This change in ‘buyability’ has little to do with Kirkby itself; it has more to do with the exclusivity agreements that were in place with Knowsley and Tesco (and probably others). No buyer would want to have to honour prior-negotiated agreements for a product that they did not select.
That having been said, our problems are still very real: we are dramatically under-funded, we need a ‘new’ stadium and we have substantial debt.
If we touch on each of these in reverse order:
I’m interested in exactly how much debt we think we have? There would be the bank debt (presumably including an overdraft) which I believe was secured against future season ticket sales. There would also be personal debts that are outstanding between current board members and their associates (for example Bill Kenwright may have borrowed money off Philip Green). Personal debts would not be publicly known and would only become known during a due diligence review of any prospective deal.
With regards a new stadium, we have two choices: redevelop Goodison or build on a different site. If Everton are to stay in the city, both of these options are dependent upon the City Council. If Goodison is to be re-developed, it would appear that some additional land would be required which would mean the annexing of some of the surrounding streets (Diana Street and Muriel Street, and potentially parts of Gwladys Street) and the loss of the Gwladys Street school. In the Kirkby debate, I think I recall Councillor Bradley suggesting that this was possible. Do we have any idea what the Council's stated position is on this idea?
On the second option, the Council has offered a number of sites, and I believe they are well represented on the KEIOC website, do we know what the Council's current position is on those sites?
How much would the buy-out of the current board cost? How many shares are involved?
In order for someone to step in and buy out the current board, the above questions and many more would need to be answered.
Note: the following content is not moderated or vetted by the site owners at the time of submission. Comments are the responsibility of the poster. Disclaimer
1 Posted 30/11/2009 at 20:13:12
Nominal share value is £1 but the price for you or I to buy one would be £1,200 to £1,400, or whatever the seller and buyer mutually agree. For example, last time the club changed hands, the shares were priced at £857, which valued the club at around £30M (ignoring the debt, which was then relatively small).
Prior to the demise of DK, people were suggesting £80M to £100M as a valuation of the club, but that is probably fanciful and is about equal to the best estimates of the current debt.
2 Posted 30/11/2009 at 21:22:54
In the circular prepared by Grant Thornton at the time, he requested other shareholders (than his backers) not to take up his offer to buy because he would have found it very difficult to come up with the money. He did not follow the path of a Rights Issue that Johnson had taken, so no new money went into the club.That remains the situation to this day.
The logical conclusion is that control of Everton is (and always has been) for sale provided he and his backers can exit with profit. All of which is perfectly reasonable provided no claim is made that the consortium’s purchase of shares "saved the club".
There is a clear need for a new Rights Issue to raise funds for the Stadium (new or refurbishment). The Board should establish the size of the issue by providing a proper analysis of how much the development would cost and what extra stream of revenue would result. Having 24/7 failed to get "investment", is there any other way to raise money for the Club?
3 Posted 30/11/2009 at 22:48:36
Bill is looking for investment only and is not interested in selling. Look at the recent press releases and everything linked with money is on an investment basis only. "We need new investment"; "Until we find someone willing to invest"; "We are searching for new investment".
Bill Kenwright doesn’t want to sell, end of. I never have believed and do not believe a new outright buyer has ever been sought which is why we have never seen anyone interested in Everton and other clubs have found suitors.
4 Posted 30/11/2009 at 22:56:22
5 Posted 30/11/2009 at 22:52:33
6 Posted 30/11/2009 at 23:05:41
7 Posted 30/11/2009 at 23:17:41
Frank’s point of course would mean that Everton would be uniquely "Going Home" and why not?
8 Posted 01/12/2009 at 08:50:38
Be that as it may, I do feel the very least ALL Evertonians have the right to expect is that our Chairman will now show clear leadership on this issue and do his very best to keep the fanbase informed throughout the review process.
