Jump to content


Photo
- - - - -

Venky's Financial Arrangements


  • Please log in to reply
142 replies to this topic

#21 47er

47er

    World Cup

  • Members
  • PipPipPipPipPipPip
  • 7519 posts

Posted 04 May 2012 - 09:05 AM

Surely good news for us, as its now secured against them, rather than just a sub company which is effectively Rovers only?

Is this not glimmer of hope they plan to make a success of it?


:rolleyes:

VENKYS, WHAT IS THE PLAN?


Paul knows--I'm waiting for him to tell me on another thread.

#22 True Blue & White

True Blue & White

    Uefa Europa League

  • Members
  • PipPipPipPipPip
  • 1726 posts

Posted 04 May 2012 - 09:07 AM

So basically they've robbed Kaunteya to pay Paul....
If Rovers are Venky's 'baby' then Balaji, Venkatesh and Mrs Desai must be our Steven Barker, Jason Owen and Tracey Connelly.

#23 Randy_Synge

Randy_Synge

    Premier League

  • Members
  • PipPipPipPip
  • 525 posts

Posted 04 May 2012 - 09:44 AM

I hope everyone has a calm weekend, relaxing the vocal cords ahead of Monday night. Shabby Singh, Vinny Rao, Indian Banks... my God, when will this nightmare end?

#24 rovers11

rovers11

    Champions League

  • Members
  • PipPipPipPipPip
  • 2142 posts

Posted 04 May 2012 - 10:22 AM

I wouldn't read too much into the story. Barclays don't trust Venky's hence they played hard ball with them. Our bank loan was due to be paid off in June but has obviously been paid off early with the samba money so that Venky's can move banks. No other UK bank would touch Venky's so they have moved to an Indian bank.

This was always going to happen so don't read too much into it.

#25 philipl

philipl

    World Cup

  • Members
  • PipPipPipPipPipPip
  • 27455 posts
  • Location:Malta

Posted 04 May 2012 - 10:22 AM

As of 5 minutes ago, the following facts were definitively true:

- the Barclays mortgages over the club's income and assets remain in place

- no new mortgages favouring the State Bank of India are registered against the club

- the Sky payment for the second half of the season is not due until the end of this month

- right now is the time of greatest cash stress on all clubs as the April wages have gone out and income is still awaited. Even if 5,000 Early Bird ST deals were sold, that only nets 25% of one month's wage bill.

- interest rates in India are 7.5% higher than in the UK


It almost certainly is the case that Venky's wish to rebank Rovers. To report the rebanking as factually having happened is yet another lie.

#26 roverandout

roverandout

    Champions League

  • Members
  • PipPipPipPipPip
  • 4567 posts
  • Location:rishton


Posted 04 May 2012 - 10:38 AM

couldnt give feck, want them out, everything else is just ######

#27 Mercerman

Mercerman

    World Cup

  • Members
  • PipPipPipPipPipPip
  • 5868 posts
  • Location:Red Rose County



  • ST Block: Driven out by Venky's / Kean

Posted 04 May 2012 - 10:50 AM

Why would that be, I'm sure we are capable of understanding them when clearly presented and argued? Just as many have enjoyed and been enlightened by Philip's annual analysis of the club accounts.


Firstly, Philip's recent company searches suggest it may all be academic.

Secondly, it all depends upon how the lending has been structured and secured. As I've already said, potential practical difficulties and complexities cannot be underestimated. For example, and the tip of the iceberg, a big difference between insolvency law in different countries can lead to complex ‘conflict of laws’ situations arising in the event of administration / liquidation where the control and/or assets in more than one country are involved. Feck knows why anyone would want to read, let alone try to understand, any of this on a football MB !

Edited by Mercerman, 04 May 2012 - 14:19 PM.


#28 Paul

Paul

    World Cup

  • Members
  • PipPipPipPipPipPip
  • 14976 posts

Posted 04 May 2012 - 11:02 AM

Can't be much of a senior figure if he hasn't worked out what the plan is. It's been debated on here for months. Let me explain:

Slash the player wage bill
Reduce non playing staff and costs
Free up cash to reduced debt by selling key players
Reduce interest charges - see above
Avoid compensation payments by retaining the manager
Ensure new contracts are avoided - eg Salgado
Minimise unnecessary expenditure e.g. no ST brochure

Now I'm not supporting the above, I don't say it's good or right but it is clearly the plan. It also works whether we are relegated or not because it provides for three possibilities:

Relegation and much necessary cost cutting in place

Next season PL football with the supposed deadwood cleared out to allow Kean to rebuild

Or, quite likely in my view, to reduce or eliminate the need for "investment" in Rovers thus minimising the Raos financial exposure

It's been going on for months, accelerated in the New Year and we may not like it but it is the plan which covers every possibility.



Paul knows--I'm waiting for him to tell me on another thread.



There you go

Edited by Paul, 04 May 2012 - 11:02 AM.

Taking a break for a while..................................................... 


#29 Kamy100

Kamy100

    Champions League

  • Members
  • PipPipPipPipPip
  • 2453 posts

Posted 04 May 2012 - 11:03 AM

Quick Update: The media report about debt being cleared is incorrect. The debt has been reduced and Venky's looking to clear it June.

I persume that the second part of the Jones transfer cash will be used to clear it.

#30 AggyBlue

AggyBlue

    World Cup

  • Members
  • PipPipPipPipPipPip
  • 5245 posts

Posted 04 May 2012 - 11:08 AM

Quick Update: The media report about debt being cleared is incorrect. The debt has been reduced and Venky's looking to clear it June.

I persume that the second part of the Jones transfer cash will be used to clear it.


