Sports Resources sells football agent

Sports Resource Group the sports marketing group run by the former Leeds United boss Chris Akers, yesterday sold its football player-agent business to management, leaving it with a £1.6m write-off.

Peter Harrison, Bruce Halliday and Jim Pearson – all former footballers – have bought out International Soccer Management from SRG in a deal worth up to £460,000. It has had up to 26 players on its books, including Chelsea's striker Eidur Gudjohnsen, Celtic's Bobby Petta and Hayden Foxe of Portsmouth.

But SRG, which also acts for golf and cricket stars such as Lee Westwood and Marcus Trescothick, yesterday said the football transfer market had dramatically reduced in activity and in value during 2002. Football clubs have been struggling to manage their finances, particularly after the collapse of ITV Digital.

The board does not believe this situation will improve and said consolidation in the market had plagued the football business's success. It made a pre-tax loss of £116,000 in the six months to the end of June last year.

The management of International Soccer will waiver the right to 3.2 million SRG shares, promised when the business was acquired in September 2000, which were yesterday worth £242,772. It will also repay an existing loan to SRG of £215,398 by the end of 2004.

SRG also operates in television rights distribution and events management. SRG shares closed yesterday at a record low of 7.5p. Further asset sales are expected.