Conduct of Sir David Murray, Craig Whyte and Rangers directors examined

[GovanAllan 0]

This was posted on FF a few minutes ago, anyone any ideas of its probity.

 

 

This has just been posted by their mouthpiece Paul from Celticquicknews.

 

I have a Heads of Terms document for the sale and leaseback of Ibrox, Murray Park and the Albion Car Park.

 

The purchase price for all three assets is £7.285m. In addition to this there is a £6.55m loan provision with 15% interest payable monthly (£985.5k annually). Initial rent for all three properties is £1.8m. The 20-year lease provides for upwards-only reviews every five years by either 2% p.a. or RPI, whatever is greater (so assuming RPI is less than 2% each year, after five years, rent would be £1.987m).

 

Annual costs for rent and interest would be £2.785m. Current season ticket sales are reported to be approximately 36,000 with a standard adult price of £286, income net of vat will be around £8.5m.

 

Although the top line figure for both sale and loan is £13.835, “the initial payment will be less 3 years rent [£5.4m] to compensate for the lack of guarantee covering the rental payments”, so monies paid would be £8.435m as the first three years rent is deducted from the total.

 

Crucially, rent is to be securitised against ticket receipts and the new landlord is to be granted “first charge on the season tickets”, so, just as Craig Whyte planned with Rangers, Sports Direct FC would collect ticket money before passing it on to the security holder.

 

If the buyer attains planning permission for residential properties at Murray Park, a provision releases the seller from having to repay the £6.55m loan and cancels future interest payments. This speculative clause would release the club from punitive interest repayments but would require them to find a reasonably priced ash park to train on. Perhaps the Albion Car and Training Park.

 

“The tenant” will be able to buyback the stadium. In year one the price would be £10m (they would still owe the £6.55m loan). The set price increases by 12% p.a. for 10 years, so the year 10 price would be £27.7m. Thereafter “price will revert to Market Value but will not be less than £20m”. The market value of Celtic Park is around £50m. There is no buyback provision for Murray Park or the Albion Car Park.

 

The deal is on the table but will not be signed before the share issue, or if “the tenant” wins the Euromillions Jackpot (that’s not a euphemism for Champions League money, I mean the actual lottery), or finds some magic beans.

 

What a load of absolute bollocks, you would think after their world beating performance in midweek they would let their obsession with us slide for awhile.

[forlanssister 3,083]

What a load of absolute bollocks, you would think after their world beating performance in midweek they would let their obsession with us slide for awhile.

 

A hasty dismisal of the message has left us repenting at leisure many a time.

[Bluedell 5,408]

This was posted on FF a few minutes ago, anyone any ideas of its probity.

 

 

This has just been posted by their mouthpiece Paul from Celticquicknews.

 

Total bullshit.

 

Who is meant to be buying these properties?

 

It's just a scare story by them to try and put people off getting involved in the share issue. Very transparent.

[GovanAllan 0]

A hasty dismisal of the message has left us repenting at leisure many a time.

 

It's also been chopped from FF.

 

If the deal made sense for Rangers I've actually no problem with it.

 

Always said the fans should be looking to buy the Stadium and lease it back to the club.

[frost 0]

Total bullshit.

 

Who is meant to be buying these properties?

 

It's just a scare story by them to try and put people off getting involved in the share issue. Very transparent.

 

That was my thought, they appear to be steering in the direction that this is what the share offer would finance, these are the sorts of statements that the club should realy be burying immediately.

[simplythebest 0]

A hasty dismisal of the message has left us repenting at leisure many a time.

 

As I've said before a bunch of Celtic websites know no more than we do, their predictions for Rangers will always be doomsday. Them being 'right' about Whyte was certainly not based on some special information we didn't have.

[forlanssister 3,083]

It's also been chopped from FF.

 

If the deal made sense for Rangers I've actually no problem with it.

 

Always said the fans should be looking to buy the Stadium and lease it back to the club.

 

In an ideal world it should be held by something akin in structure to the Chelsea Pitchowners vehicle so nobody can play silly buggers again.

[simplythebest 0]

Yup. Agree with most of that... however frost made the point before I could reply.. i just said it could be easily deemed as dodgy.....or illegal

 

As GA mentioned, if the sale itself was done in the right way in that parties offering a better deal for the creditors weren't rejected, and if there's no proof of Green conspiring with them, the sale should be fine.

 

D&P can be chased personally for other wrong doings.

[blueflag 380]

As GA mentioned, if the sale itself was done in the right way in that parties offering a better deal for the creditors weren't rejected, and if there's no proof of Green conspiring with them, the sale should be fine.

 

D&P can be chased personally for other wrong doings.

I hope yous are both correct of course i do. I however just can't bring myself to think positive.

Disregarding the other bids, the assets were massively undervalued which green was shouting so loudly about them worth what 80-100m. Along with other stuff about d&p and I'm sure we might not even know yet...

Edited October 26, 2012 by blueflag

[simplythebest 0]

I hope yous are both correct of course i do. I however just can't bring myself to think positive.

Disregarding the other bids, the assets were massively undervalued which green was shouting so loudly about them worth what 80-100m. Along with other stuff about d&p and I'm sure we might not even know yet...

 

Those valuations and what you can actually get for them are different things. Again I think you'd need proof that there was anyone even interested in paying much more for the assets for it to be an issue.

 

I haven't got my head in the clouds, I'm just trying to be calm and rational. I'm sure there were ways they could have blocked the sale at the time, HMRC and BDO both said they had no issue with Rangers making this fresh start. It would be a huge can of worms to be messing about with it now.