Or the firesale

Posted Image


#31 47er

47er

    World Cup

  • Members
  • PipPipPipPipPipPip
  • 7519 posts

Posted 04 May 2012 - 11:30 AM

There you go


Ta---I agree it makes sense--from their point of view of course!

#32 Amo

Amo

    World Cup

  • Members
  • PipPipPipPipPipPip
  • 14649 posts
  • Location:Hampshire

Posted 04 May 2012 - 11:53 AM

Surely the novelty has to wear off sooner or later (if not already?). I don't see what they're getting out of running a football club, as they've clearly realized they're out of their depth. You'd think (read: hope) they'd be looking at a quick sale.
The artist formerly known as Topman

#33 yoda

yoda

    World Cup

  • Members
  • PipPipPipPipPipPip
  • 8111 posts

Posted 04 May 2012 - 11:59 AM

Surely the novelty has to wear off sooner or later (if not already?). I don't see what they're getting out of running a football club, as they've clearly realized they're out of their depth. You'd think (read: hope) they'd be looking at a quick sale.



They want a profitable sale

And one day, when the full story of Steve Kean's managerial reign and the agent Jerome Anderson's involvement at Ewood Park is told, as it must be,

Blackburn supporters will be owed many an apology,                                                R.I.P                 Ruined In Pune

Official member of TPOD (The Posse of Doom)

http://www.sextantpr...tail,pid=53700#


#34 Hughesy

Hughesy

    World Cup

  • Members
  • PipPipPipPipPipPip
  • 21891 posts

Posted 04 May 2012 - 12:01 PM

Quick Update: The media report about debt being cleared is incorrect. The debt has been reduced and Venky's looking to clear it June.

I persume that the second part of the Jones transfer cash will be used to clear it.

So now your saying debt free?? Not simply moved to an Indian bank??

They want a profitable sale

They dont want any sale...
The best way to predict your future is to create it!!

#35 True Blue & White

True Blue & White

    Uefa Europa League

  • Members
  • PipPipPipPipPip
  • 1726 posts

Posted 04 May 2012 - 12:37 PM

- interest rates in India are 7.5% higher than in the UK


I presume you mean percentage points rather than percentage as that would be negligible.
If Rovers are Venky's 'baby' then Balaji, Venkatesh and Mrs Desai must be our Steven Barker, Jason Owen and Tracey Connelly.

#36 47er

47er

    World Cup

  • Members
  • PipPipPipPipPipPip
  • 7519 posts

Posted 04 May 2012 - 12:43 PM

- interest rates in India are 7.5% higher than in the UK


I've pointed out that the Indian bank rate is 8% several times and does anyone take any notice? Overdraft rates will be higher than that and who'll pay? Hughesy and the Renewers that's who!

#37 Kamy100

Kamy100

    Champions League

  • Members
  • PipPipPipPipPip
  • 2453 posts

Posted 04 May 2012 - 13:03 PM

So now your saying debt free?? Not simply moved to an Indian bank??


They dont want any sale...

Nope not saying that, they could use Jones transfer cash to clear the Barclays debt or use money from Indian bank. Even if they used money from Jones transfer to clear the Barclays debt, there is nothing stopping them from using the agreed overdraft from the Indian bank to finance the club, hence still in debt. The key questions are how they clear the remaining Barclays debt and against what is the loan/overdraft agreement with Indian secured against. The Mumbai stockbroker has suggested that it would be usual for it to be secured against Venky's India assets but this has not been confirmed.

#38 Bryan

Bryan

    Ewok

  • Members
  • PipPipPipPipPipPip
  • 13247 posts
  • Location:East Kent

Posted 04 May 2012 - 13:51 PM

It would be a strange move to make if they were desperate to dispose of the club. Presumably they'd be happy enough to tolerate Barclays for a bit longer while they found a bidder.

Seems like a lot of trouble to be going to for an asset they want rid of. And if interest rates are more punitive in India, where is the sense in it, if they're keen to run us on the tick?

It's really not making any sense whatsoever, and you have to suspect that something is not quite right about this arrangement.
Sir! With respect, you can stick the money up your #### that's all I can offer you sir.

#39 Kamy100

Kamy100

    Champions League

  • Members
  • PipPipPipPipPip
  • 2453 posts

Posted 04 May 2012 - 14:15 PM

It would be a strange move to make if they were desperate to dispose of the club. Presumably they'd be happy enough to tolerate Barclays for a bit longer while they found a bidder.

Seems like a lot of trouble to be going to for an asset they want rid of. And if interest rates are more punitive in India, where is the sense in it, if they're keen to run us on the tick?

It's really not making any sense whatsoever, and you have to suspect that something is not quite right about this arrangement.

Or maybe they for almost the first time being truthful when they say that they are not looking to sell.

#40 The Gull

The Gull

    Premier League

  • Members
  • PipPipPipPip
  • 853 posts

Posted 04 May 2012 - 14:36 PM

Or all the income, transfer fees and PL money, is being directed to their Indian bank l;eaving the club broke and on the bare bones of it's backside when it comes to the day to day running.

This could lead to the club going in to administration in the UK but they would already have got back more in income than they had paid for the club and will quite happily give the club away. This fits in with trying to get season ticket money in early, the Jones money, the last installment of PL money all before the summer. After that the club wuill unravel and after a few months of not paying bills, and a few months more after HMRC doesn't get paid the club will go under.

They will only sell at this point as they can continue to profit from PL money, transfer fees etc until the club is insolvent and then cut and run.
Have you heard the one about the dislexic alcoholic?

He choked on his own Vimto!




3 user(s) are reading this topic

0 members, 3 guests, 0 anonymous users