How much would you want for your half?

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8lade

8lade

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If you were the Prince or KMc, what would your (realistic) valuation of your half of United (just the club) be?
 



McCabe is going to have to pay him the amount that the Prince has invested, + 10% or thereabouts. It's a simple and logical equation if the two are sensible.
 
8lade said:
If you were the Prince or KMc, what would your (realistic) valuation of your half of United (just the club) be?
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Not sure how a valuation is arrived at. Perhaps Sean Thornton knows the formula? What you hope for isn't always what you'll get. But from what I know it will run into several millions on either side. Don't forget, McCabe has been in charge for many years, so I assume his input will be substantial.
 
It really depends, there are many methods for valuing businesses, football clubs are another case on their own as there are many other factors impacting on the financial state of the company. In this case it depends exactly which business/es the Prince wants to buy.

It could be as simple as McCabe plucking a figure out of the air, however it could also be done based on what McCabe has invested in the club, what the assets are valued at, the potential future earnings of the club, the past earnings of the club etc etc.........

There are companies who get paid for valuing other companies in this situation so I assume part of the court case will involve some independent valuations from these companies and some kind of negotiation from there on in. There might also have been an amount set in the initial agreement between the two that one of them is now reneging on and that is causing the issue.

I was once involved in a similar process in a league 2 club at the time but I worked for the seller and he was happy with the initial offer from the buyer for his share so it was a simple process.
 
derekacorah said:
There might also have been an amount set in the initial agreement between the two that one of them is now reneging on and that is causing the issue.
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You really would hope that McCabe mentioned how much he thought it was worth, but of course that was 5 years or so ago.

Sounds like the Prince has opted to buy but said I’ll give you X amount and this is the issue.
 



blademark said:
McCabe is going to have to pay him the amount that the Prince has invested, + 10% or thereabouts. It's a simple and logical equation if the two are sensible.
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I dont think its that simple, Princey has lumped in £17 million-ish in the last 4-5 years

And we have gone from a mid table League 1 side to a mid table Championship side

If the Prince stays onboard he has to find 50% of next Seasons costs, minimum £4 million, if he didn't want the Club, wouldn't you give it away

If you are suggesting Kev is gonna have to find £18 - 19 million to be rid of the Prince, Kev has more on the hip than I imagined

In my head the Value of the Princes 50% is worth somewhere between £1 and £19 million ........ :)
 
Worksop II said:
I dont think its that simple, Princey has lumped in £17 million-ish in the last 4-5 years

And we have gone from a mid table League 1 side to a mid table Championship side

If the Prince stays onboard he has to find 50% of next Seasons costs, minimum £4 million, if he didn't want the Club, wouldn't you give it away

If you are suggesting Kev is gonna have to find £18 - 19 million to be rid of the Prince, Kev has more on the hip than I imagined

In my head the Value of the Princes 50% is worth somewhere between £1 and £19 million ........ :)
Click to expand...


Experts would be able to produce an argument for either figure I'm sure, depending on whether they are acting for the buyer or seller.

Just because your shares have cost you £17m doesn't mean they are worth that now. Or were when you bought them.
 
Yes T&C apply - shares can go down in value as well as up.

Just like football clubs.
 
I don't think either side would get there money back.
McCabe would lose the most, and to be fair, this is entirely his fault for the self admitted and not admitted mistakes he has made in the past. I think he's delusional if he thinks anyone will pay a huge figure for us when there's so many cheaper alternatives.

The prince would lose alot, on his part an investment was always going to be a big risk. The grand plan of making it to the premiership for a big return didn't pan out. He lost, he can't expect a full return. Investment would be easy if you were guaranteed to at worst get your money back.

What half is worth? Hard to say ,it's more to do with what it's worth to each other. If kev has a buyer lined up, or the prince does they may happily buy the other out knowing they will make more back shortly. With no buyers lined up, I can't see how either can afford to buy each others half if they insist on a return.​
 
Sean Thornton said:
Experts would be able to produce an argument for either figure I'm sure, depending on whether they are acting for the buyer or seller.
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Agreed, but if Kev meets him half way, thats £9 million, plus next years running costs £8 million, plus Tufty's budget

Has Kev that money to spend on the Club?, I would think not going on past experience

Though DB may provide it ...... :eek:
 
What about players value now, compared to what they were when we bought them.
Fleck as an example, picked up for nothing, possible signing on fee, and wages over the period he’s been with us. Now got to be worth 1m minimum. Didn’t the prince go 50-50 on everything.
 
Tom Bott said:
US or Canadian ?
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Zimbabwe

images
 
Some good comments here which lead me to believe (unless there is a 'business' way of forcing the sale) this impasse may be for a protracted period of time.
Bear with my finger in the air figures here;
The Prince has invested circa 18 million and KMc 75 million and both won't want to take a hit on that. However even if the current business was turning a profit of 1 million a year ( which it hasn't done over the last 5 years) what would it be worth, £20 m the lot?
 
If it's McCabe £90 million, if it's Princey, a quid... ;)

P.S- plus the 10p for interest..obvs.
P.P.S- or is that minus 10p for the club losing money... o_O
 



itsinyerblood said:
Not sure how a valuation is arrived at. Perhaps Sean Thornton knows the formula? What you hope for isn't always what you'll get. But from what I know it will run into several millions on either side. Don't forget, McCabe has been in charge for many years, so I assume his input will be substantial.
Click to expand...


Sean wouldn't have a clue, never understood the 'sliding scale' which comes into play now/ relative to league position, proportion of monies invested, value of current squad ( including Brooks, Fleck, O'Connell ).

McCabe did not give away 50% without safeguards for a situation like this. Trust Wilder to bring it all to a head.

Whatever the agreement, McCabe will not have skewed it in the prince's favour when he gave away half the club. Subject to this, that, the other and only if this, that and the other.

Sean wouldn't have a clue. He deals in past facts, not the here and now. He reads audited accounts 18 months old and talks from there.

Sorry, I stoop a few levels, but let's get real.

Go on , ask Sean his opinion of the here and now, the valuation for each party. He'll say " well it said in the 2016 accounts that the stated income and whatever.....he'd say the directors names were..... he'd say the costs of running the tea stall in south stand were.... " but he wouldn't have the first clue about May 2018.......he's a facts man and will always claim the high ground on 18 months old facts alone... nothing else...he never expresses opinions about actual football or present and future likelihoods,
 
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