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5 minutes ago, PauloGeordio said:

 Baldwards incoming Friday night Saturday A.M negatively spun click bait headline post. 

Blocked him a long time ago although people on here still quote him ( I have no idea why)

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38 minutes ago, duo said:

100% this wasn't planned to happen now. Strange nothing from the club.

 

That means nothing (if it's even true). Most of the players probably don't even know the specifics of the ownership structure and Amanda / Merhdad were cleary the most visible to them, so it would be surprising in that regard.

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I'm going to attempt to explain why it was never viable for PCP to keep their stake with significant infrastructure investment.

 

PCP owned their 6% (after dilutions), however they borrowed the money from RB to purchase this at 7% annual interest, which has not been repaid.

 

Staveley had to borrow money from the club to pay for legal fees unrelated to NUFC, strongly indicating that that she has liquidity issues.

 

Below I have set out 2 scenario's, neither are entirely realistic as they don't include any additional investment transfers/wages.  However, they are illustrative enough.

 

PCP has probably just about managed to keep up with interest to RB with the increased valuation of the club based on organic growth (excluding the addition investment in the playing squad).  However, if a large infrastructure investment is made, their share will reduce significantly but the valuation of the club based on organic growth will likely continue as an absolute £ value.

 

This would mean that if the clubs value organically grew £50m in a year, PCP would recognise £2.85m profit at their 5.7% share.  However, if a £1bn infrastructure investment was made, they would only recognise £1.1m profit at an equity share of 2.2%.  However, the interest would continue to accrue at the same 7% per annum.

 

Assumptions:

  • Current NUFC valuation: £636m (source: Forbes)
  • PCP equity pre-disposal: 5.7% (source: widely reported)
  • Current value of loan from RB: £36m (this is understated, but it's more about direction of travel so it's sufficient for illustration)
  • Loan at 7% interest (source: PCP/Cantervale's Companies House filings)
  • £1bn infrastructure investment in Scenario B (roughly the cost of Spurs new stadium)
  • The club's value increases organically by £50m/year (current valuation of £636m, less £305m initial purchase value, less £206m additional cash injections = £125m increase in valuation before cash injections.  £125m/3 years of ownership = c.£42m/year.  Rounded up to £50m/year)
  • The valuation of the additional infrastructure remains constant at £1bn

Scenario A - No further investment.  Organic growth only

image.thumb.png.6ffca92a19c24868655530d05666a98b.png

 

Scenario B - £1bn infrastructure investment.  Organic growth of footballing operations

image.thumb.png.0a69c1200908a350278a12f217f24596.png

 

The longer they stay, the more precarious their position would become.

 

I've put this together in about 10 minutes and I'm currently too lazy on a Friday afternoon to check so apologies for any errors, but directionally should be sound.

 

 

 

 

Edited by Eveready

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4 minutes ago, Eveready said:

I'm going to attempt to explain why it was never viable for PCP to keep their stake with significant infrastructure investment.

 

PCP owned their 6% (after dilutions), however they borrowed the money from RB to purchase this at 7% annual interest, which has not been repaid.

 

Staveley had to borrow money from the club to pay for legal fees unrelated to NUFC, strongly indicating that that she has liquidity issues.

 

Below I have set out 2 scenario's, neither are entirely realistic as they don't include any additional investment transfers/wages.  However, they are illustrative enough.

 

PCP has probably just about managed to keep up with interest to RB with the increased valuation of the club based on organic growth (excluding the addition investment in the playing squad).  However, if a large infrastructure investment is made, their share will reduce significantly but the valuation of the club based on organic growth will likely continue as an absolute £ value.

 

This would mean that if the clubs value organically grew £50m in a year, PCP would recognise £2.85m profit at their 5.7% share.  However, if a £1bn infrastructure investment was made, they would only recognise £1.1m profit at an equity share of 2.2%.  However, the interest would continue to accrue at the same 7% per annum.

