a growing commercial profile and the ability to repay high interest payments in his approach to you. You should be aware that LFC is in decline, thanks to Hicks’s tenure, and has dropped out of the lucrative Champions League. Its inability to support the interest on the current loans is one factor draining the on-pitch success that ensures off-pitch profit. On Thursday, its ground was 20,000 short of capacity as fans stayed away. It is said that Hicks is seeking to mortgage the loan against the ground and players: if so, you should also be aware that the ground is worth little, being in an extremely depressed area of Liverpool, and the players have made publicly clear their opposition to Hicks’ continuation as owner so that it is likely the best will leave (their ability to pick their own destinations means there can be no guarantee of their achieving their highest worth) should he stay.
It is said that Hicks believes the supporters will accept him as a sole owner. If he has indeed been so deluded as to have informed you of this, I now seek to correct the impression. Hicks and his son are held in contempt by millions of Liverpool supporters worldwide. We are increasingly mobilised and drastic measures, including boycotts, are now being discussed. We are not prepared to see the club we love bled to death.
Oh, and personally, I wouldn’t lend Hicks a fiver.