[Archived] Venky's willing to sell?

[BuckyRover]

So Phillipl has said Man U are in threat. Some how I doubt Phillipl said that at all.

I'm pretty sure that he said they could go out of business.

[CrazyIvan]

So Phillipl has said Man U are in threat. Some how I doubt Phillipl said that at all.

Yes he has... I'm sure he can read this so I expect he can answer himself.

[BlueMonday]

GOOD WILL GESTURE !!!!!!

Listen you IDIOTS, if you dont take your hands out of your pockets one of your " BUSINESSES " will

collapse. DO YOU UNDERSTAND THAT !!!!!!

You aren't doing ANYONE any favours, you are making a complete fecking mess of it.

WAKE UP!!!!

[Stuart]

http://www.sportingintelligence.com/2012/01/30/blackburn-owners-make-goodwill-payment-to-bank-as-pressure-mounts-300102/

"It is understood that without any net player income from January, and without any further cash injection from Venky’s, the financial situation at Ewood Park ‘could begin to get tight around March’s wages’.

Sources in India insist that the matriarch of the Rao family, Anuradha Desai, will never allow the club to be in a position where it cannot pay staff wages, and that should cash be needed, it will be forthcoming.

Senior officials from the club and Barclays are in ongoing dialogue about what will be required in the coming months."

I don't know how our 'board' can operate under these circumstances. No wonder JW and co wouldn't "toe the line".

(Still can't quite get over the fact that she used that phrase).

[Daniel Louis Grabko (Dan)]

Yes he has... I'm sure he can read this so I expect he can answer himself.

I haven't looked at it closely, but with almost half a billion in debt now, and the club operating at a huge loss every year, it actually does look like Glazer is just leveraging as much debt into that club as possible, and it doesn't seem all that sustainable. I actually think that Alex is the only thing keeping that club where it is right now. I don't envy any successor to that job!!!

[SIMON GARNERS 194]

A 'Goodwill gesture' of 2 Million when the Bank wanted 10 Million back of their OWN money....just what are these loons playing at!

PLEASE in the name of Vishnu leave our club asap.

[47er]

So we avoided meltdown again?

You'd think someone has to go before transfer deadline as well as Formica? The obvious one is Samba.

[Captain Dunsel]

I haven't looked at it closely, but with almost half a billion in debt now, and the club operating at a huge loss every year, it actually does look like Glazer is just leveraging as much debt into that club as possible, and it doesn't seem all that sustainable. I actually think that Alex is the only thing keeping that club where it is right now. I don't envy any successor to that job!!!

Their finances are just fine. Their so-called losses aren't real, they are just goodwill amortizations of £35m annually. They are currently sitting on a veritable mountain of cash (£150m as of last year) and are planning an IPO which will raise enough money to pay of their debts and still leave a couple of hundred million £'s for investment.

[deryck guyler's spoon]

Yes he has... I'm sure he can read this so I expect he can answer himself.

I wouldn't hold your breath.

[BuckyRover]

I'm not making light of the situation but I do think the word "meltdown" is being overused somewhat.

Save that till we are in the relegation zone in the championship.

[rhodie]

I'm not making light of the situation but I do think the word "meltdown" is being overused somewhat.

Save that till we are in the relegation zone in the championship.

Never a truer word spoken.I don`t think anyone really knows the owners plans or intentions, maybe the thing to do is take it as it comes.

[John]

Stop saying the owners "plans" FFS, they don't have a clue what they got themselves into - they were sold this by a sports agency who saw easy pickings.

[Devon Rover]

I'm not making light of the situation but I do think the word "meltdown" is being overused somewhat.

Save that till we are in the relegation zone in the championship.

I'm very concerned about our situation and future. I desperately hope Venkys will sell Rovers. However I agree that the statements along the lines of 'meltdown' and 'being screwed over tomorrow' (deadline day) would appear to suggest either those making the statements have been made aware of significantly bad events that WILL occur OR they are making reasoned guesses. So which is it? I personally don't think its very helpful to hear these things being stated glibly without any backup. If there are no major sales tomorrow will these statements be retracted?

[pick32]

The banks fault not Venky's doubt they would be putting this kind of pressure on a bigger club. Are debt is minuscule compared to majority of the teams in this league.

[OJRovers]

The banks fault not Venky's doubt they would be putting this kind of pressure on a bigger club. Are debt is minuscule compared to majority of the teams in this league.

The banks fault not Venky's doubt they would be putting this kind of pressure on a bigger club. Are debt is minuscule compared to majority of the teams in this league.

There is a reason for that: No Board, Poor manager, Clueless Owners.

[RoyRover]

It's unbelievable that these people haven't been heard from in months. When they first turned up and for the months after we couldn't shut them up. Now, after all that has gone one over the past couple of months, with protests, the team's dreadful form, beating United, being in the relegation zone, stories being leaked about the goings on at the club and not backing the club with funds they promised, there hasn't been a single word from them.