 

Assumptions:

  • Current NUFC valuation: £636m (source: Forbes)
  • PCP equity pre-disposal: 5.7% (source: widely reported)
  • Current value of loan from RB: £36m (this is understated, but it's more about direction of travel so it's sufficient for illustration)
  • Loan at 7% interest (source: PCP/Cantervale's Companies House filings)
  • £1bn infrastructure investment in Scenario B (roughly the cost of Spurs new stadium)
  • The club's value increases organically by £50m/year (current valuation of £636m, less £305m initial purchase value, less £206m additional cash injections = £125m increase in valuation before cash injections.  £125m/3 years of ownership = c.£42m/year.  Rounded up to £50m/year)
  • The valuation of the additional infrastructure remains constant at £1bn

Scenario A - No further investment.  Organic growth only

image.thumb.png.6ffca92a19c24868655530d05666a98b.png

 

Scenario B - £1bn infrastructure investment.  Organic growth of footballing operations

image.thumb.png.0a69c1200908a350278a12f217f24596.png

 

The longer they stay, the more precarious their position would become.

 

I've put this together in about 10 minutes and I'm currently too lazy on a Friday afternoon to check so apologies for any errors, but directionally should be sound.

 

 

 

 

 

 

I knew it !!

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6 minutes ago, Eveready said:

I'm going to attempt to explain why it was never viable for PCP to keep their stake with significant infrastructure investment.

 

PCP owned their 6% (after dilutions), however they borrowed the money from RB to purchase this at 7% annual interest, which has not been repaid.

 

Staveley had to borrow money from the club to pay for legal fees unrelated to NUFC, strongly indicating that that she has liquidity issues.

 

Below I have set out 2 scenario's, neither are entirely realistic as they don't include any additional investment transfers/wages.  However, they are illustrative enough.

 

PCP has probably just about managed to keep up with interest to RB with the increased valuation of the club based on organic growth (excluding the addition investment in the playing squad).  However, if a large infrastructure investment is made, their share will reduce significantly but the valuation of the club based on organic growth will likely continue as an absolute £ value.

 

This would mean that if the clubs value organically grew £50m in a year, PCP would recognise £2.85m profit at their 5.7% share.  However, if a £1bn infrastructure investment was made, they would only recognise £1.1m profit at an equity share of 2.2%.  However, the interest would continue to accrue at the same 7% per annum.

 

Assumptions:

  • Current NUFC valuation: £636m (source: Forbes)
  • PCP equity pre-disposal: 5.7% (source: widely reported)
  • Current value of loan from RB: £36m (this is understated, but it's more about direction of travel so it's sufficient for illustration)
  • Loan at 7% interest (source: PCP/Cantervale's Companies House filings)
  • £1bn infrastructure investment in Scenario B (roughly the cost of Spurs new stadium)
  • The club's value increases organically by £50m/year (current valuation of £636m, less £305m initial purchase value, less £206m additional cash injections = £125m increase in valuation before cash injections.  £125m/3 years of ownership = c.£42m/year.  Rounded up to £50m/year)
  • The valuation of the additional infrastructure remains constant at £1bn

Scenario A - No further investment.  Organic growth only

image.thumb.png.6ffca92a19c24868655530d05666a98b.png

 

Scenario B - £1bn infrastructure investment.  Organic growth of footballing operations

image.thumb.png.0a69c1200908a350278a12f217f24596.png

 

The longer they stay, the more precarious their position would become.

 

I've put this together in about 10 minutes and I'm currently too lazy on a Friday afternoon to check so apologies for any errors, but directionally should be sound.

 

 

 

 

 

Excellent summary thanks

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8 minutes ago, Eveready said:

I'm going to attempt to explain why it was never viable for PCP to keep their stake with significant infrastructure investment.

 

PCP owned their 6% (after dilutions), however they borrowed the money from RB to purchase this at 7% annual interest, which has not been repaid.

 

Staveley had to borrow money from the club to pay for legal fees unrelated to NUFC, strongly indicating that that she has liquidity issues.

 

Below I have set out 2 scenario's, neither are entirely realistic as they don't include any additional investment transfers/wages.  However, they are illustrative enough.

 

PCP has probably just about managed to keep up with interest to RB with the increased valuation of the club based on organic growth (excluding the addition investment in the playing squad).  However, if a large infrastructure investment is made, their share will reduce significantly but the valuation of the club based on organic growth will likely continue as an absolute £ value.

