ALK Capital or Farnell/Elkashashy takeover

[elwaclaret]

We can adopt the Green Bay model by simply becoming the best team in the world.

It was a long road… there is a very good documentary (sorry cannot remember the title) that deals with the Green Bay transformation in detail. They had some very rocky years before it turned and fans started seeing the transformation was bringing results for both the club and town.

[taio]

I wonder if Pace would be interested in getting over 500,000 community shareholders of the club and that any future profits are exclusively reinvested into the club.

[elwaclaret]

I wonder if Pace would be interested in getting over 500,000 community shareholders of the club and that any future profits are exclusively reinvested into the club.

Who knows, would not surprise me at all if JJ sees it as a long term option… has Alan Pace (or anyone else) suggested they want to do anything but draw (very good) wages for doing a very good job?

[Rileybobs]

A small town struggling to make its way in the economic environment… wealth leaving to take higher paid work (brain drain); their major draw to the town obsolete; Green Bay the fishing (Burnley that it rains a lot for wool,then cotton.. bringing heavy engineering with them)… unfashionable and predominantly working class…

If Burnley can tap into the model Green Bay Packers adopted they do not have to be global leaders; hitting mid table with an outside shot at the wealth of European competition opens up more international support… the snow ball effect that Green Bay perfected. Very few would go to Green Bay now for any other reason than to visit the stadium… yet the whole town has bought into them and is doing very well…

Sorry, I really don't see how the two situations are remotely similar.

[taio]

Who knows, would not surprise me at all if JJ sees it as a long term option… has Alan Pace (or anyone else) suggested they want to do anything but draw (very good) wages for doing a very good job?

It would surprise me a lot. Or has there been any suggestions anywhere that this could be considered? If not, any comparison with Green Bay Packers is pie in the sky and into the realms of pure fantasy.

[elwaclaret]

Sorry, I really don't see how the two situations are remotely similar.

Ok, not sure why, but ok.

[elwaclaret]

It would surprise me a lot. Or has there been any suggestions anywhere that this could be considered? If not, any comparison with Green Bay Packers is pie in the sky and into the realms of pure fantasy.

Except it has been mentioned as a model by either JJ or AP on more than one occasion.

[taio]

Except it has been mentioned as a model by either JJ or AP on more than one occasion.

Sorry, I hadn't realised that they've indicated our club could follow the Green Bay Packers ownership model. Please can you provide a link to what was said because I'd be interested reading it?

[RicardoMontalban]

Ok, not sure why, but ok.

There’s some superficial similarities between the two towns, sure. But from a sporting landscape perspective the two can’t really be compared. The finite, closed shop nature of the NFL can’t be compared to what we have here in our world.

The blue collar narrative of Green Bay can be overstated. Why not the Cleveland Browns, other than the fact they’re absolute garbage? Yes, they may not be as fabulously wealthy as some of the metropolitan teams, but they’re not short of a dollar either. Aaron Rodgers didn’t stay that long for nothing. They are still a big team with pretty much total support from Wisconsin. I’ve visited Madison a few times, they’re insane for the Packers.

I’ve probably massively oversimplified things here, but really the comparison doesn’t really stack up that much.

And I’ve followed the Packers since the days of Channel 4 showing coverage.

[elwaclaret]

Sorry, I hadn't realised that they've indicated our club could follow the Green Bay Packers ownership model. Please can you provide a link to what was said because I'd be interested reading it?

Sorry cannot remember where I saw it, probably Twitter. While I am not prepared to do the leg work (as this is a discussion board)… as a master researcher (not a brag, MRES qualified) that type of work comes at a price (as a standard part of my working week) but I cannot imagine it is that difficult to find sources; as as I said it has been mentioned on more than one occasion.

[taio]

Sorry cannot remember where I saw it, probably Twitter. While I am not prepared to do the leg work (as this is a discussion board)… as a master researcher (not a brag, MRES qualified) that type of work comes at a price (as a standard part of my working week) but I cannot imagine it is that difficult to find sources; as as I said it has been mentioned on more than one occasion.

