Ownership developments

[I should coco]

What about a guy that sells Season Tickets in May, and sells the Stars / Propects in July

I wonder how many times that one has been pulled ... by a certain guy

Yes, no other club in the history of football has ever sold season tickets, then sold a player.

The Glaziers bought Man U for fuck all. It was a leveraged buyout whereby the loan was repaid by future club profits. Doesn't seem to have done them any harm despite a few fans spitting their dummy out and facing the realities of forming another club.

A poor analogy. Manyoo at the time were highly profitable and a vast money making machine, especially off the pitch. The Glaziers took advantage of a weak share price and cheap borrowings. They knew the loans would be repaid from existing revenue streams, but hiked all the prices anyway to squeeze more money out of the fanbase.

We are loss making and have been for about 48 of the last 50 years. There is absolutely no certainty in buying SUFC and whatever people may think of the Prince, it is still a gamble. I'm sure the Prince will have some idea that £50m 'invested' in S6 has produced the square root of bugger all so far.

 

[Harrisblade]

wish the judge would buy us, he talks more sense than the other two.

The judge also says:

• "There is a power struggle at present in which each of the shareholders is seeking to gain some advantage, or create difficulties for and impose its will on the other, but I do not consider that either of them wishes to damage the interests of Blades and FC."
  
  

 

[snootyfenooty]

A poor analogy. Manyoo at the time were highly profitable and a vast money making machine, especially off the pitch. The Glaziers took advantage of a weak share price and cheap borrowings. They knew the loans would be repaid from existing revenue streams, but hiked all the prices anyway to squeeze more money out of the fanbase.

I was just replying to a post from Sheffielder when he asked if anyone else had ever taken control of a club in this manner, i.e. getting a club for next to nowt. Different to the one we're witnessing at the moment, yes, but in the context of the discussion it's a very good analogy.

 

[BladeFisher]

From that I assume that it's Blades Leisure owned by the Prince that is propping up the club and covering the losses?
"UTB had responded with a "manoeuvre" which would mean that "UTB was entitled to purchase all Sheffield's shares at a low price" I also assume the word "entitled" in that means that this was contractually agreed that this could take place?

So essentially McCabe is happy to leave and give up the club, but doesn't want the Prince to get it cheaply as previously had been agreed?

No Blades Leisure is jointly owned by a company owned by McCabe - Sheffield United Ltd and UTB LLC owned by the Prince. Blades Leisure also controls the football club.

 

[I should coco]

Different to the one we're witnessing at the moment, yes, but in the context of the discussion it's a very good analogy.

Different as in one is a multinational mega money making machine that has been immensely profitable for the last 30 years, while the other is a loss making lower league club. You completely missed my point that buying Manyoo was a racing certainty, but buying SUFC is still a gamble, whatever you end up paying.

A Rolls Royce Wraith and a Trabbant are both cars, but any comparison would be silly.

 

[snootyfenooty]

Different as in one is a multinational mega money making machine that has been immensely profitable for the last 30 years, while the other is a loss making lower league club.

A Rolls Royce Wraith and a Trabbant are both cars but any comparison would be silly.

If you take that argument to it's conclusion then McCabe should be selling his 50% of the club for £1 to get it off his hands, as he did before.

 

[Grappler]

So why doesn’t his Uncle buy KM’s share at the asking price and get on with buying the land? Obviously the Prince can’t afford to buy KM and build a new stadium. If his Uncle is a billionaire the money the Prince and KM are arguing about is chicken feed. Why wait another year? There doesn’t seem to be any sense or logic behind this.

I totally agree. But then there is no logic in football, and it doesn't seem to operate like any other business/industry. Maybe the Prince and his family love haggling, who knows.

To me, this is the weird part. it doesn't sound like SUFC are an expensive buy, for anyone wanting to buy a Championship football club with potential. Yet, we don't seem to have people willing to buy us, when other clubs do.

