Italian Cellino completes takeover of loss-making Leeds United

New Leeds United owner Massimo Cellino.

Italian Massimo Cellino has bought control of second tier English club Leeds United after overturning a ban that had threatened the deal.

Leeds made a loss of £9.5 million in the 2012-13 season, figures released yesterday showed, underlining the task facing the new owner, who is the president of Italian Serie A club Cagliari.

Cellino’s ESL company has taken a 75 per cent stake in Leeds and he will become a club director, his British lawyers Mishcon de Reya confirmed.

Dubai-based GFH Capital, who bought Leeds in December 2012, will retain a 25 per cent interest in the club.

Financial details have not been disclosed but Cellino is reported to have paid around £25 million for the stake.

Leeds won the English title in 1992 but have struggled since their relegation from the Premier League a decade ago. Fans had been hoping for a revival under GFH but that ownership proved short-lived and the team has suffered from the uncertainty surrounding the Cellino deal in recent weeks.

The Football League board initially blocked the takeover after an Italian court found Cellino guilty of failing to pay duty on the import of a yacht and fined him €600,000 ($825,500).

The ban was overturned last week by a senior lawyer who heard Cellino’s appeal.

Since Bahrain-based investment bank GFH Capital bought Leeds from Ken Bates in December 2012, the club has made considerable losses.

Attendances have fallen by nearly eight per cent, gate receipts are down £2m and turnover has fallen from £31.8m to £28.5m.

The club’s accounts for the previous financial year showed a profit of £317,000 with an operating loss of £3.3m. The latest accounts show an operating loss of £11.6m, softened by incoming transfer fees of £2 million.