Zappa 0 Posted August 29, 2014 Share Posted August 29, 2014 What happens if we don't raise it Zappa? They would try to borrow more money and if nobody was willing to lend it they would probably put the company into administration. 0 Quote Link to post Share on other sites More sharing options...
Little General 80 Posted August 29, 2014 Share Posted August 29, 2014 They would try to borrow more money and if nobody was willing to lend it they would probably put the company into administration. The fact they have supposedly contacted King suggests we are up shit street. No one wants to invest. 0 Quote Link to post Share on other sites More sharing options...
Hildy 0 Posted August 29, 2014 Share Posted August 29, 2014 Would this be normal practice - contacting someone specifically and then refusing a perfectly reasonable request? If King really has been contacted about this, it suggests that he's nowhere close to doing a behind the scenes deal, which is what many have been hoping (praying) for. Maybe King has been quiet because his interest has cooled and he's just going to wait and see what happens, pretty much like the rest of us. 0 Quote Link to post Share on other sites More sharing options...
Zappa 0 Posted August 29, 2014 Share Posted August 29, 2014 The fact they have supposedly contacted King suggests we are up shit street. No one wants to invest. There's no doubt we're in trouble again, but I'm not so sure that nobody wants to invest. What does interest me though, is that IF they've contacted Dave King about this share offer/issue, then surely he must be a current shareholder? 0 Quote Link to post Share on other sites More sharing options...
Ser Barristan Selmy 222 Posted August 29, 2014 Share Posted August 29, 2014 Can you imagine if we end up having to newco again and go back down to the fourth tier. Jesus christ If we were a continental team the board would be forced out. 0 Quote Link to post Share on other sites More sharing options...
der Berliner 3,744 Posted August 29, 2014 Share Posted August 29, 2014 I'll leave the scaremongering headline where it is, at the Daily Mail ... Rangers failed to persuade Dave King to underwrite the £4million share issue the club launched yesterday as they desperately attempt to combat their mounting financial crisis. The Ibrox board released a statement to the Stock Exchange which revealed an uptake from existing shareholders of at least £3m would be required for the issue to go ahead. It carried a stark warning that failure to reach that amount would mean Rangers being ‘unable to pay its creditors as they fall due and the future of the Company will be uncertain’. In that event, directors will ‘immediately have to seek emergency financing which may or may not be available’. Ibrox sources have discounted the prospect of a second administration as a consequence, but football finance expert Neil Patey, of Ernst and Young, told Sportsmail that cannot be ruled out. Succeeding with the share issue would provide breathing space and Sportsmail understands an approach was made to King ahead of the launch. The South African-based businessman has previously stated a willingness to invest £30m into the club but is seeking significant boardroom influence in return. While he is not an existing shareholder eligible to buy into the new issue, King would have been able to play an underwriting role to plug any shortfall. Talks broke down, however, with the Castlemilk-born businessman seemingly unhappy at the terms and a lack on information. ‘We have spoken with Mr King but the content of our discussion shall remain private,’ a Rangers spokesman told Sportsmail yesterday while King himself was unavailable for comment. One City source did, however, confirm the nature of the talks and detailed why King had rejected the offer. ‘There was an approach to King but he pointed out the money wasn’t enough to cover the club’s short-term needs,’ said the source. ‘There was also dubiety about whether it would provide shares. It could still have proceeded but he wanted Rangers to provide access to the books, which was refused. That ended it.’ The issue has now been launched without an underwriter but Newcastle owner Mike Ashley could yet play a significant role. He remains keen to expand his stake while remaining beneath levels that govern dual ownership. The need for income at Rangers has been increased by a drop in season-ticket sales from 36,000 to 23,000 and the requirement to repay £1.5m in loans received from shareholders George Letham and Sandy Easdale. They were due their money by close of business yesterday but that deadline has been extended until the end of the share-issue process on September 18. Failure to repay would see Letham and Easdale gain security over the Albion car park and Edmiston House facilities at Ibrox. The Stock Exchange statement revealed Rangers had just £1.54m of accessible cash at the end of June and made it clear the share issue was only a stop-gap measure. It said: ‘Assuming full subscription, the Company will require additional external funding in the latter half of the current financial year in order to meet working capital requirements as a result of the cyclical nature of its business. At the minimum level of subscription, additional working capital will be required towards the end of the current calendar year.’ It is thought the intention is to reach an AGM in October or November and gain shareholder approval for a wider issue that would be cornerstone of the aim to bring in between ‘£20m-£30m’ over the next three years. King could enter the fray at that point but the immediate future is the most pressing concern. Patey, who has followed the Rangers saga, believes the coming weeks will be vital. ‘I think this is probably the worst point since coming out of administration two years ago,’ he said. ‘There is obviously a clear, short-term cash shortfall. And therefore you can’t rule out a chain of events that leads to there not being enough funding there. ‘I don’t think that we are looking at administration just yet, but it is quite a stark financial situation they are in right now. There is a crucial period coming up. It is a very important two to three months.’ 0 Quote Link to post Share on other sites More sharing options...
Ser Barristan Selmy 222 Posted August 29, 2014 Share Posted August 29, 2014 DB I think you should refrain from using terms like 'scaremongering' and 'doomsayers'. You end up just looking a bit foolish mate. 0 Quote Link to post Share on other sites More sharing options...
jhunter 0 Posted August 29, 2014 Share Posted August 29, 2014 I'll leave the scaremongering headline where it is were you saying similar stuff after whyte was starting to be outed as a fraud? 0 Quote Link to post Share on other sites More sharing options...
Ser Barristan Selmy 222 Posted August 29, 2014 Share Posted August 29, 2014 were you saying similar stuff after whyte was starting to be outed as a fraud? Murray, Whyte, Green, the current crop, the next crop. 0 Quote Link to post Share on other sites More sharing options...
Super Cooper 0 Posted August 29, 2014 Share Posted August 29, 2014 If we cut our football player/staff wage bill by half it would still be the second highest in the country........but we obviously need 30 odd first team players and a whole entourage of backroom staff. 0 Quote Link to post Share on other sites More sharing options...
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