 

[Blade56]

Maybe the Prince and his family love haggling.

 

[snootyfenooty]

To me, this is the weird part. it doesn't sound like SUFC are an expensive buy, for anyone wanting to buy a Championship football club with potential. Yet, we don't seem to have people willing to buy us, when other clubs do.

I think the answer is glaringly obvious. For a club to be taken over by a rich foreigner, the club (which includes its fans) has to be receptive to this idea. As is evident from this thread, which is made up of a decent cross section of fans, the "bad guy" in this dispute has already been identified and it aint Kev. This club thrives on adversity and being the underdog and this is always the fall back position when we manage to fuck up. Then there's the prospect of success, or to be more precise, the price of success, which our fans would not be willing to stump up for. So Mr Foreign Billionnaire comes to town shopping for a football club and he visits here and Bournemouth. Then he does his market research. There's only one winner.

 

[Sean Thornton]

Having read the full court document, some things that should perhaps readjust our transfer expectations for this season:

• Wilder’s transfer budget, that he signed a new deal on the assumption of, was £2m to fund 5 players, with wages expected to increase by £4.9m. That should end any speculation that we’re looking for anything other than loan deals for the likes of Gallagher/Hogan
• McCabe was willing to provide cash via a loan, Abdullah via a gift. Neither would agree to the other method, and Abdullah in particular doesn’t view a cash injection as necessary now the Brooks cash is in.
• The Brooks deal, stated here, is £11.5m, split as usual into instalments, with £4m due this season (one of 3 instalments over the next 18 months)
• We’re due £600k this season in installments from previous sales
• The judge felt the need to emphasise to Abdullah that he’s wrong to characterise spending on new players as unnecessary!

HRH wanted to "gift" money to the club, not issue share capital?

 

[Grappler]

I think the answer is glaringly obvious. For a club to be taken over by a rich foreigner, the club (which includes its fans) has to be receptive to this idea. As is evident from this thread, which is made up of a decent cross section of fans, the "bad guy" in this dispute has already been identified and it aint Kev. This club thrives on adversity and being the underdog and this is always the fall back position when we manage to fuck up. Then there's the prospect of success, or to be more precise, the price of success, which our fans would not be willing to stump up for. So Mr Foreign Billionnaire comes to town shopping for a football club and he visits here and Bournemouth. Then he does his market research. There's only one winner.

I don't think anyone was upset when the Prince was first unveiled as co-owner?, it sounded like we finally had the "Money man" to compete with other clubs.

I am sure the deal was always that the Prince would buy out the McCabe family, lock, stock and barrel.

As to why none of McCabe's legal team had thought of the prospect of the Prince "gifting" shares to another company, I don't know. Perhaps they did, perhaps they brought it up and KM said "no, he would never do that, we are in this together", or something along those lines.

I also think that the rumour that KM may have another backer in the wings, already building a load of property in the area, was seen as a positive thing.

So I don't think that our fans are against foreign ownership, as such. I think it is more a case of our "dream team" all being life long Blades fans (KM, CW and Billy). You would think that none of the three of them would do anything to harm SUFC.

 

[sheffielder]

HRH wanted to "gift" money to the club, not issue share capital?

he wanted McCabe’s pants down and put a finger up his arse. It doesn’t look great for McCabe so why would be want to gift the money when he will lose so much?

 

[Sean Thornton]

I was just replying to a post from Sheffielder when he asked if anyone else had ever taken control of a club in this manner, i.e. getting a club for next to nowt. Different to the one we're witnessing at the moment, yes, but in the context of the discussion it's a very good analogy.

ThePrince didn't get it for next to nowt. As well as the quid for the BL share he had to put £10m cash in, for shares. Which he did. And, like McCabe, has funded it further.

 

[BushBlade]

HRH wanted to "gift" money to the club, not issue share capital?

That’s how the Judge described it at 60e in his summing up.

