Chelsea may well have won the heart of Moises Caicedo but it seems that they are far from winning the bidding war with Liverpool for his services, leaving them in a very tricky financial position.
Football finance reporter Mo Chatra took to social media to report: ‘any punishment relating to losses relative to the PSR Calculation in excess of £105m would be implemented THIS season’.
This came off the back of a long update on the London club’s financial standings, in which it was reported that: ‘they are many £10s of millions short of break even under PL P&S in 23/24 even if they managed to just about comply in 22/23 (which I’m skeptical about too)’.
It all boils down to the understanding that Todd Boehly can only spend a maximum of £105 million in this window and after reportedly pulling out of a move for Tyler Adams and agreeing a move for Romeo Lavia – it seems there are still irons in other fires for alternative signings this summer.
Therefore, the idea that the Londoners can afford the Ecuadorian that has caused so many headlines on top of other possible deals – is surely impossible.
That is of course unless the eccentric American owner is ready and willing to accept a points deduction in order to beat Jurgen Klopp to the signature of the 21-year-old.
In truth, it seems everyone is confused at the current standing but the longer that the Reds leave their offer on the table – the more embarrassing it will get for Mauricio Pochettino’s side as they seemingly can’t afford to match us.
If the Seagulls don’t want any of the players that are being offered to try and sweeten the deal then it all comes down to Chelsea taking a points deduction or walking away from signing a record-breaking midfielder.
Both options have obvious consequences and for now, we must play the waiting game.
Following on from great analysis by @slbsn of CFC's finances and how it all relates to the PL's Profitability & Sustainability Rules (PSR), any punishment relating to losses relative to the PSR Calculation in excess of £105m would be implemented THIS season. https://t.co/fboBCU5A3M
— Mo Chatra (@MoChatra) August 12, 2023
Liverpool CEO leading Moises Caicedo negotiations – not Jorg Schmadtke
The Moises Caicedo saga has been a rollercoaster so far and it is Liverpool CEO Billy Hogan that is leading the negotiations for the Reds, instead of the club’s new sporting director.
It has been a wild 48 hours where Liverpool, Chelsea and the hunt for Caicedo is concerned, and conflicting reports have given fans whiplash as they hang on for every update.
This Is Anfield understands that Liverpool remain in the hunt for Caicedo, despite Chelsea’s ongoing attempts to trump the Reds’ £111 million British record fee.
Chelsea are expected to test Brighton with another bid but so far Liverpool are the only club to reach an agreement with the south coast club.
And it has been Liverpool CEO Billy Hogan who has worked “quietly behind the scenes” to strike the deal with Brighton, as per BBC Sport.
With a deal of this size and magnitude, it is not a complete surprise to see Hogan front and centre instead of Jorg Schmadtke – in the past, FSG president Mike Gordon has signed off on deals such as these.
But it is a curious situation with Schmadtke, who stepped into the role after Julian Ward’s exit at season’s end.
Schmadtke joined the club at the end of May and explained his position as one that helps present Jurgen Klopp with all the information he needs to make his decisions.
He will have, no doubt, been involved in the discussions for Liverpool’s swift and sizeable move for Caicedo, but it is Hogan that has been leading the negotiations.
What Liverpool’s business looks like beyond Caicedo, whether it is formalised or not remains to be seen, but one would expect Schmadtke is doing his own behind-the-scenes work in the interim.
The German revealed in July that he signed a one-year contract with an option to break at the end of August after all parties assess the success of his three-month spell.
“If someone isn’t sure, then we shake hands and I might get a ticket if I want to stop by,” Schmadtke told Sky Germany.
So far this summer, Schmadtke has triggered the release clause of Dominik Szoboszlai, the groundwork for Alexis Mac Allister was done at the time of his arrival, and he has been ever-present during Liverpool’s pre-season preparations.
From an outsider’s perspective, you feel there is more work to be done to extend the relationship beyond the summer, but Klopp will have a big say in its overall success.
For now, we wait and see where Hogan’s pursuit of Caicedo leaves us once the dust has settled – hopefully, it is with the Ecuadorian in the red of Liverpool.