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The Takeover Thread - Duchatelet Finally Sells (Jan 2020)
Comments
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Uboat said:
That's not him though, is it?TheAddicks4Ever said:Tahnoon On Tour
Looks like the new board are having a great time down at the Valley - let’s hope they get the deal ratified soon and we can all wave goodbye to the 🐀
#UpTheAddicks
100% not him.0 -
Pretty sure Roman Abramovich did this with Chelsea about 10 years ago, details on the link below
https://www.theguardian.com/football/2009/dec/30/roman-abramovich-chelsea-debts-accounts
In short what it meant was the debt sitting on the books was cleared and funds were given to Ancelotti to spend.
No idea if it means Bowyer will be given funds to spend but my best hunch is as others have said that RD's debt will be converted into shares which will then be bought by the new owners meaning the club will be debt free once the takeover goes through.
Just my hunch, more than happy if someone is able to correct me on this.
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We just piss behind the pigeon loft and have number 2s in the whippet's kennel.ricky_otto said:
one question - do you have an outside toilet?Cafc43v3r said:
I'll try, using a house as an examplei_b_b_o_r_g said:Can anyone please explain -
- How shared are made and how they generate instant cash?
- Are they literally introduced to the stock market and bought up straight away?
- How clubs / companies (Man U) can be "refloated" on the markets time and again?
I'm sure it ain't just me on here who don't understand all this
You buy a house for £100,000 (I live in Bradford so it is realistic).
You put in £40k and get a mortgage for £60k. If you think of that as a 100 shares in "the house" you own 40, the bank own 60. Every year you buy 2 shares back off the bank. So after 10 years you own 60 and the bank own 40.
If you sell the house for 120k (a take over) the new owner buys all the shares, both yours and the banks. They may do so as an individual or as a consortium (a bank normally being the money man).
Fowever if you sell some of your shares to a 3rd party you "trouser the cash" but own less of the house.
Every time a house is mortgaged it's a bit like a share issue, and you slowly buy back the shares. Once you own enough of the shares you can remortgage, or issue more shares.6 -
Very much depends on the valie attributed to the shares not the price. These were issued at par (i.e. £1 each) and if converting debt will have reduced the debt by the £21m involved. The purchasers may pay £1.5 per share and RD would write of another £12m of debt but that would be insane because of stamp duty payable. on the purchase price of the shares. However, ESI may well buy Baton rather than CAFC Limited and the structure of the deal would be different. However if it is a reduction in debt then it would allow LB to buy players (presumably the moment the deal went through - unless RD is feeling generous)MartinCAFC said:Pretty sure Roman Abramovich did this with Chelsea about 10 years ago, details on the link below
https://www.theguardian.com/football/2009/dec/30/roman-abramovich-chelsea-debts-accounts
In short what it meant was the debt sitting on the books was cleared and funds were given to Ancelotti to spend.
No idea if it means Bowyer will be given funds to spend but my best hunch is as others have said that RD's debt will be converted into shares which will then be bought by the new owners meaning the club will be debt free once the takeover goes through.
Just my hunch, more than happy if someone is able to correct me on this.0 -
I’m pretty sure FPP won’t allow that. You can write of the debt, but it is disallowed from the FPP calculation. Similarly converting debt to shares has no impact on your FPP calculation. If it’s a cash injection, it only makes sense (to me) if the takeover is complete.1
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It should make a difference since it is equity not debt which is part of the aim of the financial fair play rules i.e the money is not easy for the person investing in shares to reclaim (usually only on a solvent liquidation or the club having enough distributable cash to buy the shares back). Debt gets repaid on terms and ranks ahead of equity. conversion of debt to equity is effectively a cash injectionSomervilleAddick said:I’m pretty sure FPP won’t allow that. You can write of the debt, but it is disallowed from the FPP calculation. Similarly converting debt to shares has no impact on your FPP calculation. If it’s a cash injection, it only makes sense (to me) if the takeover is complete.2 -
But it is allowed under league 1 rules which may stilll be in play in this financial year.SomervilleAddick said:I’m pretty sure FPP won’t allow that. You can write of the debt, but it is disallowed from the FPP calculation. Similarly converting debt to shares has no impact on your FPP calculation. If it’s a cash injection, it only makes sense (to me) if the takeover is complete.
Another alternative view is that this 21 mill is the difference between the debt owed to Staprix and the purchase price, thereby balancing Staprix books on completion?0 -
Because some people may not be aware?Airman Brown said:
Murray doesn’t hold any shares and hasn’t since 2014. Not sure why this keeps coming back?Addickted said:£21,494,704 works out at almost exactly 25m Euros. A nice round sum for a European businessman.
So have Murray's 5m 50p shares have now doubled in value?0 -
YOU CAN COUNT?Cafc43v3r said:
We just piss behind the pigeon loft and have number 2s in the whippet's kennel.ricky_otto said:
one question - do you have an outside toilet?Cafc43v3r said:
I'll try, using a house as an examplei_b_b_o_r_g said:Can anyone please explain -
- How shared are made and how they generate instant cash?
- Are they literally introduced to the stock market and bought up straight away?
- How clubs / companies (Man U) can be "refloated" on the markets time and again?
I'm sure it ain't just me on here who don't understand all this
You buy a house for £100,000 (I live in Bradford so it is realistic).
You put in £40k and get a mortgage for £60k. If you think of that as a 100 shares in "the house" you own 40, the bank own 60. Every year you buy 2 shares back off the bank. So after 10 years you own 60 and the bank own 40.