 

This would mean that if the clubs value organically grew £50m in a year, PCP would recognise £2.85m profit at their 5.7% share.  However, if a £1bn infrastructure investment was made, they would only recognise £1.1m profit at an equity share of 2.2%.  However, the interest would continue to accrue at the same 7% per annum.

 

Assumptions:

  • Current NUFC valuation: £636m (source: Forbes)
  • PCP equity pre-disposal: 5.7% (source: widely reported)
  • Current value of loan from RB: £36m (this is understated, but it's more about direction of travel so it's sufficient for illustration)
  • Loan at 7% interest (source: PCP/Cantervale's Companies House filings)
  • £1bn infrastructure investment in Scenario B (roughly the cost of Spurs new stadium)
  • The club's value increases organically by £50m/year (current valuation of £636m, less £305m initial purchase value, less £206m additional cash injections = £125m increase in valuation before cash injections.  £125m/3 years of ownership = c.£42m/year.  Rounded up to £50m/year)
  • The valuation of the additional infrastructure remains constant at £1bn

Scenario A - No further investment.  Organic growth only

image.thumb.png.6ffca92a19c24868655530d05666a98b.png

 

Scenario B - £1bn infrastructure investment.  Organic growth of footballing operations

image.thumb.png.0a69c1200908a350278a12f217f24596.png

 

The longer they stay, the more precarious their position would become.

 

I've put this together in about 10 minutes and I'm currently too lazy on a Friday afternoon to check so apologies for any errors, but directionally should be sound.

 

 

 

 

 

10 mins, kin ‘ell! 👏🏻👏🏻👏🏻

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I really don’t think there’s anything mysterious or underhand gone on here, her relationship with PIF will be strong as ever, by all accounts she helped them strike a deal with US PGA tour and has already helped them double their investment with us.

 

The announcement will come and it’ll acknowledge everything she has done for the club. It’s already established she can’t keep up with the investment required and though she had a rolling management contract, they’ll all be aware that to employ the level of people they have their role now becomes diminished.

 

The loss here is the connection they’ve established with community and the fact they’ve been the face of new ownership. The club undoubtedly felt in safe hands with them involved, however maybe they just think their work is now done, they’re London/Dubai based and they want to pursue over business opportunities possibly even working with PIF again.

 

 

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Hopefully it means a huge infrastructure investment incoming and like @Eveready has stated, thry simply couldn't keep up. 

 

She'll be canny put of this deal, and I hope she sticks around in some capacity. 

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55 minutes ago, Eveready said:

I'm going to attempt to explain why it was never viable for PCP to keep their stake with significant infrastructure investment.

 

PCP owned their 6% (after dilutions), however they borrowed the money from RB to purchase this at 7% annual interest, which has not been repaid.

 

Staveley had to borrow money from the club to pay for legal fees unrelated to NUFC, strongly indicating that that she has liquidity issues.

 

Below I have set out 2 scenario's, neither are entirely realistic as they don't include any additional investment transfers/wages.  However, they are illustrative enough.

 

PCP has probably just about managed to keep up with interest to RB with the increased valuation of the club based on organic growth (excluding the addition investment in the playing squad).  However, if a large infrastructure investment is made, their share will reduce significantly but the valuation of the club based on organic growth will likely continue as an absolute £ value.

 

This would mean that if the clubs value organically grew £50m in a year, PCP would recognise £2.85m profit at their 5.7% share.  However, if a £1bn infrastructure investment was made, they would only recognise £1.1m profit at an equity share of 2.2%.  However, the interest would continue to accrue at the same 7% per annum.

 

Assumptions:

  • Current NUFC valuation: £636m (source: Forbes)
  • PCP equity pre-disposal: 5.7% (source: widely reported)
  • Current value of loan from RB: £36m (this is understated, but it's more about direction of travel so it's sufficient for illustration)
  • Loan at 7% interest (source: PCP/Cantervale's Companies House filings)
  • £1bn infrastructure investment in Scenario B (roughly the cost of Spurs new stadium)
  • The club's value increases organically by £50m/year (current valuation of £636m, less £305m initial purchase value, less £206m additional cash injections = £125m increase in valuation before cash injections.  £125m/3 years of ownership = c.£42m/year.  Rounded up to £50m/year)
  • The valuation of the additional infrastructure remains constant at £1bn

Scenario A - No further investment.  Organic growth only

image.thumb.png.6ffca92a19c24868655530d05666a98b.png

 

Scenario B - £1bn infrastructure investment.  Organic growth of footballing operations

image.thumb.png.0a69c1200908a350278a12f217f24596.png

 

The longer they stay, the more precarious their position would become.

