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Yohan Cabaye (now sporting coordinator at Paris Saint-Germain)

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tmonkey

tmonkey

Posted
Posted

Being a bit dim here no doubt, but I don't get business sometimes.

 

Let's say Ashley bought NUFC for £150m. That £150m was paid to the shareholders at the time (Hall/Shepherd/other shareholders). Am I reading things right in that Ashley has attached that £150m to the club as a debt owed to him? If so, how does that even work? I'd understand if he'd just straight up purchased debentures or preference shares from NUFC, and therefore the club owed him money (for receiving his £150m), but how does NUFC owe Ashley the cost of him buying NUFC's shares? It's not like the money went into the club.

 

Or is it a weird technicality where instead of shares+goodwill worth £150m, he has shares worth £1 and £150m in a loan? If it's this, why do it like this - to avoid amortization of goodwill?

 

Confusing as f***.

 

IIRC Ashley paid off the clubs debt and that is what the club owes him.

 

Isn't that specific element only around £100m though?

 

IIRC from the reports we've had, the club supposedly owes him £260m or close to that? So the excess would be what he paid for the club?

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Matt

Matt

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Posted

Being a bit dim here no doubt, but I don't get business sometimes.

 

Let's say Ashley bought NUFC for £150m. That £150m was paid to the shareholders at the time (Hall/Shepherd/other shareholders). Am I reading things right in that Ashley has attached that £150m to the club as a debt owed to him? If so, how does that even work? I'd understand if he'd just straight up purchased debentures or preference shares from NUFC, and therefore the club owed him money (for receiving his £150m), but how does NUFC owe Ashley the cost of him buying NUFC's shares? It's not like the money went into the club.

 

Or is it a weird technicality where instead of shares+goodwill worth £150m, he has shares worth £1 and £150m in a loan? If it's this, why do it like this - to avoid amortization of goodwill?

 

Confusing as f***.

 

Ashley bought NUFC through a series of companies. The one which bought NUFC was called St James Holdings Ltd (and may well still be). SJHL is in turn owned by MASH Holdings, which also owns his shares in Sports Direct. So to buy the club he lent the money to SJHL which then used it to pay the former shareholders.

 

However subsequent to that Ashley lent more money to SJHL, which then lent that to NUFC to repay various debt and to improve the club's perilous cash position (and did so again when we were relegated). So the amount showing as a debt to NUFC does not relate to the purchase price, whereas at SJHL the debt shown reflects both purchase price and subsequent cash injections.

 

As for why do it as (virtually) all debt, this is simply to give more flexibility around tax as the interest is tax-deductible.

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Shak

Shak

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I thought the debt was an additional thing that he inherited when he bought the club? As in the club owed money to someone else and Ashley paid that off (on top of what he paid for the club) and instead of the club owing money to a bank it now owes that money to Ashley.

 

The benefit being that the debt now won't continually accumulate interest?

 

Not massively sure, but that's always been my understanding of the situation.

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Incognito

Incognito

Posted
Posted

Being a bit dim here no doubt, but I don't get business sometimes.

 

Let's say Ashley bought NUFC for £150m. That £150m was paid to the shareholders at the time (Hall/Shepherd/other shareholders). Am I reading things right in that Ashley has attached that £150m to the club as a debt owed to him? If so, how does that even work? I'd understand if he'd just straight up purchased debentures or preference shares from NUFC, and therefore the club owed him money (for receiving his £150m), but how does NUFC owe Ashley the cost of him buying NUFC's shares? It's not like the money went into the club.

 

Or is it a weird technicality where instead of shares+goodwill worth £150m, he has shares worth £1 and £150m in a loan? If it's this, why do it like this - to avoid amortization of goodwill?

 

Confusing as f***.

 

Ashley bought NUFC through a series of companies. The one which bought NUFC was called St James Holdings Ltd (and may well still be). SJHL is in turn owned by MASH Holdings, which also owns his shares in Sports Direct. So to buy the club he lent the money to SJHL which then used it to pay the former shareholders.