In that case, I'll continue to take it with a pinch of salt.

[elwaclaret]

There’s some superficial similarities between the two towns, sure. But from a sporting landscape perspective the two can’t really be compared. The finite, closed shop nature of the NFL can’t be compared to what we have here in our world.

The blue collar narrative of Green Bay can be overstated. Why not the Cleveland Browns, other than the fact they’re absolute garbage? Yes, they may not be as fabulously wealthy as some of the metropolitan teams, but they’re not short of a dollar either. Aaron Rodgers didn’t stay that long for nothing. They are still a big team with pretty much total support from Wisconsin. I’ve visited Madison a few times, they’re insane for the Packers.

I’ve probably massively oversimplified things here, but really the comparison doesn’t really stack up that much.

And I’ve followed the Packers since the days of Channel 4 showing coverage.

Except failing franchises are open to takeovers and moving out of areas… do not know enough about Cleveland Browns to comment, but if they are a similar set up use them…

My knowledge of Green Bay comes from watching a documentary about the phoenix like transformation… which in turn was of interest because a close family friend (that I also worked with, sat next to and travelled to away games with) was a massive Packers fan (besides his darts)… probably due to the same reason you follow them… but hence when I got the chance to watch
the documentary of how they transformed the club and town I watched and digested it. My friend Dave Cooper (RIP)… I’m sure many, remember him if only as part of the early Colne Clarets (but I know his lad Gary used to post on here)

[elwaclaret]

In that case, I'll continue to take it with a pinch of salt.

Entirely your choice, or make me an offer.

[taio]

Entirely your choice, or make me an offer.

I'll refrain from paying for your master research, thanks

[elwaclaret]

I'll refrain from paying for your master research, thanks

As you wish. Would you expect a Plummer(you did not know) to fit you bathroom for free on a day off…
As I say it should be easy enough to track down, if you can be arsed.

[Rileybobs]

[taio]

As you wish. Would you expect a Plummer(you did not know) to fit you bathroom for free on a day off…
As I say it should be easy enough to track down, if you can be arsed.

If you mean a plumber then no. But somewhat different to say the least. I can't be arsed, in the same you can't you be arsed, so I'm happy to conclude the comparison with Green Bay Packers is pure fantasy.

[elwaclaret]

If you mean a plumber then no. But somewhat different to say the least. I can't be arsed, in the same you can't you be arsed, so I'm happy to conclude the comparison with Green Bay Packers is pure fantasy.

As I said, your choice… and yes I have made no secret of my dyslexia. So you’d pay someone who did a plumbers course at college but not someone who studied past Degree to masters level in their field, ok.

[Rileybobs]

As I said, your choice… and yes I have made no secret of my dyslexia. So you’d pay someone who did a plumbers course at college but not someone who studied past Degree to masters level in their field, ok.

You should have said you've got a masters degree

[taio]

As I said, your choice… and yes I have made no secret of my dyslexia. So you’d pay someone who did a plumbers course at college but not someone who studied past Degree to masters level in their field, ok.

No, I wouldn't pay someone on here to back up their assertions. I couldn't give a toss that you've got a Masters. So do I, as will multiple posters, but it's unimportant. Your plumber analogy is hilarious.

[elwaclaret]

No, I wouldn't pay someone on here to back up their assertions. I couldn't give a toss that you've got a Masters. So do I, as will multiple posters. Your plumber analogy is hilarious.

Where have I suggested no one else has a Masters. Do you work for free?
This is a chat room, if you want my professional services why should I do my job for free… any more than you’d do yours?

[taio]

Where have I suggested no one else has a Masters. Do you work for free?
This is a chat room, if you want my professional services why should I do my job for free… any more than you’d do yours?

I don't want your professional services, thanks

[elwaclaret]

I don't want your professional services, thanks

Not sure what is lots of laughs about it, but that is fine. You don’t think information has value, that is fine too.

