ALK Capital or Farnell/Elkashashy takeover

[RVclaret]

Kieran Maguire has done a brief overview of the highlights:

https://twitter.com/kieranmaguire/statu ... 59Piho1d6w

[Newcastleclaret93]

Kieran Maguire has done a brief overview of the highlights:

https://twitter.com/kieranmaguire/statu ... 59Piho1d6w

For some reason I thought we had paid more of the debt off. But at least it is going down

[quoonbeatz]

A big lol at all those spods who moaned about parachute payments.

[OffTheBar]

For some reason I thought we had paid more of the debt off. But at least it is going down

Now a fixed rate loan at 7.5%

[Pickles]

For a simpleton like me, how positive are these accounts on a scale of 1-10?

[Nori1958]

For some reason I thought we had paid more of the debt off. But at least it is going down

Probably because it was assumed on this thread that it had been, and that no other loan had been taken out, which now we know one has been.

[Carwin261]

B4202AA2-34FF-4C72-9681-4865F2FCFA12.png (890.27 KiB) Viewed 3167 times

Mr Hurrel’s not a happy bunny .

[Bangers&Mash]

For a simpleton like me, how positive are these accounts on a scale of 1-10?

7/10

Not debt free, not in a mess.

I don't think many football clubs would score 9s or 10s here and be debt free and mess free. I'd give an 8/10 for a well run, debt free club but with little assets/ambition.

I'm happy with them, if the debt is in control and allows us ambition then let's all just enjoy the ride

[claretonthecoast1882]

Brendan has decided his club is a big one which ever one it is and should maybe get some tv money from this country.

[Nori1958]

7/10

Not debt free, not in a mess.

I don't think many football clubs would score 9s or 10s here and be debt free and mess free. I'd give an 8/10 for a well run, debt free club but with little assets/ambition.

I'm happy with them, if the debt is in control and allows us ambition then let's all just enjoy the ride

Agree

We were probably an 8 under the previous ownership, but that got us relegated
Happy with a 7 and promotion

[RVclaret]

Worth mentioning the auditors comments that they are fully satisfied with everything and no material concern.

Also they added they have audited these accounts AND group accounts which suggests the EFL should be lifting the embargo soon...

[claretonthecoast1882]

Worth mentioning the auditors comments that they are fully satisfied with everything and no material concern.

Also they added they have audited these accounts AND group accounts which suggests the EFL should be lifting the embargo soon...

Good job nobody has been fretting and getting themselves into a tizz thinking something was going on at least that the club was hiding from everyone... still won't be long before it can all start again with the next accounts

[jedi_master]

Worth mentioning the auditors comments that they are fully satisfied with everything and no material concern.

Also they added they have audited these accounts AND group accounts which suggests the EFL should be lifting the embargo soon...

Brilliant - let’s crack on.

[OffTheBar]

For a simpleton like me, how positive are these accounts on a scale of 1-10?

I’m actually a little surprised at how low the profit is given the profit on transfers (which I thought was hard to gauge how much would be in this set versus next).

Wages are much higher than I expected. Maybe the staying up bonuses were not so true after all.

[RVclaret]

I’m actually a little surprised at how low the profit is given the profit on transfers (which I thought was hard to gauge how much would be in this set versus next).

Wages are much higher than I expected. Maybe the staying up bonuses were not so true after all.

Yes I thought the same re. wages. I was expected something more in the region of 75m with no staying up bonuses - but as you say perhaps they weren't neccesserily true. That wage bill is our highest ever I believe. Also there is a 7m interest payment which from now will be more in the region of 3m.

[OffTheBar]

Yeah. CP nailed the headline figures pretty well yesterday, with the wage surprise.

[123EasyasBFC]

I’m actually a little surprised at how low the profit is given the profit on transfers (which I thought was hard to gauge how much would be in this set versus next).

Wages are much higher than I expected. Maybe the staying up bonuses were not so true after all.

The transfer profits will be in 22/23 accounts not 21/22

[RicardoMontalban]

Brendan has decided his club is a big one which ever one it is and should maybe get some tv money from this country.

Seems to be Celtic fan, and an odd bloke to boot.