 

However subsequent to that Ashley lent more money to SJHL, which then lent that to NUFC to repay various debt and to improve the club's perilous cash position (and did so again when we were relegated). So the amount showing as a debt to NUFC does not relate to the purchase price, whereas at SJHL the debt shown reflects both purchase price and subsequent cash injections.

 

As for why do it as (virtually) all debt, this is simply to give more flexibility around tax as the interest is tax-deductible.

 

He should take a big heap of responsibilty in the fact we got relegated. Never mind have the money back what he ploughed in to the club subsequently.

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r0cafella

r0cafella

Posted
Posted

I thought the debt was an additional thing that he inherited when he bought the club? As in the club owed money to someone else and Ashley paid that off (on top of what he paid for the club) and instead of the club owing money to a bank it now owes that money to Ashley.

 

The benefit being that the debt now won't continually accumulate interest?

 

Not massively sure, but that's always been my understanding of the situation.

 

This is correct.

 

He paid off the debt which was owed to the banks and transferred it to the holding company and leverages zero interest.

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Anderson

Anderson

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Never understand why people attempt to scrutinize and analyse how much we're supposedly in debt to him. At the end of the day, he can say the club owes him whatever he wants. There's no point in trying to stick a figure on it, it's basically tantamount to Ashley's right pocket owing his left pocket £xm. No point worrying about it, we'll always be 'in debt' to him until someone offers him what he sees as a fair price for the club.

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Deuce

Deuce

Posted
Posted
Arsenal target Yohan Cabaye is not on the brink of joining Paris Saint-Germain, a source close to the player has told ESPN.

 

Arsenal saw a bid of £12 million for Cabaye rejected by Newcastle on Monday, although the player was left out of the Magpies' squad for their 4-0 loss at Manchester City.

 

Newcastle boss Alan Pardew was particularly scathing about the timing of the offer, as the Gunners look to bolster their squad before the close of the transfer window on September 2.

 

It was reported by the Independent and Daily Mail on Wednesday that PSG could scupper Arsenal's attempts to land the France international, who signed on Tyneside for around £3 million from Lille in 2011.

 

Cabaye is understood to be keen on a move to Emirates Stadium with negotiations ongoing, amid reports Newcastle are seeking nearer £20 million for his services.

 

http://espnfc.com/news/story/_/id/1529312/arsenal-target-yohan-cabaye-not-close-psg-move?cc=5901

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Hanshithispantz

Hanshithispantz

Posted
Posted

Never understand why people attempt to scrutinize and analyse how much we're supposedly in debt to him. At the end of the day, he can say the club owes him whatever he wants. There's no point in trying to stick a figure on it, it's basically tantamount to Ashley's right pocket owing his left pocket £xm. No point worrying about it, we'll always be 'in debt' to him until someone offers him what he sees as a fair price for the club.

:thup: it's always baffled me.
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Guest bimpy474

Guest bimpy474

Posted
Posted

Chantome on loan to Toulouse.

 

Opens up a spot for Cabaye.

 

Blanc really does want Cabaye, possible.

pity Blanc doesn't have much in a say in the matter

 

You're very clued up, are you a itk ?

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TRon

TRon

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Posted

Despite his downing tools on Monday, we are still the ones holding the aces here. Unless we get a fee we are happy with we can easily refuse to sell, and then what is he going to do? It's a world cup year and he needs to be playing and doing well at club level. Like his pal Debuchy and Modric before him at their previous clubs, spitting out the dummy doesn't mean he should get his way unless it suits us. We should let him go if we get close to £20m, but only if that money is going to go towards strengthening the squad in areas we are still short.

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Deuce

Deuce

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Posted

He'll have enough around him at PSG to be able to perform a lot better than he has here. He'll not have anywhere near the responsibility.

 

Bingo. He'd play with the likes of Matuidi, Pastore, Lucas Moura, Motta, and Veratti in that midfield.

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Nobody

Nobody

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Posted

He's no way a £20m player. We'll be laughing all the way to the bank if offered that.

How much was this TV-deal worth again? Considering he pretty much kept us up last season, to us he's worth close to that amount.

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