I think it's unheard of for this to happen at any club. Clearly these people have grown bored / tired / cheap / annoyed with what's going on at Rovers and would rather forget about the whole thing and do the bare minimum. A shocking example of how a club should be run and calls into question the F.A's fit and proper owners test if this continues to happen and the F.A don't step in.

[Steve Moss]

What do you expect? In my view, all data points indicate that our owners are spoiled, self-centered brats. If things don't go their way, and they cannot control the outcome without putting in some real effort (shock horror!), they stick their head in the sand and pretend it doesn't exist.

Which is a shame. I think they could have been brilliant for the Rovers, if they had exercised even a small, very modest amount of prudence.

[Daniel Louis Grabko (Dan)]

It's unbelievable that these people haven't been heard from in months. When they first turned up and for the months after we couldn't shut them up. Now, after all that has gone one over the past couple of months, with protests, the team's dreadful form, beating United, being in the relegation zone, stories being leaked about the goings on at the club and not backing the club with funds they promised, there hasn't been a single word from them.

I think it's unheard of for this to happen at any club. Clearly these people have grown bored / tired / cheap / annoyed with what's going on at Rovers and would rather forget about the whole thing and do the bare minimum. A shocking example of how a club should be run and calls into question the F.A's fit and proper owners test if this continues to happen and the F.A don't step in.

A quick google of the test reveals how lacking it really is - see The Wikipedia Entry.

There are also additional guidelines that have been put into place that require clubs to pass financial "going concern" audits, which I presume look at an extended cash-flow projection that leads out 18-24 months. However, the actual detail level the audit goes into doesn't appear to be discussed anywhere. Plus these measures are not even put into place until the purchase of the club has been completed and the new ownership already installed.

Mr. Scudamore, the Chief Executive of the PL, is a very clever man, but has made some weird quotes like, "Clubs have been managing debt for 20 years. They are also able to adjust their cost base." A quote like this shows you the fundamental conflict of interest he has to have as a man in his position, and the lack of depth and foresight in this statement. Football clubs have been around a lot longer than 20 years, I would venture to put out there. He is obviously talking about since the creation of the Premier League, and inadvertently admitting that it is this break-away from the Football League that has really led to the exponential growth of the debt that riddles the game, and excluded great traditional clubs with a lot of proud history from ever hoping to get back to the top division again.

I would challenge Mr. Scudamore to put together a viable business plan for clubs like ours, who have been in the PL for the vast majority of its existence, that would enable us to "adjust our cost base" downwards and still maintain our status in the league. It is a ridiculous and out of touch statement. The only clubs that have successfully "adjusted their cost base" significantly have been Chelsea and Citeh, and as we all know their cost base adjustment has been anything but downwards. In todays game you can't adjust your cost base without proportionately adjusting your income base, and how does that then help you mange debt? It doesn't, that's the answer.

So irritated!!!

EDIT: So don't expect the FA or the PL to step in and suddenly make Venkys ownership illegal. Even if they did, what would happen then? There needs to be a buyer to take advantage of any such situation. So here comes the shameless plug -

[CrazyIvan]

I wouldn't hold your breath.

Exactly right.

[jannerman]

You'd have to think that any business that can do it's own work and discover out stuff on it's own would take a look at the current setup at Rovers and then take a step back - knowing full well that a potential deal could be done much cheaper via the Administrators down the line than with the current owners...

Just saying...

[Daniel Louis Grabko (Dan)]

You'd have to think that any business that can do it's own work and discover out stuff on it's own would take a look at the current setup at Rovers and then take a step back - knowing full well that a potential deal could be done much cheaper via the Administrators down the line than with the current owners...

Just saying...

This is true, but at the same time, like Ian Battersby says in the podcast, I think Venkys wouldn't let that happen, if only for their own pride's sake, and not for the responsibility as business owners - I think they would negotiate a sale before letting the club go into administration. That's just me, but I do think that.

[bellamy11]

The banks fault not Venky's doubt they would be putting this kind of pressure on a bigger club. Are debt is minuscule compared to majority of the teams in this league.

If you lend someone £100 you'll get it back. If you lend your mate a fiver you'll never see it again.

[rovers11]

If anyone hasn't read the ian battersby thread, there is very encouraging news that he would be in a position to make venkys a proposal if they decided to sell the club.

I think this transfer window has just reaffirmed how desperately we need new owners.

[roverandout]

how much cash does battersby have?

[Devon Rover]

If anyone hasn't read the ian battersby thread, there is very encouraging news that he would be in a position to make venkys a proposal if they decided to sell the club.

I think this transfer window has just reaffirmed how desperately we need new owners.

Agreed that something like this would be a superb outcome and a massive improvement. I just can't see how we will get to that point but I very much hope that we ultimately do.

Missing out on possible Qatari ownership was a big disappointment but being owned, at least to a high %, by a consortium of respected businessmen local to Blackburn who are fans of the club, would be even better in many ways.