Liverpool the next Man City? Liverpool owners to make £500 MILLION investment

Liverpool owners Fenway Sports Group (FSG) are set to follow Manchester City's lead with a new £540m investment into the club. FSG have approved an investment from RedBird Capital Partners and have announced LeBron James as a new partner of the club. The NBA star has held shares in Liverpool since 2011 and has used his global reach to promote the Reds in USA.

FSG investment: Liverpool owners approve investment from RedBird Capital Partners

The Boston Globe, a newspaper owned by FSG co-founder John W Henry, announced RedBird Capital Partners' £540m investment into the club which will see NBA star LeBron James become a part-owner. James held a two per cent stake in the club which was said to be worth £4.7m 10 years ago, and as per KPMG it is now worth over £37m. As a result of this private investment deal, Liverpool owners FSG are hoping to emulate Manchester City and the Red Bull clubs.

LeBron James FSG relationship

LeBron James is not only a big fan for Liverpool but has also been instrumental in the club's success. James was a significant factor in Nike winning the battle to sponsor Liverpool last year. Considering the popularity of James, Liverpool can expect to sign several other deals with James now as a partner. As a result of this investment, Liverpool can bolster their squad and can fight Manchester City once again for the Premier League title next season.

FSG investment: Liverpool owners hoping to emulate Manchester City and Red Bull Group

The Boston Globe has also reported that Liverpool owners FSG are hoping to diversify their portfolio by including NFL and NBA franchises, another European soccer club, NHL, MLS, among other teams. Such an approach is similar to City Football Group who own Manchester City. City Football Group highlighted their ambition to own at least one football club in each continent and now own eight with an approximate valuation of $4.8billion. City Football Group owns clubs in UK, US, Australia, Spain, Japan, Uruguay and most recently China and India.

Meanwhile, The Red Bull Group also have a similar portfolio. The Red Bull Group owns RB Leipzig, Red Bull Salzburg as well as football clubs in Brazil, Ghana and US. The group has also diversified its portfolio in other sports as it owns two Formula 1 teams, an ice hockey team and esport teams. Although Liverpool may take a while to emulate the success of City Football Group and Red Bull Group, this investment is a start.