[taio]

Not sure what is lots of laughs about it, but that is fine. You don’t think information has value, that is fine too.

If you don't want to back up your claims with evidence, that is fine. I'll therefore choose to take them with a pinch of salt.

[elwaclaret]

If you don't want to back up your claims with evidence, that is fine. I'll therefore choose to take them with a pinch of salt.

Do not know how often you want me to say it; that’s your choice.

[taio]

Do not know how often you want me to say it; that’s your choice.

I don't want you to say it anymore...certainly not free of charge

[elwaclaret]

I don't want you to say it anymore...certainly not free of charge

Good, maybe we can get back to the thread, now.

[taio]

Sorry, I really don't see how the two situations are remotely similar.

I agree. Find the comparison with Green Bay Packers strange especially given the ownership model.

[Rileybobs]

Seems a shame to leave without an answer though. How much would this particular piece of research cost? We could potentially crowd-fund it.

[taio]

Seems a shame to leave without an answer though. How much would this particular piece of research cost? We could potentially crowd-fund it.

I would have to research whether his research fees are reasonable so would have to charge him

[Paul Waine]

Sorry, I hadn't realised that they've indicated our club could follow the Green Bay Packers ownership model. Please can you provide a link to what was said because I'd be interested reading it?

Hi taio, take a look at the JJ Watt thread and the link to when JJ was on the Neville "Stick to Football" (or whatever it's called) podcast. JJ mentions Green Bay and makes comparison with Burnley.

[RicardoMontalban]

Hi taio, take a look at the JJ Watt thread and the link to when JJ was on the Neville "Stick to Football" (or whatever it's called) podcast. JJ mentions Green Bay and makes comparison with Burnley.

I’ve not watched that, but I know he’s referenced the Packers’ blue collar profile. I’d be astonished if that extended to a comparable ownership model though - publicly owned, nonprofit.

[elwaclaret]

I’ve not watched that, but I know he’s referenced the Packers’ blue collar profile. I’d be astonished if that extended to a comparable ownership model though - publicly owned, nonprofit.

Thank you, and at no point did I say it would be an identicated model, but neither do I know it will not, to offer that opinion it would have been guesswork.

[taio]

Hi taio, take a look at the JJ Watt thread and the link to when JJ was on the Neville "Stick to Football" (or whatever it's called) podcast. JJ mentions Green Bay and makes comparison with Burnley.

Thanks for your free of charge research

Did his comparison extend to the possibility of using the ownership model at our club?

[ClaretPete001]

Thanks for your free of charge research

Did his comparison extend to the possibility of using the ownership model at our club?

There is no relegation in the NFL and the teams mostly serve huge urban areas.

There are 3 professional teams in East Lancashire alone.

A further two of the biggest teams in the world in South East Lancashire and a further 2 big teams on the Lancashire coast.

Not to mention several other professional outfits within spitting distance. There is no comparison.

[Paul Waine]

Thanks for your free of charge research

Did his comparison extend to the possibility of using the ownership model at our club?

Sorry, I didn't say it was free of charge. I'll prepare my invoice later.

I believe JJ's comparison was more the smaller clubs and the working class town (= middle class and city in American), the way the town and the fans were emotionally connected with "their" club. JJ also spoke about his longer term desire to own an English football club. This may be his ambition to succeed Alan Pace and ALK at Burnley - though this may be reading too much into his emotional attachment to Burnley (early days and all that). Whether JJ's ownership model would copy Green Bay's model I've no idea. I don't think ownership models are that important, whether X or Y or Z, it all comes down to how the team performs. All clubs need "lots and lots of money," how that money is raised and how it is shared across the ownership group is up to the owners. And, the model can always be changed.

[taio]

Sorry, I didn't say it was free of charge. I'll prepare my invoice later.

