Club value Question

[Toffee mints]

I've asked this a number of times since the weekend and nobody has known the answer, hopefully someone can let us know......

If the asking price for arguments sake of £125m was met and offered by someone, would they be buying the club outright and Kenwright & co settle the debts out of the asking price or would someone simply be buying a number of shares that gives them control and the debt is still there ?

Thanks in advance.

 

[mikewex]

Because its a somewhat pointless question requiring information that no-one has other then the owners of the club, their advisers, and anyone who has entered sufficient detailed negotiations with them. The "asking price" is what someone is looking for in return for something. If that something is "all the assets of the club less the liabilities" then there is your answer. If its for the assets only, there is a different answer. If it includes taking over the debenture but not the Vibrac loan etc etc. And even then it only matters if you know what the actual figure is, a specific figure of £125m doesn't seem to have any more relevance than any other figure between somewhere around £60m and £150m, so it doesn't really help.

If you by chance happened to have tripped over a specific figure actually being used, I would assume it was the value of the assets only and would either then reduced by the cost of the debt, or the debt would not be passed across. But that would be a complete guess.

 

[pfim]

Depends on how it is being reported, but my guess would be:

http://en.wikipedia.org/wiki/Enterprise_value

 

[squonk]

They would inherit the debt.

 

[Chang Elephant]

They would inherit the debt.

But not the stupidity

 

[Moomin]

We are worth two fiddy.

 

[ART]

We will be worth about 35mill before the start of next week, but sadly two players short.

 

[teameverton]

But not the stupidity

The stupidity would be to sell the club to the first person with the money. I believe Kenwright has Everton's best interest and will only sell to someone who has the financial backing to take us forward.

 

[royalblue66]

Oh dear.

 

[noharmdone]

We do know the valuation though..
Collymore did a radio show about it.

 

[Chang Elephant]

I believe Kenwright has Everton's best interest and will only sell to someone who has the financial backing to take us forward.

I totally concur

 

[The Esk]

The purchase price of the Club is only relevant to its owners, the shareholders. The purchase price per se, would not alter the financial position of the club. The financial position would only be improved by an injection of capital by the new owners over and above the purchase price.

 

[WA Toffee]

I've asked this a number of times since the weekend and nobody has known the answer, hopefully someone can let us know......

If the asking price for arguments sake of £125m was met and offered by someone, would they be buying the club outright and Kenwright & co settle the debts out of the asking price or would someone simply be buying a number of shares that gives them control and the debt is still there ?

Thanks in advance.

I would imagine it would be buying the club in its entirety - including both assets and debts.
Although given that we have several different major shareholders and quite a few fans who hold one share, I'm not sure of the logistics of buying the club - would single shareholders be expected to hand over their shares?

 

[IllinoisBlue]

I can't see anyone buying this club until we have a modern ground and I can't see us getting a modern ground until someone with money buys the club.:blink:

 

[barkleys splinter]

I can't see anyone buying this club until we have a modern ground and I can't see us getting a modern ground until someone with money buys the club.:blink:

Goodison could be a more modern ground. But again without money it's not going to be.