[Archived] Rumour: Venky's To Sell?

[imy9]

Nicko- Is Kean looking to walk away after this debacle?

[roversmum]

There is a fans forum meeting tonight with Rovers.

I bet that will be interest to hear what is said about the latest story.

Wonder if the Fans Forum will still be in existence by tomorrow? Surprised it has lasted this long...

[tony gale's mic]

Sam's pay off was hefty. However the replacement staff will be on much less and his wages are off the payroll.

The fees paid in January would have been staggered. Surely.

The wages for Roque wouldn't have been. The agents fees are not as much as the scare stories.

The new contracts are a hike on the payroll, but not massive.

I don't think that adds up to a further £18 million of debt in six months. There would also have been the TV money - although that comes later in the summer as I recall.

Venky's said they were paying in £5 million a window. If they didn't, then some serious porkies have been told.

Doesn't matter if the fees are staggered though surely? It's still a £5 million financial commitment the club has comitted to.

City paid £7 million to Jerome Anderson in agent fees in a single summer. Are we expected to believe that he'll reduce his fees for us? Not saying it will be quite as high but several million surely?

Roque wages would've been £2 million.

New contracts wouldve come with a signing on fee as well as increased wages - surely £1-2 million there?

TV money goes on wages surely?

[ptholt]

it seems an interesting footnote that staving off relegation and staying in the premier league could actually put us worse off than relegation, selling star players and taking the extended term/amount parachute payment...how ironic/idiotic delete as applicable.

[Tim Southampton Rover]

I knew I should have listened to my friend who told me to support Man Utd

[SIMON GARNERS 194]

So its now talk of TWO loans taken out secured against the club?...this from the people who swore Rovers were bought with their own family money and any existing debt would be paid off??

JUST WTF IS GOING ON HERE!!

[SG192]

I knew I should have listened to my friend who told me to support Man Utd

And he's still your friend!

[Ste B]

There is a fans forum meeting tonight with Rovers.

I bet that will be interest to hear what is said about the latest story.

I will be very surprised if we dont hear something very similar to the press release already put out on the official site.

[rebelmswar]

Nicko- Is Kean looking to walk away after this debacle?

Yes Nicko please answer as I am dying to hear if the only bright spark in my football life is about to gutter.

I will be very surprised if we dont hear something very similar to the press release already put out on the official site.

So the meeting is going to be chaired by two mutes and a corpse?

[Ripleys love child]

Inside rover reckons he knows some potentially bigger news just waiting to double or triple confirm it before he spills the beans

[nicko]

How definitive are you on that Nicko? My understanding reading the thread concerned was that this was a new facility over and above the £16m or so of bank debt that was transferred to the holding company? I'm by no means an expert but that is the general impression I gleaned from the thread.

Thanks to some very useful information just received...

The club was sold for £23 million. That is between Venkys and the Trustees.

There was a pledge to pump in £15 million for players. A very grey area at the moment.

The 'debt' was taken on at around £14 million. I still take it that this is the Barclays 'mortgage' that was taken out with guarantees.

There are all sorts of theories about why the bank have acted as they did a couple of weeks back...I won't go into that although it does intrigue me.

Venkys have the cash to make a go of this still - if they want. But I can understand if they are miffed just now.

However if they have stopped their own funding [the £15 million part] then it is their own funeral.

[Mattyblue]

THEY'RE 'miffed' are they?

Where's me violin?

[trueblue]

Uncle Jack must be turning in his grave at the mess these clowns have created

[Veevs]

Although the chap is probably fake his information seems very plausable... the twitter RoversInsider chap Interesting.. Just posted that there is some big news incoming *shrug* taking it with a pinch of salt but could be interesting and would certainly make him a credible source if true.

[OJRovers]

Surely we could pay off part of the mortgage then re-mortgage with another bank, again securing it on future TV receipts?

There is no way with the assets and future revenue streams BRFC has that we can't raise any finance at all.

Look at the loans to other small clubs.

[gumboots]

However if they have stopped their own funding [the £15 million part] then it is their own funeral.

Unfortunately, just as their success would have been ours, so their funeral will most likely be ours too. They ask for patience - I feel I've been patient enough. Which part of that is so hard for them to understand?

[rebelmswar]

Uncle Jack must be turning in his grave at the mess these clowns have created

Haunting the hell out of his children I would suspect.

Shambles.

WHY us?

Haven't we had enough bad luck?

[beerwins]

Insiderover posts on here sometimes, he usually has some good info, wonder if it's the same guy.

[keaney23]

Nicko Any truth in keans days being numbered.

[Veevs]

Surely we could pay off part of the mortgage then re-mortgage with another bank, again securing it on future TV receipts?

There is no way with the assets and future revenue streams BRFC has that we can't raise any finance at all.

Look at the loans to other small clubs.

If they are not interested in putting in their own money then I would be very worried about them putting much on a new mortgage.

As it stands we are among the favourites for relagation which if it occured would mean no TV money and suddenly we are in a position close enough to bankrupt.

Overall we are a risky business for banks to loan to, look at how many clubs have gone broke, our costs are high compaired to our income and our owners have their cash safely tucked away in India.

[TimmyJimmy]

Banks are under the cosh right now, look at the eurozone situation and the threat of a USA downgrade. They understandably need to reduce their risks or they'll be dragged under with everyone else.

Recall also the Setanta situation and loss of the contracted payments to the lower league clubs. Then reflect on the News International situation on what may or may not happen to Murdoch if any USA laws have been broken. Can a bank really afford to rely on a positive cash flow of Sky TV monies? Not quite as guaranteed as we first thought maybe? It's definitely got to be part of the Banks thinking.

'Putting the boot in' makes it sound like some machiavellian cell of old boy bankers who consider themselves above anti trust prosecution for fixing the market. It sounds like some are suggesting a fix was in to force someone to sell. I think this is nonsense. A decision to make a call on collateral would only have been taken on purely commercial grounds.

I have no sympathy at all for the Venkys they have made a right mess and now they have to deal with it, trouble is so do we. They're like people who bought an expensive Lamborghini dealership and thought it a good idea to have an opening day with a real live raging bull. By the time they surveyed the wreckage and the bull had disappeared over the horizon they are left scratching their heads wondering what the heck happened. They have IMO been totally totally totally wreckless with the club and its employees and have caused untold damage. It's hard to have any sympathy then when inevitably unexpected things happen like the bank wanting some of its money back. With a bit of planing and forethought they wouldn't have got themselves into this position in the first place.

We are where we are though, there's nothing else to say. It's a real buggers muddle. Off the pitch we can console ourselves by considering the club to be less financially vulnerable because some debt has been paid down. But that may just be putting off the financial pain of a relegation if we don't invest in some decent talent on the pitch. The club isn't doomed but that's the most positive thing I can think of typing. It's certainly a labour of love being a Rovers fan.

[Veevs]

I remember reading the following link a few months back...

http://image.guardian.co.uk/sys-files/Guardian/documents/2011/05/18/sportscribddoc.pdf

Good summary of the financial position of all the Premiership clubs.

Great little article.

[chaddyrovers]

Uncle Jack must be turning in his grave at the mess these clowns have created

Yeah he would be and he would be also angry as hell for his kids for selling to Venky's

Jack Walker was a legend at rovers

[koi]

Nicko Any truth in keans days being numbered.

No way would they attract anyone if all this is true so if anything Kean could walk because as it stands he's on a hiding to nowt.

[chocky]

Yeah he would be and he would be also angry as hell for his kids for selling to Venky's

Jack Walker was a legend at rovers

imagine how he'd feel if they had sold to El Syed.