I believe JJ's comparison was more the smaller clubs and the working class town (= middle class and city in American), the way the town and the fans were emotionally connected with "their" club. JJ also spoke about his longer term desire to own an English football club. This may be his ambition to succeed Alan Pace and ALK at Burnley - though this may be reading too much into his emotional attachment to Burnley (early days and all that). Whether JJ's ownership model would copy Green Bay's model I've no idea. I don't think ownership models are that important, whether X or Y or Z, it all comes down to how the team performs. All clubs need "lots and lots of money," how that money is raised and how it is shared across the ownership group is up to the owners. And, the model can always be changed.

Thanks but I specifically asked if Pace or Watt had said that our club could follow the Green Bay Packers ownership model. I wasn't asking if they had made other comparisons about the clubs or places.

[ClaretPete001]

Sorry, I didn't say it was free of charge. I'll prepare my invoice later.

I believe JJ's comparison was more the smaller clubs and the working class town (= middle class and city in American), the way the town and the fans were emotionally connected with "their" club. JJ also spoke about his longer term desire to own an English football club. This may be his ambition to succeed Alan Pace and ALK at Burnley - though this may be reading too much into his emotional attachment to Burnley (early days and all that). Whether JJ's ownership model would copy Green Bay's model I've no idea. I don't think ownership models are that important, whether X or Y or Z, it all comes down to how the team performs. All clubs need "lots and lots of money," how that money is raised and how it is shared across the ownership group is up to the owners. And, the model can always be changed.

True Paul, but thus far you have argued that Burnley will benefit from ALK taking £124 million out of the club.

I think you are the only person on the planet who thinks that is true. Quite possibly you have contributed the only innovative thinking that ALK have managed to muster.

Perhaps you should send them an invoice.

[Paul Waine]

True Paul, but thus far you have argued that Burnley will benefit from ALK taking £124 million out of the club.

I think you are the only person on the planet who thinks that is true. Quite possibly you have contributed the only innovative thinking that ALK have managed to muster.

Perhaps you should send them an invoice.

ALK haven't taken "£124 million out of the club." The money is still there as a debtor on the club's balance sheet. I've argued that Burnley Football Club benefits from ALK/VSP ownership. I'm far from "the only person on the planet who thinks" ALK/VSP ownership of the club benefits the club. There's all the other people who've added their own investment into the club since ALK bought the previous directors' shares.

ALK have no need for my "innovative thinking." They've enough smart thinkers on their team. I just enjoy being a spectator of the way they manage the challenges of owning the club, as well as being a fan of the football team.

[dsr]

Yet the town/support was dying until they looked to globalise the club’s appeal in the 70’s.

Winning the (oddly named) World Championship 5 times in the sixties had something to do with it as well. Support wasn't dying- it's 60 years since there was a seat unsold at Lambeau Field.

[dsr]

ALK haven't taken "£124 million out of the club." The money is still there as a debtor on the club's balance sheet. I've argued that Burnley Football Club benefits from ALK/VSP ownership. I'm far from "the only person on the planet who thinks" ALK/VSP ownership of the club benefits the club. There's all the other people who've added their own investment into the club since ALK bought the previous directors' shares.

ALK have no need for my "innovative thinking." They've enough smart thinkers on their team. I just enjoy being a spectator of the way they manage the challenges of owning the club, as well as being a fan of the football team.

That's a very nitpicking point about the £124m. They have taken £124m cash-at-bank out of the club and replaced with an IOU. This IOU is notionally worth the same as the cash, but it can't be used. If we offered it to another club as a transfer fee, or to a player as wages, it would not be accepted.

What is also certain is that the club has paid well over £20m in interest to service ALK's private loan.

Who are these other people who have added their investment to the club? The financial statements make no reference to any new investment. We know that several people including J.J.Watt have invested in ALK, but I've seen no evidence of investment in BFC.

[elwaclaret]

Winning the (oddly named) World Championship 5 times in the sixties had something to do with it as well. Support wasn't dying- it's 60 years since there was a seat unsold at Lambeau Field.

I’m not interested in the details, I don’t follow AF just watched a documentary quite some time ago, but remember the gist of how they went about turning the club around.

