Confirmed Signing Tyler Dibling

Status
Not open for further replies.
If i'm Southampton though, I think I favor the sell on over the immediate funds. For starters they have limited time to reallocate that return this window. Second they lose Dibling the possibility they stay in the championship is raised, thus the assurance in future money in future windows maybe more beneficial as the EPL balloon payments may not be coming in. But most importantly they clearly think he has potential to be an 100 million dollar transfer. Id say the margins are close considering the risk but the difference of 10 million in immediate return to say the upside of a 20 percent sell on in a future 100 million dollar transfer? Thats 20 million oppose to 10 million straight up. If it falls to a median future sale, they likely make what they were going to get anyway.

It depends on the numbers, but the up front removes risk and obviously limits upside as you say. But the up front also provides certainty in terms of the timeline of payment and booking on the P&L (now). He could be with Everton for four years, he could be with Everton forever...

The up front also allows them to leverage that extra 5x (amortization) either this window or in January, or any window until Dibling was sold again.

Yes the sell on may provide a higher ceiling, but there's also an opportunity cost to that.
 

2 years left on his contract basically means Southampton kinda need to sell this summer, as they won't get anywhere near 40m next summer....although they could weigh up that keeping him makes promotion more likely, and PL money will more than make up for loss in his transfer value
 

Makes sense though right? Try to get back up and hopefully it won’t be as big a disaster the next time. These players will still have value next summer if they can’t bounce back.
Their leverage will go down if they don't come straight back up. And without the extra money that comes from playing in the premier league, they'll likely regret not taking the 80mil or whatever they could now for two players to have it reinvested. It's a calculated bet on their part, but it's not without downside.
 
2 years left on his contract basically means Southampton kinda need to sell this summer, as they won't get anywhere near 40m next summer....although they could weigh up that keeping him makes promotion more likely, and PL money will more than make up for loss in his transfer value
Don’t agree with that, he could have a storming first half of the season and they could be demanding even more at Christmas.
 
Their leverage will go down if they don't come straight back up. And without the extra money that comes from playing in the premier league, they'll likely regret not taking the 80mil or whatever they could now for two players to have it reinvested. It's a calculated bet on their part, but it's not without downside.
Oh yes big gamble, but I can see why they’d try it.
 

I dont disagree that construction is a bit more in their favor. But it just comes to how good of a prospect you think he is because that becomes the rationale for the upfront amount in correlation to a possible future return.

Like I said if we don't think he can somewhat likely hit James Maddison level high point evaluation at Leicester with somewhat decent assurance, Id argue 40 million now is too high. If we don't think he can surpass 75 million with that same confidence, 50 million now should be off the table. That said that seems to be the number Southampton is holding out for removed of sell on's, if not including them.

Point is make it make sense. Just trying to conceive how a deal is feasible.
A deal won't be possible if they want 50m + 20% add on. It's not realistic. They've also effectively announced their intention to sell by their rhetoric and actions, but have still not moved in their position.

Either they've thrown it out as a 'top good to turn down' price, they think someone is going to pay what they want (I'm not sure who will realistically go for those terms) or they are pricing him (and themselves) out of a move.
 

Status
Not open for further replies.

Welcome

Join Grand Old Team to get involved in the Everton discussion. Signing up is quick, easy, and completely free.

Shop

Back
Top