Significant investment by FPP has been made

[CornedBeef]

@Grumpy Old Man Does it look like this, or is it real investment? Please dumb your answer down, as I really don’t understand the financial side of all this!

This. Thanks

 

[Chucky Puddin]

So apparently SD, CM and JS have paid a significant amount back into the club what they owe, then within a few days FFP invest an 8 figure sum into Madrox, wonder if that was the hold up

 

[CornedBeef]

Sounds like good new. I take it @Grumpy Old Man hasn’t put it all into layman’s terms for us yet?

Correct. It's a different language I don't get tbh.

 

[Grumpy Old Man]

Question for @Grumpy Old Man if he has time.... If this is a loan will it automatically appear on companies house with a list of what it's secured against?

If it's a secured loan, yes. To date, there are no such entries in any of Madrox, Sunderland or SAFC.

 

[Dilligaf60]

Hey Norman I’ll have one for you !

That’s jolly decent of you. Well played. Enjoy.

 

[Dilligaf60]

But we’re not signing Messi anymore aye?

He’s past it mate.

 

[Father Jack Hackett]

They're involved now, that's the main thing

 

[CornedBeef]

Something very complicated is going on. You need to look at all the other filings today. This is nothing less than a complete restructuring of the company's capital base. The detailed files aren't yet available, but it looks like I'm going to be spending a lot of time in a darkened room with a towel over my head trying to make sense of it all. Sorry, @Ghandi Floss , I might have to pinch your space at the next liaison meeting.

We need your sage knowledge! I'll deffo get you a few beers for the help you've put into the club this year. You make it understandable for us non finance folks!

 

[CornedBeef]

I am not so sure about that. The rumours a couple of weeks ago were about a secured loan - which had me wondering what it was secured against.

Methven's statement says

"Our agreement is confidential and I wouldn’t want to speak for the investors on that [long-term plan], but obviously this is a very large sum of money for an investment outside the Premier League and will enable the club to have strategic certainty for the next couple of years"

Which basically tells us nothing and unfortunately is just going to lead to more rumours and conjecture.

How exciting!

 

[Far Tibetan Mountain]

Not reading all this. Who’s not happy and why?

Not unhappy mate, but they're reporting that MSD have put forward a significant investment without actually buying any shares. So if they're not buying a portion of the club, what is their consideration for putting in a significant sum of money.

Now if Don has managed to persuade them to give the club significant sums of money for absolutely no return then he has played a blinder, but I doubt that has happened.

I suspect that the echo just dont have a clue what is going on and fucked up their article tbh.

 

[smoker]

'Eight figures': so that's about 10 million quid. We're going to piss the league now

 

[PTR]

If American investors are not taking shares for investment. Is this just a loan against stadium and academy as collateral ? Seems a bit murky

Hands they bought shares in the company that owns safc, rather than in safc itself?

 

[elder]

Iirc somebody posted where SD mentioned it as a takeover

yep, that was me. it's in an article from the chronicle just after Ross was sacked with quotes from SD:

He said: "There's no connection to any takeover news..."

You must be logged on to see external links

 

[West_Winger]

Far better prospect imho. And will achieve much more in the game. i will have a tear in my eye when he leaves for Real Madrid after they have paid 1.5 billion pounds for him.

He’ll fancy a new challenge after our 5th consecutive Champions League.

 

[darius]

If it's a secured loan, yes. To date, there are no such entries in any of Madrox, Sunderland or SAFC.

If they haven't taken a share, can it be anything but a loan???

 

[Linus]

This feels anticlimactic for some reason

If you've bought into the wild hysteria and nonsense created mainly on this forum, then I suppose it is.
If you look at it as an initial investment from 3 billionaires with a view to longer term plans, then it is nothing but very good news

 

[Mary Hinge]

Donald needs to walk the walk here then not just talk the talk. My view is that he would be best appointing better people than himself to make decisions.

Send him ya business plan and CV....

 

[Dilligaf60]

He’ll fancy a new challenge after our 5th consecutive Champions League.

You can understand why he’d see an inferior, smaller club as a challenge. The 2 million a week wages won’t come in wrong either.

 

[Deleted member 15970]

i'm no expert so this might sound daft but why are they sticking money in without taking any shareholding?

what do they gain from doing that

@Grumpy Old Man is it possible for FPP to be paying out on a future option on buying shares at a fixed, cost?

 

[Far Tibetan Mountain]

Hands they bought shares in the company that owns safc, rather than in safc itself?

The only shareholders listed in Maddox currently are Dragon PR and SD.