I’d recommend it though it was a very interesting documentary.

[Paul Waine]

That's a very nitpicking point about the £124m. They have taken £124m cash-at-bank out of the club and replaced with an IOU. This IOU is notionally worth the same as the cash, but it can't be used. If we offered it to another club as a transfer fee, or to a player as wages, it would not be accepted.

What is also certain is that the club has paid well over £20m in interest to service ALK's private loan.

Who are these other people who have added their investment to the club? The financial statements make no reference to any new investment. We know that several people including J.J.Watt have invested in ALK, but I've seen no evidence of investment in BFC.

Hi dsr, will you allow me to be a little more nitpicking? Part of the £124 million cash-at-bank, as you call it, wasn't cash-at-bank, it included £60 million that ALK had borrowed from MSD. So, you could argue, ALK put the £60 million into BFC before taking it out again to pay for the shares ALK bought.
Further nitpicking, if you'd like, you mention "ALK's private loan" so surely you can also accept that ALK/VSP are also the private owners of BFC (alongside a very small number of small shareholders). I'm pretty sure that JJ Watt, Kealia Watt and many others that we've been introduced, including one or two new directors, are all investors in VSP, rather than ALK. Remember that the ownership structure is designed for new investors to invest in VSP alongside the management group in ALK. None of the new investors, so far as I understand it, will buy shares directly in BFC, they will all invest at the VSP level.

[Chester Perry]

Hi dsr, will you allow me to be a little more nitpicking? Part of the £124 million cash-at-bank, as you call it, wasn't cash-at-bank, it included £60 million that ALK had borrowed from MSD. So, you could argue, ALK put the £60 million into BFC before taking it out again to pay for the shares ALK bought.
Further nitpicking, if you'd like, you mention "ALK's private loan" so surely you can also accept that ALK/VSP are also the private owners of BFC (alongside a very small number of small shareholders). I'm pretty sure that JJ Watt, Kealia Watt and many others that we've been introduced, including one or two new directors, are all investors in VSP, rather than ALK. Remember that the ownership structure is designed for new investors to invest in VSP alongside the management group in ALK. None of the new investors, so far as I understand it, will buy shares directly in BFC, they will all invest at the VSP level.

let's nitpick a little further

The loan from MSD was £65m

by late August 2022 the club had repaid £32,237,986.25, leaving a balance of £32,762,113.75 according to TISE (plus interest and a likely penalty of in excess of £2.6m on the third payment of £12,237,986.25 in that total. I calculate the likely penalty thus.

Club accounts for 2021/22 tell us that a loan of £39,748,458 from a new (unnamed) UK lender was used to clear the previous loan in full. Given the strange and precise value of the number, I have assumed that the £6,986,444.25 difference is actually a penalty payment for early (unforced) redemption, this is why I have made that assumption

MSD UK Holdings Limited Notes to Financial Statements for the year ended December 31 2020

2 Significant Accounting Policies,

(d) Critical Accounting Judgements and Key Sources of Estimation Uncertainty,

Critical Judgements in Applying the Company’s Accounting Policies,

Business Model Assessment

Paragraph 3 “…Whilst there are early repayment penalties, the Directors consider the penalty to be materially equivalent to the lost interest that would have been received, but would highlight that this is an area of judgement.”

if the balance really is a penalty then it was 21.32% of the outstanding sum which would put a penalty in excess of £2.6m on the August 24 2022 early repayment.

so at best we can argue that the the carry though from the original loan is £39,748,458 though many would say it is £32,762,113.75.

In the scheme of things from a business perspective circa 1,000 individual shareholders in the club is a small number - in the history of Burnley Football Club it is a very large one, it is only in the last two decades that it has ever been larger, ALK/VSL have all the control, but they also have obligations to those other shareholders and to date ALK.VSL's record is questionable to say the least

and to end, there is a new investor that has shares in the club, Vlad Torgovnik has 6,128 of them.

