Relegation - It happens

[cricketfieldclarets]

Can't quite believe this. But apparently, there was a lack of knowledge of relegation, parachute payments and no automatic reinstatement to this level. This is very much what Rovers board thought all those years ago. But do overseas investors really not realise this when doing due diligence? I thought this was just a rumour about the venkys at the time but seemingly true!

[bobinho]

Not having it. Not a chance is this remotely true. No way.

[Claretforever]

I see their allotted share capital is now being reported as £197m.

[ksrclaret]

I don’t believe that these guys didn’t know relegation happens. Not for a minute.

But they had just better hope that it never happens, because it will have such a devastating impact on our club now with the amount of debt and interest they’ve saddled us with.

[Denno97]

Pretty sure the owners said they originally were looking for clubs in the championship? That would imply they definitely know relegation/promotion is a thing

[bf2k]

They were being advised by Shebby Singh (no idea if that's how you spell his name). The guy was a wanna-be-playboy and thought he was the Alex Ferguson of Indian football. It was quite clear they had no idea how football worked in this country. They did state they were going to sign Ronaldinho for god sake

I can whole heartedly believe they didn't know they could get relegated.

[gandhisflipflop]

I don’t believe that these guys didn’t know relegation happens. Not for a minute.

But they had just better hope that it never happens, because it will have such a devastating impact on our club now with the amount of debt and interest they’ve saddled us with.

eh?

[ksrclaret]

eh?

Oh yeah sorry my bad. Thought this was a thread about our new owners.

[gandhisflipflop]

where have you heard this? This has to be bullsh!t. Not questioning what you have seen/heard, just the legitimacy

[wilks_bfc]

where have you heard this? This has to be bullsh!t. Not questioning what you have seen/heard, just the legitimacy

It was going around at the time that they had said they weren’t aware you could be relegated from the Premier league

[gandhisflipflop]

Sorry misread it. Yes Venkys wasn't aware about relegation. Thankfully our owners appear to be more switched on.

[Chester Perry]

I see their allotted share capital is now being reported as £197m.

a common misconception that share capital is debt - it is not - for the club this input is:
- good in the sense it doesn't load debt on the club and may or may not be returned to the owners upon a future sale of the club;
- bad in the sense that the club is getting used to living beyond it's means, though a promotion would change all that