But apart from the 65 loans we've got with interest that accumulates to about 1250% on every loan we have and the pending administration that will inevitably happen once the 777 deal falls through, I think we're pretty sound apart from that.
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But apart from the 65 loans we've got with interest that accumulates to about 1250% on every loan we have and the pending administration that will inevitably happen once the 777 deal falls through, I think we're pretty sound apart from that.
Milk
Udderly delicious
IIRC, 777 are borrowing the £20m/month from an insurance company they have a tie up with at 20pc themselves.
What they are charging EFC is unknown as it is proposed to convert in to equity if the deal to buy goes through.
All very messy for alternative buyers IMO
MrGrumpy
Player Valuation: £50m
Andy Bell 40 part of the 100
Dublin blue 75
Player Valuation: £50m
Explains why Levy is circling Branthwaite like Jaws...
ForeverEverton
Player Valuation: £50m
I would also say, who puts us in administration?
Moshiri would stand to lose 100`s of millions, you couldn`t sell a club in administration for the sort of money he wants or 777 are offering, the people the club owes money to like R&MF, MSP, 777 etc will only to get a percentage of what the club owes repaid. So they would be losing 10s of millions, who wins?
That is why I think administration is very unlikely.
pfim
Player Valuation: £40m
Correct. The last few pages of this thread have gone off on quite the tangent.
Toffeeslam
Player Valuation: £35m
Proper Grimm in here
Might as well just fold the club
Might as well just fold the club
But if one of the people we owe money to decides enough is enough and invokes administration, they could get their money back through selling the assets (players, training ground, stadium(s), club for a nominal price. Moshi then doesn't get a dime for selling the club.
Would be my guess.
Need Moshiri to lower the asking price so we can attract some better prospective owners
Genuine question...
What's to stop moshiri clearing the debts himself?
Obviously the leagues corrupt rules prevent him from investing in transfers etc
But surely he could write off any debts owed to himself and if need be pay off outstanding loans etc?
Afterall it's better to spend some money in the hopes of getting something back, rather than throw away everything for nothing?
The commission itself said we have a wealthy owner which is why we got a point deduction instead of a fine...
Surely you can't put a club into administration if the owner has the funds to clear any monies owed?
What's to stop moshiri clearing the debts himself?
Obviously the leagues corrupt rules prevent him from investing in transfers etc
But surely he could write off any debts owed to himself and if need be pay off outstanding loans etc?
Afterall it's better to spend some money in the hopes of getting something back, rather than throw away everything for nothing?
The commission itself said we have a wealthy owner which is why we got a point deduction instead of a fine...
Surely you can't put a club into administration if the owner has the funds to clear any monies owed?
hallamblue
Player Valuation: £40m
Moshiri doesn't have any money left, despite the nonsense about us having a wealthy owner. If we had a wealthy owner would we be mortgaged up to the hilt and trying to sell club to the equivalent of a payday loans company?
Possibly, most rich people stay rich because they spend other people's money based on the security of having the money to pay it back if it goes tits up....
Look at trump a billionaire with billions of debts...
Same with the glazers, billions of debts but allowed to spend.as they meet the repayments and have the capital to repay in full.if required
pfim
Player Valuation: £40m
Which would do that? It's not in any of their interests to do so as long as there are bidders for the club.
The assets would take a massive hit in administration (what's a PL stadium worth? Not much without a PL club, certainly nothing close to the build cost).
No idea which one would do it. It does remain a possibility one of them COULD do it. If the writing is on the wall, and you know that you are not going to get all your money back then it is better to get some of it back. Just adding context here.
Great question on what a stadium is worth be it in the PL or championship or North Liverpool league.
pfim
Player Valuation: £40m
First sentence is a bit off, and I'm not sure Trump is the best example in this case. You borrow money for two reasons:
1. to leverage the capital you have (If I have $1 million, should I buy a $1 million cash generating asset or go to a bank, borrow $4 million and buy $5million worth of cash generating assets?)
2. Mitigate risk. If it goes belly up, I've limited my risk to only the money I put in (assuming I kept capital out for personal finance).
The plan for EFC as I understood it was that Moshiri would finance the equity portion of the stadium himself, then go out and finance the rest through commercial bank loans. The equity money is always first in based on the LTV, and then the bank will cover the remainder (but won't fund until the equity is in).
Moshiri selling the club and refusing to put more money in has required us to go out to untraditional sources to gain this funding.
MSP and 777 partners surely wouldn't put the club into administration, they'd receive pennies or likely nothing.
R&M is secured by future PL revenues, they have little reason to call in the loan.
As long as there are active bidders for the club, administration is unlikely. There's a large difference between what 777 is offering Moshiri and zero, which is what he'd get in administration. As for the creditors, there's really very little reason for the secured to call in the loans and the unsecured would be nuts to do so at this point.
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