 

I've put this together in about 10 minutes and I'm currently too lazy on a Friday afternoon to check so apologies for any errors, but directionally should be sound.

 

 

 

 

 

 

That's all well and good but rutland said things were suspicious so I don't know what to believe now

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1 hour ago, McDog said:

That's quite the post @Eveready. Nice work.

I’m also gonna say nice work even though I have no fucking clue if it’s right or how to check it’s figures lol

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1 hour ago, PauloGeordio said:

10 mins, kin ‘ell! 👏🏻👏🏻👏🏻

And he’ll have typed it on the way to the plane to Rwanda.

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2 hours ago, Eveready said:

I'm going to attempt to explain why it was never viable for PCP to keep their stake with significant infrastructure investment.

 

PCP owned their 6% (after dilutions), however they borrowed the money from RB to purchase this at 7% annual interest, which has not been repaid.

 

Staveley had to borrow money from the club to pay for legal fees unrelated to NUFC, strongly indicating that that she has liquidity issues.

 

Below I have set out 2 scenario's, neither are entirely realistic as they don't include any additional investment transfers/wages.  However, they are illustrative enough.

 

PCP has probably just about managed to keep up with interest to RB with the increased valuation of the club based on organic growth (excluding the addition investment in the playing squad).  However, if a large infrastructure investment is made, their share will reduce significantly but the valuation of the club based on organic growth will likely continue as an absolute £ value.

 

This would mean that if the clubs value organically grew £50m in a year, PCP would recognise £2.85m profit at their 5.7% share.  However, if a £1bn infrastructure investment was made, they would only recognise £1.1m profit at an equity share of 2.2%.  However, the interest would continue to accrue at the same 7% per annum.

 

Assumptions:

  • Current NUFC valuation: £636m (source: Forbes)
  • PCP equity pre-disposal: 5.7% (source: widely reported)
  • Current value of loan from RB: £36m (this is understated, but it's more about direction of travel so it's sufficient for illustration)
  • Loan at 7% interest (source: PCP/Cantervale's Companies House filings)
  • £1bn infrastructure investment in Scenario B (roughly the cost of Spurs new stadium)
  • The club's value increases organically by £50m/year (current valuation of £636m, less £305m initial purchase value, less £206m additional cash injections = £125m increase in valuation before cash injections.  £125m/3 years of ownership = c.£42m/year.  Rounded up to £50m/year)
  • The valuation of the additional infrastructure remains constant at £1bn

Scenario A - No further investment.  Organic growth only

image.thumb.png.6ffca92a19c24868655530d05666a98b.png

 

Scenario B - £1bn infrastructure investment.  Organic growth of footballing operations

image.thumb.png.0a69c1200908a350278a12f217f24596.png

 

The longer they stay, the more precarious their position would become.

 

I've put this together in about 10 minutes and I'm currently too lazy on a Friday afternoon to check so apologies for any errors, but directionally should be sound.

 

 

 

 

 

 

You should be on the plane to Rwanda!!!11!1

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Amanda Staveley, Chief Executive Officer of PCP Capital Partners, said: "Newcastle United is such a special, unique club and being a co-owner of Newcastle United has been an honour.

"Mehrdad and I have loved being part of this club and community and are extremely proud of the progress Newcastle United has made in recent years.

"Our ambition has always been aligned to the brilliant fans of this club - to create consistently successful teams that regularly compete for major trophies and generate pride across the globe.

"We are grateful to have played our part in setting up the club for even more future success. We will remain fans for life."

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Just now, gbandit said:

Sounds cut and dry that they’ll have zero involvement going forwards in any capacity

Good to get that clarity. It is a shame that they won’t be involved but it definitely feels like things are going to be moving up a notch in terms of ambition. 

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