they'll get the refinance easy. high interest rate, if they default the bank can easy sell the club for what they originally borrowed - easy win for a bank that doesn't give a fuck about anything but making money. last time i looked this sort of bank wasn't hard to find.
El Nino wants new owners
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[quote author=ragehard link=topic=41721.msg1168880#msg1168880 date=1283376652]
they'll get the refinance easy. high interest rate, if they default the bank can easy sell the club for what they originally borrowed - easy win for a bank that doesn't give a fuck about anything but making money. last time i looked this sort of bank wasn't hard to find.
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Exactly.
LFC have a very very bright future there are some immense plans for the future that would make the "big 5" very lucrative prospects
they'll get the refinance easy. high interest rate, if they default the bank can easy sell the club for what they originally borrowed - easy win for a bank that doesn't give a fuck about anything but making money. last time i looked this sort of bank wasn't hard to find.
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Exactly.
LFC have a very very bright future there are some immense plans for the future that would make the "big 5" very lucrative prospects
[quote author=Avmenon link=topic=41721.msg1168901#msg1168901 date=1283379529]
How exactly do you figure we have a very very bright future?
What I don't get is why, if we can't attract a buyer at 400 million we think we can attract a buyer at 800 million.
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In the current climate the club is best bought in a cash deal where shares are issued in order to add equity into the club. Unfortunately there aren't that many cash rich buyers out there who could do a deal this size and be prepared to wait for r.o.i there are much better deals out tyre for returns in the short term than Lfc. However in the long run we are looking at much more profitability through Asia
Besides the most likely scenario is actually RBS extending the deadlines for repayment.
How exactly do you figure we have a very very bright future?
What I don't get is why, if we can't attract a buyer at 400 million we think we can attract a buyer at 800 million.
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In the current climate the club is best bought in a cash deal where shares are issued in order to add equity into the club. Unfortunately there aren't that many cash rich buyers out there who could do a deal this size and be prepared to wait for r.o.i there are much better deals out tyre for returns in the short term than Lfc. However in the long run we are looking at much more profitability through Asia
Besides the most likely scenario is actually RBS extending the deadlines for repayment.
It's very possible the loans will be extended and get re-financed.
BUt the idea that we have a very bright future in the 'long term' due to 'profitability through Asia' even though by that time we could have a debt level approaching a billion pounds (assuming the banks keep re-financing until then) sounds a bit unlikely.
I can't help but think that we're a bit like the American property market; ever increasing loans using home equity as an ever diminishing asset as collateral until the bottom falls out and the bank forecloses on an asset worth a pittance of the debt and the owner gets kicked out onto the street.
BUt the idea that we have a very bright future in the 'long term' due to 'profitability through Asia' even though by that time we could have a debt level approaching a billion pounds (assuming the banks keep re-financing until then) sounds a bit unlikely.
I can't help but think that we're a bit like the American property market; ever increasing loans using home equity as an ever diminishing asset as collateral until the bottom falls out and the bank forecloses on an asset worth a pittance of the debt and the owner gets kicked out onto the street.
Along with El Nino I'm sure we all want new owners, sadly I can't see how revenue can be raised to the extent that we can continue our current business model.
Seriously how do you make up a 50m+ per year shortfall before you even think of entering the transfer market or building a new stadium?
I think administration is a distinct possibility. Why would a bank want to run a football club if potential investors from all over the world won't touch it?
Seriously how do you make up a 50m+ per year shortfall before you even think of entering the transfer market or building a new stadium?
I think administration is a distinct possibility. Why would a bank want to run a football club if potential investors from all over the world won't touch it?
[quote author=jexykrodic link=topic=41721.msg1168945#msg1168945 date=1283411135]
Along with El Nino I'm sure we all want new owners, sadly I can't see how revenue can be raised to the extent that we can continue our current business model.
Seriously how do you make up a 50m+ per year shortfall before you even think of entering the transfer market or building a new stadium?
I think administration is a distinct possibility. Why would a bank want to run a football club if potential investors from all over the world won't touch it?
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It is, but administration will guarantee the bank makes practically nothing from the loan.
Re-financing or a sale is far more preferable, even if at this stage the latter seems unlikely 🙁
Along with El Nino I'm sure we all want new owners, sadly I can't see how revenue can be raised to the extent that we can continue our current business model.
Seriously how do you make up a 50m+ per year shortfall before you even think of entering the transfer market or building a new stadium?
I think administration is a distinct possibility. Why would a bank want to run a football club if potential investors from all over the world won't touch it?
[/quote]
It is, but administration will guarantee the bank makes practically nothing from the loan.
Re-financing or a sale is far more preferable, even if at this stage the latter seems unlikely 🙁
I've said this before and I'll say it again. In the current climate banks are first and foremost interested in getting they money they have loaned back. LFC will always be worth at least £238M, in or out of administration.
[quote author=Jack D Rips link=topic=41721.msg1168953#msg1168953 date=1283413720]
I've said this before and I'll say it again. In the current climate banks are first and foremost interested in getting they money they have loaned back. LFC will always be worth at least £238M, in or out of administration.
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Only if you liquidate the asset. All they have at present is an unpaid loan isn't it?
I've said this before and I'll say it again. In the current climate banks are first and foremost interested in getting they money they have loaned back. LFC will always be worth at least £238M, in or out of administration.
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Only if you liquidate the asset. All they have at present is an unpaid loan isn't it?
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