Arsenal at war as ex-chief Dein set to launch takeover bid

Dein has sold his 14.58 per cent stake in Arsenal for £75million to a foreign business partnership that includes one of Russia's richest men.

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Red & White army: Dein is plotting a swift return to the boardroom

But he will become chairman of the holding company looking after that investment.

This gives Dein the perfect vehicle and huge resources to increase the holding and eventually return in triumph to the boardroom of a club he has supported since he was six years old.

He is sure to face fierce resistance from his enemies within, first among them chief executive Keith Edelman, who stressed last night that Arsenal do not need any new investment and are in an "incredibly good position financially".

Dein's shares have been bought by Uzbeki billionaire Alisher Usmanov, who has made a fortune from mining interests as well as media and telecom holdings.

He is also a genuine Arsenal fan with a box at the Emirates. His equal partner in the Dein deal is Farhad Moshiri, an Iranian-born UK citizen who is a longtime business associate of Usmanov and a London-based fund manager.

The holding company, Red & White, say they have no current ambition to mount a takeover bid but there is no doubt that is the eventual aim and the process of buying up any available Arsenal shares will start immediately.

The Arsenal Supporters Trust, who speak for the small share holders who between them hold around 12 per cent of the stock, were present at Dein's press conference.

It is among these supporters that the Dein team can find sellers. Dein has had various offers, including an attractive approach from Barcelona, to get back into the game since leaving Arsenal in acrimonious circumstances.

But he had no intention of doing so anywhere other than Arsenal. He said: "Today's announcement by Red & White Holdings marks a significant step towards realising the vision I share with thousands of fans at home and abroad of making Arsenal the world's No 1 football club.

"I have not lost my passion for the club — indeed it is greater than ever. There is only one club for David Dein and that is Arsenal.

"But without new investors I fear very soon Arsenal might not to be able to compete successfully at the very top level, despite the fantastic work of Arsene Wenger.

"I believe our professional partnership over many years was highly successful and beneficial for the club. I hope it can be resumed. I want Arsene to continue as manager and indeed I have encouraged him to sign a new contract."

Ironically, Wenger has been very sceptical of foreign investment at Arsenal, saying on more than one occasion that he favoured British owners for the club.

But Dein, who has kept Wenger informed of developments, believes that without the financial firepower provided by his billionaire friends from overseas, who approached him via a football middleman to buy his shares, Arsenal have no chance of staying within the Premiership elite.

It was this conviction that led Dein to encourage American sports mogul Stan Kroenke to take a 12.19per cent stake in Arsenal earlier this year.

And it was believed to be Dein's involvement in Kroenke buying the Granada shareholding without the board's full knowledge that led to his shock departure last April.

Dein's Red & White powerbase has been set up separately from any longterm alliance with the American, who has recently been courted by the Arsenal board and who know how pivotal the American's shareholding has become.

But Kroenke is far more likely to team up with Dein than the current board of directors,whose chairman Peter Hill-Wood is on record as saying in relation to Kroenke buying shares — "We don't need that sort at this club."

Edelman, speaking from yesterday's Champions League draw in Monaco, said: "We are very strong and you will see that at the end of September when we produce our results.

"We recognise that David has sold his shares but we don't believe it changes anything in terms of Arsenal Football Club.

"The shareholders have no intention of selling their shares. We will have to wait and see whether Red & White ask for a meeting and see what our position is at that juncture."

Red & White intend to approach the board in the near future to "discuss its ideas, to understand the future direction of Arsenal and to explore areas of potential co-operation".

Dein added: "I believe that the Board should welcome non-British involvement in the club, given the wealth of nationalities responsible for Arsenal's success on the pitch."

WHO OWNS ARSENAL?

DANNY FISZMAN ..............................24.1% NINA BRACEWELL-SMITH........................15.8 RED AND WHITE...............................14.6 STAN KROENKE ...............................12.19 RICHARD CARR.................................4.0 OTHERS .....................................29.29