I learned today of an attempt by the Sevco High Command to have a rapprochement with General Ashley.
Apparently, Mr King’s QC reached out to Big Mike’s legal top gun.
The conversation went along the lines of:
“Can we sort this out?”
After receiving instruction from his client, Ashley’s QC replied :
“There is no sorting out to be done. We are way past that.”
You might recall that in June 2017 the Stenography Corps breathlessly gushed that their guy King had won a huge victory over Big Mike.
Oh dear…
Meanwhile, the Sevco High Command is attempting to put together a corporate bond.
For the uninitiated, I’m told that it is another form of emergency finance.
The rates are punitive and the bond giver will usually want a substantial return on their investment within two years.
Moreover, the lender can often a high degree of day to day control over the bondholder.
Sevco really is the Dunning–Kruger effect at a football club.
It is really quite remarkable.
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They have hawked the lot. Where’s the garden of remembrance, the fan zone, the museum, the walkway to the trains, floating pitches, supercasino, hookup with the Dallas Cowboys, Adidas….
Phil any idea where the funds came from that paid off the Close Brothers loan?
I have suspected all along that this will go full circle and they will be selling future seat sales. Look where that got them last time. The potential is there though as King controls the compliant Scottish media and therefore spin and propaganda beats any hard facts.
Potentially pay off close or extend that deal also. End of the day they are living in a pawn shop mentality. Jam today FC and they still can’t get anything close to the retail deal King paid over £3m to get them out of.
The impending cold shoulder and negativity will stop any further last ditch loans and as we know now it’s not just King who will suffer that fate.
Sevco are desperate to stop us getting 10-in-a-row. They have more debt than a third world country. The LAST thing they are ever going to do is (for example) sell somebody like Tavanier for say £4m to balance the books !! balancing the books is not as important as stopping us hitting the 10 titles as they would then be weaker on the park.
This is a blatant form of CHEATING right in view of the whole world….and nobody does anything about it.
HH
It seem s to me that they are forever entering new `emergency finance` agreements which suggest the end is just round the corner. Some corner !
In the case of Sevco, it is more likely that they are suffering from the Done-in – No Krugerrands Effect, Phil! 😂😂😂
As I have said before I haven’t a clue about football….. but I just lurve the financial to-ing and fro-ing as this mob circles the pan as they are very slowly and exquisitely tortured to economic ruin…….
Are you listening Billy…??? The whole of western capitalism was based on the bank of England model set up in 1694 by the Dutch puppet ….king Billy….all built on debt….now you know the pain of debt….get it right up you….and I hope the pain goes on for sometime yet….. before you are flushed out of the book of life……
In the mean time…..we can but laugh…..
HA…..HA…..HA….!!!
Looks like any bond offering will be used to repay Close Brothers, at least indirectly. Consider it a rolling over of the debt with better terms if better terms can be found.
Material terms of Close Brothers’ loan should be disclosed in RIFC’s annual report expected to be published in early Nov. At least part of that loan has now been repaid as the second security charge was released as of Oct 15. That will likely show up as a post-balance sheet event in the annual report. But more importantly RIFC will be saving some interest expense on whatever was repaid to Close today.
No surprise that another source of finance is being looked at. Can a transfer fee from the January window be used as security?
Close Bros already have security over any non playing asset that’s not nailed down.
The soft loan providers are at the end of their tether and, at best, will end up with ‘equity’ in respect of the cash that they have invested.
It’s not quite the same as getting your money back with shares in a loss making company not going to hold their value for very long.
With a multi millionaire now on the payroll it’s a surprise that King hasn’t been knocking on the manager’s door asking him to put his money where his mouth is and invest in the squad in return for some of that hard worked equity.
Close Brothers have bow been paid off so in theory they are now debt free again….unless you count soft loans from directors
Don’t you believe that!
Close Brothers get it even if it IS is nailed down as well!
I’m no Rangers apologist, but let’s stick to facts, shall we?
Close Brothers will not end up with equity. Their remaining loan is secured by the PA system, the video boards, the catering equipment, etc. should RIFC fail to fulfill the terms of the agreement, Close will place a lein on the assets and attempt (likely to be successful) to repossess said assets. However that outcome is remote IMO as without those assets Ibrox cannot meet safety requirements and would have to close. Someone on the board (Julian Wolhardt?) would surely step up and agree to roll over the loan and get rid of Close if RIFC were facing that possibility.
Also, RIFC is contractually prohibited from selling any receivables, including funds due from player sales, under the terms with Close. At most they could use a receivable as a pledge to Close for repayment, but that would have to be negotiated and Close is under no obligation to accept it.
Isn’t the real problem they have is that they have nothing of value to pledge as collateral? All this talk of a share issue or, now, this Corporate Bond is of little value unless you can find someone willing to buy it. That has been problematic for them as they a re a substantial loss-making entity and the losses are only getting steeper. Why would anyone in their right mind believe that they may actually be repaid on any “investment”?