[Big Vinny K]

Beyond me completely how some people think that the direction of travel financially for the club is anything other than concerning.
I was happy at the start to wait and see and I also fully accepted that the previous owners were partly culpable for the way the club had been sold and the deal structured (which they definitely were)

However, I have now seen enough since the take over to be very concerned.
The interest we have paid on debt together with significant amounts of commission on very expensive factoring deals on transfers and tv money represents money straight out of the door that we will never get back. It also illustrates a lack of resources from the owners and a strategy like many other basket case clubs of trying to buy success in the short term.

It could have worked out fine and dandy if the £100m plus we spent last summer would have all turned out well and we had stayed up and the money we had spent increased our player asset value (and we went on to sell a couple at decent profit).

But this was a massive risk and this risk will very likely crystallise in the next year. All this transfer spend has done is made a precarious position even worse. We are now looking at a situation where we HAVE to get promoted at the first attempt next year or else we will go the way of many other clubs who have tried to buy success to quickly without a sugar daddy set of owners prepared to subsidise you.

[Paul Waine]

let's nitpick a little further

The loan from MSD was £65m

by late August 2022 the club had repaid £32,237,986.25, leaving a balance of £32,762,113.75 according to TISE (plus interest and a likely penalty of in excess of £2.6m on the third payment of £12,237,986.25 in that total. I calculate the likely penalty thus.

Club accounts for 2021/22 tell us that a loan of £39,748,458 from a new (unnamed) UK lender was used to clear the previous loan in full. Given the strange and precise value of the number, I have assumed that the £6,986,444.25 difference is actually a penalty payment for early (unforced) redemption, this is why I have made that assumption

MSD UK Holdings Limited Notes to Financial Statements for the year ended December 31 2020

2 Significant Accounting Policies,

(d) Critical Accounting Judgements and Key Sources of Estimation Uncertainty,

Critical Judgements in Applying the Company’s Accounting Policies,

Business Model Assessment

Paragraph 3 “…Whilst there are early repayment penalties, the Directors consider the penalty to be materially equivalent to the lost interest that would have been received, but would highlight that this is an area of judgement.”

if the balance really is a penalty then it was 21.32% of the outstanding sum which would put a penalty in excess of £2.6m on the August 24 2022 early repayment.

so at best we can argue that the the carry though from the original loan is £39,748,458 though many would say it is £32,762,113.75.

In the scheme of things from a business perspective circa 1,000 individual shareholders in the club is a small number - in the history of Burnley Football Club it is a very large one, it is only in the last two decades that it has ever been larger, ALK/VSL have all the control, but they also have obligations to those other shareholders and to date ALK.VSL's record is questionable to say the least

and to end, there is a new investor that has shares in the club, Vlad Torgovnik has 6,128 of them.

Thanks, CP for the correction to the MSD figures I quoted. Thanks, also for the Vlad Torgovnik data. I'd got a sneaking feeling I was missing something with the claim that all the other new investors had put their investments into VSP. Correct me, if I'm incorrect, Torgovnik acquired his shares from one of the previous directors, rather than putting new money into the club?

On the other hand, I continue to hold that you are reading much too much into MSD's accounting policy statement. I don't think anyone would enter into the deal with MSD in the way you interpret it. Yes, compensation for the lost interest, but offset by the interest that would be earned on depositing the repaid funds in government gilts, or similar, at a minimum: "lost interest that would have been received..." in lending to a risky borrower, less the interest that would be received by lending at zero risk is much more logical.

What rights are the small shareholders in BFC missing out on?

[dsr]

Hi dsr, will you allow me to be a little more nitpicking? Part of the £124 million cash-at-bank, as you call it, wasn't cash-at-bank, it included £60 million that ALK had borrowed from MSD. So, you could argue, ALK put the £60 million into BFC before taking it out again to pay for the shares ALK bought.
Further nitpicking, if you'd like, you mention "ALK's private loan" so surely you can also accept that ALK/VSP are also the private owners of BFC (alongside a very small number of small shareholders). I'm pretty sure that JJ Watt, Kealia Watt and many others that we've been introduced, including one or two new directors, are all investors in VSP, rather than ALK. Remember that the ownership structure is designed for new investors to invest in VSP alongside the management group in ALK. None of the new investors, so far as I understand it, will buy shares directly in BFC, they will all invest at the VSP level.

