Saints to slash player salary budget if no new investment is found (From Daily Echo)

Saints to slash player salary budget if no new investment is found

6:19am Thursday 25th October 2007 in

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SAINTS could be forced to slash their player wage budget in half in January if new investment is not found for the club, the Daily Echo can reveal.

Despite selling almost £20m worth of players since May, the bid for the Premiership is still generating losses of £1m a month.

The club is set to hit the financial buffers in April if no new money is found.

To fend off the threat of administration, club bosses face having to sell star assets such as England Under 21 player Andrew Surman and dismantle its costly Premiership infrastructure just to stay afloat.

The nightmare scenario would torpedo the club's bid for promotion back to the riches of the Premiership at the most pivotal stage of the season.

Saints' dire financial straits are the impetus behind bosses' moves to sell control of the club to an investment company who have promised to invest £10m in the team if it can secure a 55 per cent stake in the club.

As revealed in yesterday's Echo, the investment consortium is London based hedge fund Sisu Capital, which is understood to be offering shareholders 40p a share, well below the recent market value.

Sisu are the only remaining potential investor with an interest in Saints.

Full story: see today's Daily Echo.