 

[LoughboroBlade]

HRH wanted to "gift" money to the club, not issue share capital?

You tell me. As Balham Blade has established, this is not an area I have any expertise in – the above was just my initial (probably inaccurate) take after reading it over breakfast...

 

[Sean Thornton]

he wanted McCabe’s pants down and put a finger up his arse. It doesn’t look great for McCabe so why would be want to gift the money when he will lose so much?

Was HRH saying gift the money or put it into shares? Either way McCabe loses, as I said earlier in the thread. I knew McCabe loses on those scenarios, I was asking the question what exactly was meant by "gift".

 

[Sean Thornton]

That’s how the Judge described it at 60e in his summing up.

A novel approach - not allowed by FFP?.

At least Kev saw through that one.

 

[BladeFisher]

The Glaziers bought Man U for fuck all. It was a leveraged buyout whereby the loan was repaid by future club profits. Doesn't seem to have done them any harm despite a few fans spitting their dummy out and facing the realities of forming another club.

You've answered your own statement. SUFC doesn't make profits (unless in the PL).

 

[BladeFisher]

Idiots

It's like watching cats play chess.

One of my cats is sodding bright. Beat Karpov with the classic mouse to King's mouse two move.

 

[Esablade]

Was HRH saying gift the money or put it into shares? Either way McCabe loses, as I said earlier in the thread. I knew McCabe loses on those scenarios, I was asking the question what exactly was meant by "gift".

Up to your old obfuscation tricks again I see...
You have the read the report and you do understand what a gift is, right?

“UTB has made an open offer to fund a further £1.25 million now, on the basis that each party gives that sum to Blades on a non-recoverable basis.“

 

[snootyfenooty]

ThePrince didn't get it for next to nowt. As well as the quid for the BL share he had to put £10m cash in, for shares. Which he did. And, like McCabe, has funded it further.

We were talking about what's going on now, i.e. the Prince trying to take over the club for next to nowt.

 

[snootyfenooty]

You've answered your own statement. SUFC doesn't make profits (unless in the PL).

No I haven't, the Prince is not attempting a leveraged buyout. Read the thread.

 

[west_yorks_blade]

Speaking as a supporter, I like the sound of a ‘gift’ from either or both owners. Sounds like no strings attached investment.

£1.25m each may even cover Brooks’ agents fees

 

[Railway Blade]

Does anyone know the background to this bit which seems worrying ?

"UTB's conduct in relation to the repayment of the Charwell loan on 30 April 2018 was in my judgment reckless, and so there is a risk nevertheless that Blades may become insolvent"

 

[Grappler]

Was HRH saying gift the money or put it into shares? Either way McCabe loses, as I said earlier in the thread. I knew McCabe loses on those scenarios, I was asking the question what exactly was meant by "gift".

The way I read it, KM wanted both sides to put money in, as interest free loans. The Prince said no, let's put the money in as a gift. The Judge said something along the lines of the Prince thinking he would win the main court case, and KM would be out of pocket.

I would have to read it all again to get the exact wording.

 

[madeinsheffield]

Speaking as a supporter, I like the sound of a ‘gift’ from either or both owners. Sounds like no strings attached investment.

£1.25m each may even cover Brooks’ agents fees

I can't see either businessman putting in £1.25m and not expecting anything in return

 

[Harrisblade]

I can't see either businessman putting in £1.25m and not expecting anything in return

But that's what we expect the Board to do, isn't it?

 

[BladeFisher]

No I haven't, the Prince is not attempting a leveraged buyout. Read the thread.

I have. All bloody 16 pages.

 

[snootyfenooty]

I can't see either businessman putting in £1.25m and not expecting anything in return

One was, the other wasn't, it's there in black and white. The obvious inference to this is that one of them is confident of winning the case, the other not so.

 

[1066blade]

One was, the other wasn't, it's there in black and white. The obvious inference to this is that one of them is confident of winning the case, the other not so.

So, which one is confident of winning?