I have confidence that he and the Board will reach the right decision on how best to proceed but having — in my view, prematurely — stated very publicly that the DK chapter is dead, he will have to put in the acting performance of his life if he is now to think of bringing it back to life!
9 Posted 01/12/2009 at 09:16:41
I’m expecting the usual; shithouse disappears back down his rat hole in London to avoid the well deserved flack... only to reappear if we get a decent result with some gushing luvvie bollocks. Bill we don’t want your lip-service, we want a new owner full of cash and not bullshit and lies.
10 Posted 01/12/2009 at 10:57:18
Interestingly Moyes is talking about finding a buyer, whereas BK has always talked about investors.
He also blames the indecsion over Kirkby for keeping away perspective buyers. He also mentions the possiblity of re-developing GP, which is also very interesting, as we have been led to believe by board members, prior to the Kirkby decision, that this is a non-starter.
Do I detect a difference in opinion between Moyes & BK when it comes to potential investors / buyers?
Selling the club to a new owner, does carry its risks, as we don’t want another Mike Ashley. So it has to be the right person.
Also, is it vital that an Evertonian owns the club?
11 Posted 01/12/2009 at 11:19:48
Everton could have made a rights issue however they haven’t.
...Let’s not forget that a hostile takeover is simply a potential suitor putting in a bid without talking to the board first. All of these options STILL rely on the board say yes!
12 Posted 01/12/2009 at 11:19:30
Snag is it will probably take many years to achieve and during that time we will only be incrementally increasing income.
We are looking at mid table finishes for many years to come but the sooner we start this process (CPO’s Mr Bradley??) the better.
13 Posted 01/12/2009 at 11:48:35
I suppose the spineless, gutless performance at Hull on the same night may also have had a small effect. This followed by the derby defeat and languishing 16th place in the league may have also added, ever so slightly, to his gloomy demeanour.
It goes without saying really that Moyes would have been his usual smiley self if DK had got the go ahead. Oh well, we can still hope that BK didn’t quite speak the truth, for once, when he said Kirby was dead and we can spend another couple of years dreaming of the Utopia that is Kirkby.
14 Posted 01/12/2009 at 12:36:00
In a nutshell our wage bill of £49.1M is not even covered by the record TV revenue received last year. As our turnover is only £79.7M, that doesn’t leave a lot to get excited about, especially if you also need to foot the bill for a new Stadium or Re-Development.
15 Posted 01/12/2009 at 14:30:53
16 Posted 01/12/2009 at 16:02:46
I quite enjoy Doddy’s posts.
Reminds of reading Rasputins mad ravings before he was put to rest.
17 Posted 01/12/2009 at 17:38:06
I rate Richard Dodd up there with the likes of David Icke
18 Posted 01/12/2009 at 17:46:35
19 Posted 01/12/2009 at 21:44:19
Therefore, you would think he would view last week’s news as not so bad on the quiet.
I think, though, that most of that is secondary to him to what happens on the pitch. You don’t have to be a genius to work out why he’s been looking a bit miserable this season....just look at the results.
20 Posted 01/12/2009 at 21:48:44
He’s an actor... always remember that...and ruthless with it. I’m really not sure he would sell the Club unless it was for silly money. I reckon he wants somebody to come in, hand over loads of cash and play second fiddle.
Remember Matthew Harding and Ken Bates At Chelsea? Harding paid for a new stand, could have elbowed Bates out with his financial muscle, but met an untimely end in a helicopter crash, never fully explained. Bates only sold out to the Buyer of a lifetime in Abramovich and is now exercising that massive ego of his at Leeds. Don’t see BK as a lot different. Just ask Paul Gregg.
21 Posted 02/12/2009 at 14:27:37
22 Posted 02/12/2009 at 23:07:02
Add Your Comments
In order to post a comment to Fan Articles, you need to be logged in as a registered user of the site.
Or Sign up as a ToffeeWeb Member — it's free, takes just a few minutes and will allow you to post your comments on articles and MailBag submissions across the site.