If you sell the house for 120k (a take over) the new owner buys all the shares, both yours and the banks. They may do so as an individual or as a consortium (a bank normally being the money man).
Fowever if you sell some of your shares to a 3rd party you "trouser the cash" but own less of the house.
Every time a house is mortgaged it's a bit like a share issue, and you slowly buy back the shares. Once you own enough of the shares you can remortgage, or issue more shares.0 -
Sponsored links:
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AddickUpNorth said:Non-plussed by all this financial jargon. I just want to know one thing - are we going to be in a position to spunk oodles of cashola in January or will we still be bin dipping round the back of Poundland?
LT: “How much!?”0 -
@ricky_otto has front with living in Dagenham.Cafc43v3r said:
We just piss behind the pigeon loft and have number 2s in the whippet's kennel.ricky_otto said:
one question - do you have an outside toilet?Cafc43v3r said:
I'll try, using a house as an examplei_b_b_o_r_g said:Can anyone please explain -
- How shared are made and how they generate instant cash?
- Are they literally introduced to the stock market and bought up straight away?
- How clubs / companies (Man U) can be "refloated" on the markets time and again?
I'm sure it ain't just me on here who don't understand all this
You buy a house for £100,000 (I live in Bradford so it is realistic).
You put in £40k and get a mortgage for £60k. If you think of that as a 100 shares in "the house" you own 40, the bank own 60. Every year you buy 2 shares back off the bank. So after 10 years you own 60 and the bank own 40.
If you sell the house for 120k (a take over) the new owner buys all the shares, both yours and the banks. They may do so as an individual or as a consortium (a bank normally being the money man).
Fowever if you sell some of your shares to a 3rd party you "trouser the cash" but own less of the house.
Every time a house is mortgaged it's a bit like a share issue, and you slowly buy back the shares. Once you own enough of the shares you can remortgage, or issue more shares.3 -
Bangs head repeatedly on desk??????Scratchingvalleycat said:
Very much depends on the valie attributed to the shares not the price. These were issued at par (i.e. £1 each) and if converting debt will have reduced the debt by the £21m involved. The purchasers may pay £1.5 per share and RD would write of another £12m of debt but that would be insane because of stamp duty payable. on the purchase price of the shares. However, ESI may well buy Baton rather than CAFC Limited and the structure of the deal would be different. However if it is a reduction in debt then it would allow LB to buy players (presumably the moment the deal went through - unless RD is feeling generous)MartinCAFC said:Pretty sure Roman Abramovich did this with Chelsea about 10 years ago, details on the link below
https://www.theguardian.com/football/2009/dec/30/roman-abramovich-chelsea-debts-accounts
In short what it meant was the debt sitting on the books was cleared and funds were given to Ancelotti to spend.
No idea if it means Bowyer will be given funds to spend but my best hunch is as others have said that RD's debt will be converted into shares which will then be bought by the new owners meaning the club will be debt free once the takeover goes through.
Just my hunch, more than happy if someone is able to correct me on this.3 -
I’d give my left testicle for a Richard like thatDOUCHER said:an OAFDUMP is delivered like all good dumps - solid, no mess or doubt and once its landed, minimal paperwork8 -
It’s taken that long bows has gone to wetspam now curbs in 14-10
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Don't be silly. It'll be Poch or somebody on huge wonga. Your wonga.nth_london_addick said:It’s taken that long bows has gone to wetspam now curbs in 14-11 -
If Poch goes there I'll go and buy a hat, then eat it. Moyes is nailed onPragueAddick said:
Don't be silly. It'll be Poch or somebody on huge wonga. Your wonga.nth_london_addick said:It’s taken that long bows has gone to wetspam now curbs in 14-10 -
Conversion of debt will have no effect on the budget except that any interest we were charged per season now becomes available to spend. Even though I believe RD just added the interest to the debt tally, the interest is an "expense" in FFP calculations as a "relevant cost" each season for the FFP calculation. If he charged 3% then it might add at least a million per year or more because our debt in total was over £60M? But if he was not charging interest, then it will have no effect on FFP limits at all.
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EFI will likely buy Staprix or iffy Baton 2010. Latest moves tells me something is imminent, but not driven by buyers.0
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MFI are likely gonna buy Screwfix?harveys_gardener said:EFI will likely buy Staprix or iffy Baton 2010. Latest moves tells me something is imminent, but not driven by buyers.11 -
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Sounds like a fix upi_b_b_o_r_g said:
MFI are likely gonna buy Screwfix?harveys_gardener said:EFI will likely buy Staprix or iffy Baton 2010. Latest moves tells me something is imminent, but not driven by buyers.1 -
He's into his fishing, might offer to be his personal gillie down the Thames -
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‘The best time for fishing’
ITS NOT HAPPENING!!4 -
Reckon it's code mate. Rearrange the letters and you get -iamdan said:‘The best time for fishing’
ITS NOT HAPPENING!!
"HIS TIMES BE FORTNIGHT, EF(L)"
He obviously couldn't fit the "L" in8 -
FFS what is happening at the EFL? This has dragged on ages0
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He’s practically begging us to come up with fish puns.i_b_b_o_r_g said:He's into his fishing, might offer to be his personal gillie down the Thames -13 -
Yeah, he's basking for itMacronate said:
He’s practically begging us to come up with fish puns.i_b_b_o_r_g said:He's into his fishing, might offer to be his personal gillie down the Thames -9 -
He's just trying to crab all the attention.5
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He's certainly reeled us all in.4
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As he looks at his bird shaped fishing float I can hear him singing ‘When the red red robin comes bob bob bobbin’ along......’2
This discussion has been closed.
