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There are capital controls in China, it would be very hard for a deal to happen IMO. Even the biggest companies in China are having trouble financing foreign acquisitions.

Unless the money already sits outside of China.

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someone "investing" makes the least sense of everything to me like, how does that even work do they pay £100m for a quarter of the club if he values it at £400m...

 

if so what happens to the cash, surely ashley wouldn't plough that all into the squad?

 

According to that article that is exactly what would happen.

 

 

Benítez is well aware of the situation and is said to be relaxed about the negotiations as he has been assured they will have no impact on his ability to sign players this summer.

 

In fact, if the additional investment is brought in by Ashley in the next few weeks, it could even boost his spending power over the next two transfer windows.

 

The fact that Ashley told Benítez about the interest at the end of last season, when he assured him he would be given the financial backing he needs to rebuild the squad this summer, suggests the sport shop billionaire is taking the approaches more seriously than before.

I'm just not getting/seeing it as that would mean Ashley wasn't getting a return which is literally never going to happen.

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Thank God for the philanthropic, football savvy, Mike Ashley.

 

Yup, he's the poster child for Stockholm Syndrome - from a perspective of selling the virtues of an antagonist. What a beautiful football club owner Mike is, and apparently his s*** sandwiches are nutritionally beneficial too.

 

 

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Very weary about this....

 

For every dream scenario there is, there is a nightmare scenario.

 

Tiz true. Also multiple shades of grey, bewteeen the black and white extremes. Plus this is probably a load of pap in the first place; try not to worry dude, because well, makes you weary.

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Guest chopey

How does the deal work with the Chinese guy who bought a share of athletico Madrid? Does he invest cash at the same rate as the owner ?

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i'm really struggling with this investment thing like, only way it makes sense would be say £100m for a 1/4 stake in the club (for example) then a commitment to invest further on top of that for transfers etc.

 

just can't quite grasp why you'd go for it as the investor, unless i guess it was just a long term strategy to get the club from ashley..that being the case why not just meet his asking price?

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i'm really struggling with this investment thing like, only way it makes sense would be say £100m for a 1/4 stake in the club (for example) then a commitment to invest further on top of that for transfers etc.

 

just can't quite grasp why you'd go for it as the investor, unless i guess it was just a long term strategy to get the club from ashley..that being the case why not just meet his asking price?

 

With all the money in football these days it might not be a bad investment. Lets say and presume they buy 1/4 of the club for 100m, and promise to invest another 50m in transfers on top of that.

If the next TV deal is even better than today, and the club have had some success and build a stronger brand reputation. Its not unlikely that they can sell the stake with profit down the road.

 

Ashley bought for £160m or something right, now he wants £400m with dept, and look how he have run this club and brand.  :lol:

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i'm really struggling with this investment thing like, only way it makes sense would be say £100m for a 1/4 stake in the club (for example) then a commitment to invest further on top of that for transfers etc.

 

just can't quite grasp why you'd go for it as the investor, unless i guess it was just a long term strategy to get the club from ashley..that being the case why not just meet his asking price?

 

With all the money in football these days it might not be a bad investment. Lets say and presume they buy 1/4 of the club for 100m, and promise to invest another 50m in transfers on top of that.

If the next TV deal is even better than today, and the club have had some success and build a stronger brand reputation. Its not unlikely that they can sell the stake with profit down the road.

 

Ashley bought for £160m or something right, now he wants £400m with dept, and look how he have run this club and brand.  :lol:

 

yeah i guess, if they're looking for a profi that way it's possible

 

has it happened anywhere else in this country, something like a consortium buying a part stake in a club?  i know there's kronke/usmanov at arsenal but i think both would rather be full owners no and aren't necessarily in it for the profit?

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i'm really struggling with this investment thing like, only way it makes sense would be say £100m for a 1/4 stake in the club (for example) then a commitment to invest further on top of that for transfers etc.

 

just can't quite grasp why you'd go for it as the investor, unless i guess it was just a long term strategy to get the club from ashley..that being the case why not just meet his asking price?

 

Selling the advertising space?

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If someone buys 25% of the club for say 100m, we won't see a penny for transfers.

 

The only way I can see someone coming in is if they are taking over as the majority shareholder, therefore buying at least 51%.

 

It would make sense for Mike Ashley to keep his foot in the door, since he's gaining so much by way of advertising.

 

I simply can't see someone buying a small share in the club.

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If someone does buy a share they do quite literally​ have a vested interest​. As such it would benefit them to contribute to reducing debt or financing transfers or new developments whatever it may be. Doubt they'd just buy a share then bugger off, but after all this is Newcastle

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Potentially I could see Ashley selling 50% of the club, handing over the running of the club to the new party but insisting that his advertising remains. He'll just view it as another investment providing him with a dividend from that point forward. He doesn't seem to have any interest in the day-to-day running of a football club and he knows his business model for NUFC hasn't worked. He's never going to bankroll us to the level we need because he's tight as fuck so hand it over to someone who will but retain part ownership.

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It'd be more like 25% for £75m-£90m and the agreement that the investors will contribute £20m for transfers and an obligation to reduce some of the debt (for example).

 

The investors would gain a 'foot in the door' at a reasonable price, whereas Mike would gain some of his money back with further investment put into the club. If the investment works well (we sign some decent players and finish well in the league), then the valuation of NUFC will go up and if/when the investors want to purchase NUFC outright, they'll pay more than they would today even taking into account their small discount on their 25%, which would make Ashley happy.

 

Of course it'd make more sense for a complete takeover, but if Ashley does not want to do this then the only option for the investors is to buy a partial stake and wait for the opportunity for a complete takeover. These people have a worth of like £4bn, they're more than happy to wait around a bit to get what they want.

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Potentially I could see Ashley selling 50% of the club, handing over the running of the club to the new party but insisting that his advertising remains. He'll just view it as another investment providing him with a dividend from that point forward. He doesn't seem to have any interest in the day-to-day running of a football club and he knows his business model for NUFC hasn't worked. He's never going to bankroll us to the level we need because he's tight as f*** so hand it over to someone who will but retain part ownership.

 

And potentially, this is the other option. Which again, would work well for Ashley.

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The difference is that Sports Direct are publicly floated. We are not anymore.

 

Of course that could change. But that would take quite a long time to plan and execute.

 

There's no way any of this would happen in one summer so unless some mega rich cunt is trying to buy the club outright. Nothing will happen quickly here.

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Could it not be the situation he tried to create at Rangers where he retains the brand but lets other people run the club etc.  So he keeps his sweaty mitts on all or shirt deals and kit sponsorship, allowing him put the club badge on any old tat he wants to flog.

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Trying to second guess the business deals is beyond me, but liking the China-toon idea. Bound to be a play on words with these lyrics. Optimistic starter for ten:" Man, we don't stand a chance of ganning doon with Chinatoon"

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I have a question regarding this that you guys will probably know. I say question, it's more of a thought at the back of my mind that is just vaguely there but keeps nagging at me.

 

If a club is getting taken over, is there some sort of transfer embargo in place until it's completed?

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