Leeds United’s future has been secured after a locally-based consortium completed a £30m takeover of the club on Friday.
The terms of the agreement with the company’s major creditors will see Leeds Utd plc and a holding company placed into administration prior to being wound up. The move will allow the assets and reduced debts to be taken over by the new Leeds Utd AFC organisation.
In effect financial adminstrators have been appointed to two companies, but not the football club itself.
The consortium is led by Leeds businessman Gerald Krasner, and includes former Elland Road favourite Peter Lorimer.
Leeds have accumulated built up debts of more than £80 m and made a financial loss of almost £50m in the year to June 2003. To compound matters at the club, Leedas are currently bottom of the Premier League with just 22 points from 28 matches.