MSD is a commercial lender. The money BFC received from them was a commercial loan, not money put in by ALK. However, unlike most commercial loans, BFC did not get the benefit of the cash. ALK took all of it but left BFC to pay the interest.

As for the investors, that's my point. The ownership scheme is set up so that if any new investor wants to share in ownership of BFC, the new money goes to ALK, not to the club. In other words, the benefit of new investors is ALK's benefit.

[Paul Waine]

Some may be interested in this article concerning Leeds United investors under 49er.

Will Ferrell becomes latest big name to invest in Leeds United

Hollywood star joins likes of Russell Crowe and Jordan Spieth by acquiring minority stake in Championship club bidding to reach Premier League via play-offs

The Hollywood star Will Ferrell has acquired a minority stake in Leeds United, joining fellow actor Russell Crowe and golfers Jordan Spieth and Justin Thomas as investors in the Sky Bet Championship club.

The 56-year-old, who has starred in films such as Elf and Anchorman, has an estimated wealth of £127million and although he is now an investor, Ferrell will not be a decision-maker at the club.

Leeds are owned by 49ers Enterprises, which took full control in July 2023 when it bought the club for £170million. Since then famous faces from the world of sport and entertainment have invested and taken what have been described as minority stakes.

The Leeds United investment group, created by 49ers Enterprises, is split into two sections: general partners and limited partners. The likes of Peter Lowy, the Australian businessman, and Jed York, whose parents Marie Denise DeBartolo York and John York own 90 per cent of the San Francisco 49ers NFL team, are the general partners, and regarded as the main players. Crowe, who said that he became a Leeds fan when watching Match of the Day as a child, Spieth and Thomas are among the limited partners.

Spieth spoke of his investment last year: “Myself and Justin are involved in a very, very minority stake but within the bigger 49ers organisation that somehow figure out a way to beat my [Dallas] Cowboys every single year anyway — so if you can’t beat ’em, join ’em.”

The Olympic swimming champion Michael Phelps is also part of the group, along with the basketball player Larry Nance Jr.

The aim of 49ers Enterprises is to oversee business ventures, advisory efforts and investment opportunities for the San Francisco 49ers.

Leeds lost in their final game of the regular Championship season, at home to Southampton on Saturday, but their hopes of automatic promotion became irrelevant after Ipswich’s 2-0 win against Huddersfield Town. Leeds, managed by Daniel Farke, now face a two-legged play-off semi-final against Norwich City.

The play-off final, reckoned to be the most valuable game in world football for the financial rewards that await the winners in the Premier League, will be played at Wembley on May 26.

*******************************

I've highlighted the key ownership structure information, in this case general partners and limited partners.

I recommend reading Note 29 Controlling Party in Leeds United Football Club Limited - Company number 06233875.

[Paul Waine]

MSD is a commercial lender. The money BFC received from them was a commercial loan, not money put in by ALK. However, unlike most commercial loans, BFC did not get the benefit of the cash. ALK took all of it but left BFC to pay the interest.

As for the investors, that's my point. The ownership scheme is set up so that if any new investor wants to share in ownership of BFC, the new money goes to ALK, not to the club. In other words, the benefit of new investors is ALK's benefit.

Yes, of course, MSD is a specialist commercial lender. Strictly, if you check the documents, you will see that the loan was made to one of the ALK entities and then flipped into BFC when the takeover took place. BFC got the benefit of new owners. That's what happens when the previous owners want to sell.

I hope you take a look at the above post re Leeds United investors. A very similar article could be written about BFC.

[daveisaclaret]

I wonder if Leeds fans will be imagining Will Ferrell pulling the strings like our fans do with JJ Watt.