Trademarks & other MASH loan securities revert to Rangers

[BEARGER 1,829]

http://news.stv.tv/west-central/1339239-sports-directs-hold-on-rangers-properties-ends-after-loan-repayment/

Sports Direct's hold on Rangers properties ends after loan repayment

 

 

Securities held over various properties owned by Rangers Football Club have been discharged after the repayment of a £5m loan to Sports Direct.

 

Documents from Registers of Scotland show the club's Murray Park training complex, Albion Car Park, Edmiston House and land on Edmiston Drive at Ibrox Stadium were returned to the full ownership of the club on January 8.

 

Sports Direct, owned by Newcastle United majority shareholder Mike Ashley, also held security over the club's trademarks and a floating charge on Rangers' assets.

 

It was also given a mortgage on shares on the joint venture company Rangers Retail Limited. Documents have been lodged at Companies House which indicate the discharge of the securities of those properties.

 

Rangers announced on December 24 last year that they had sent payment to the sportswear firm to end its loan facility.

 

Sports Direct has declined to respond to numerous attempts to clarify its position over the discharge of the securities and the repayment of the loan.

 

Rangers first announced at its annual meeting in November that it intended to pay back the loan facility to Ashley's company, going back on a previous pledge not to return the money, which was not repayable on demand and had no fixed repayment date.

 

The club paid back the £5m facility by taking out a £6.5m loan from other investors.

 

The new loan agreement is in place for two years and is interest free.

 

A security over Murray Park to the Scottish Sports Council remains outstanding.

[boabie 230]

"A security over Murray Park to the Scottish Sports Council remains outstanding."

Can anybody remind me what this is all about ?

[forlanssister 3,092]

"A security over Murray Park to the Scottish Sports Council remains outstanding."

Can anybody remind me what this is all about ?

 

IIRC it's in relation to a grant when it was built, absolutely nothing to cause any angst.

[SteveC 150]

Sorry to be dense but I'm afraid I find these things hard to follow, especially as the information from different sources is contradictory. Are we saying that the trademarks are now free from the shadow of them being held as security but that Ashley still controls the retail side of things and the strip sales for almost seven years? If so, via the retail control he has control over the trademarks anyway does he not, in practical sales terms?

[trublusince1982 243]

It's clearer if u think of the security as being over things like Murray park, Albion carpark etc as being insurance in case we couldn't repay. The badges etc were so he could make money from the loan. Security is no longer needed so returns. The bits he makes revenue from he keeps a bit longer so he can steal every penny possible.

 

The merchandise we receive a bigger slice of zero now.

[barca72 440]

"A security over Murray Park to the Scottish Sports Council remains outstanding."

Can anybody remind me what this is all about ?

 

 

 

 

http://news.stv.tv/west-central/1323549-sportscotland-will-get-murray-park-sale-cash-before-mike-ashley/

 

 

Sportscotland will get Murray Park sale cash before Mike Ashley

 

By Grant Russell

25 June 2015 08:17 BST

 

 

 

Sportscotland have moved to ensure they will be repaid in full first if Rangers' Murray Park training ground is ever sold off by Mike Ashley.

 

The businessman gained security over the facility when he loaned the club £5m in January but the award of a floating charge conflicted with a previous agreement with the government body.

 

Sportscotland, at the time known as the Scottish Sports Council, gave the Rangers oldco £650,000 towards the facility, which opened in 1999.

 

The organisation's funding has no known repayment terms other than that it is able to recoup its money in full if Murray Park is ever sold for non-football purposes.

 

Sportscotland also hold the right to refuse any other security being granted on the property to any other persons, meaning an agreement had to be struck with Rangers and Ashley's Sports Direct company.

 

Documents seen by STV detail that, should the Glasgow club ever default on the terms of its £5m loan to the businessman, both parties would have the right to recoup their money through the sale of the property.

 

The government department's interest in the building will however, according to the documents, extend only to ensuring they are paid back their £650,000 in full.

 

Any other proceeds from the sale of Murray Park would then go to repaying Sports Direct's £5m, with Sportscotland subsequently in line to receive any other money they have loaned Rangers.

 

The three-way document was signed by Rangers director Paul Murray on May 6, with Sportscotland chair Louise Martin signing 19 days later.

 

Sports Direct subsequently concluded the agreement when their chief executive Dave Forsey signed on June 12, the day Rangers chairman Dave King was reportedly in London for discussions with the company over their loan to the club.

 

Ashley, who is the founder and now executive deputy chairman of Sports Direct, is not named on the document and does not appear to have given his signature.

 

A spokesperson for sportscotland said: "This matter merely relates to the transfer of an identical legal security for our original investment of £650,000 into Murray Park in 2001.

 

"We were asked by the Rangers board to transfer our historical contract of award from the oldco to the newco, which we have done after the newco granted us an identical security for our investment.

 

"We have recently registered the completion of this security at Companies House and the Land Registry, but there is no new money involved in this process.

 

"Any return of our investment would only occur if the facility were to be sold and then used for non-sports purposes."

 

Rangers' Ashley loan

 

The money given to Rangers by Mike Ashley remains a point of controversy for the club, with the businessman holding security over more than their training ground.

 

Should the board default on the £5m provided earlier this year, Sports Direct would also inherit the club's trademarks and badges, as well as its Albion Car Park and an office block at the club's stadium called Edmiston House.

 

The deal also ensures that 75% of all revenue from the sale of Rangers merchandise, including replica shirts, goes to Ashley's firm.

 

The only property Rangers would continue to own is its Ibrox Stadium, which was excluded from the securities awarded and is not covered by a floating charge Ashley has over the club's assets.

 

Rangers shareholders recently voted against a resolution brought by Ashley to attempt to force the club to immediately repay his money. His loan has no fixed repayment term and is interest free.

 

The club's chairman Dave King has previously stated the board will make the decision on when to repay the money and said he was seeking talks with Sports Direct to find a "more holistic agreement".

Edited January 15, 2016 by barca72