[claretonthecoast1882]

Seems to be Celtic fan, and an odd bloke to boot.

Explains plenty, Odd bloke & Celtic fan in the same sentence... that's a shock

[123EasyasBFC]

Looks like extremely intelligent accounting and the only way the club was going to move forward, if garlick had of taken a loan out to invest to improve the club further and these accounts had been published people wouldn’t bat an eye lid, it was just because a new American owner came in and did it all that people where sceptical

[OffTheBar]

The transfer profits will be in 22/23 accounts not 21/22

There’s 54mm profit on disposals in this set, clearly not all Chris Wood/Ben Gibson!

[RVclaret]

The transfer profits will be in 22/23 accounts not 21/22

Wrong - there are 69m of player sales in these accounts.

If we include Chris Wood/Ben Gibson in that, then I think around 40m of the summer player sales are in these.

There will perhaps be another 30m in the 22/23 accounts.

[NewClaret]

CP on the money with a lot of his predictions

[123EasyasBFC]

Wrong - there are 69m of player sales in these accounts.

If we include Chris Wood/Ben Gibson in that, then I think around 40m of the summer player sales are in these.

There will perhaps be another 30m in the 22/23 accounts.

Stand corrected - pope, McNeil and Collins all before end of July so will be in these accounts
Cornet was august I think

[NewClaret]

Wonder who the UK lender is?

My gut feel is a private lender.

[claretspice]

I’m actually a little surprised at how low the profit is given the profit on transfers (which I thought was hard to gauge how much would be in this set versus next).

Wages are much higher than I expected. Maybe the staying up bonuses were not so true after all.

Haven't read the accounts but is the wage surprise driven in part by having to get rid of Dyche et al?

I suspect it also reflects that the likes of Cornet and Weghorst entailed a step change in wages.

[NewClaret]

Stand corrected - pope, McNeil and Collins all before end of July so will be in these accounts
Cornet was august I think

Might’ve been wise to leave some until August 1st and spread/limit the tax liability, but also weren’t in that position given we needed to make signings.

[RicardoMontalban]

Explains plenty, Odd bloke & Celtic fan in the same sentence... that's a shock

My family’s Scottish, I follow the game up there and enjoy it, but you’d have to be delusional not to grasp why the EPL gets more tv money than the SPL.

Enter, brave Brendan.

[NewClaret]

Haven't read the accounts but is the wage surprise driven in part by having to get rid of Dyche et al?

I suspect it also reflects that the likes of Cornet and Weghorst entailed a step change in wages.

It’s possible there was no pay off and we just picked up their wages until they found work again, hence we may get some of this in last and next years accounts.

[123EasyasBFC]

Might’ve been wise to leave some until August 1st and spread/limit the tax liability, but also weren’t in that position given we needed to make signings.

I think outs in august where - cornet, Philips and a couple of loans
Ins in august - zaroury benson tella Beyer franchi churlinov

[Ightenhill_Claret]

Wonder who the UK lender is?

My gut feel is a private lender.

Could it be that the loan is from one of the ALK/Velocity etc companies? That way the entity gets a return on an investment.

[Quickenthetempo]

So in short. The club is healthy but we have to sell players to pay off 20m worth of loans? And any player purchases we wish to make?

[randomclaret2]

CP on the money with a lot of his predictions

Very impressive from CP

[aggi]

Nothing too exciting in there. Only interesting things were probably the confirmation that the loan hadn't been fully repaid (which always looked unlikely):

Screenshot 2023-05-05 093539.jpg (26.2 KiB) Viewed 2724 times

And possibly, not definitely, a reason why things were a bit delayed and the change in auditors:

Screenshot 2023-05-05 093545.jpg (69.61 KiB) Viewed 2724 times

Also, confirmation that ALK haven't taken any more money out of the club beyond the £10m that was noted in PBSE in last year's accounts.

[123EasyasBFC]

So in short. The club is healthy but we have to sell players to pay off 20m worth of loans? And any player purchases we wish to make?

Which is what every club without billionaire owners have to do, sell your players to make profit if you get relegated

[OffTheBar]

Something still seems odd with repaying the loan, as the maths with the new loan don’t seem to stack up for it to be a benefit, if there are 6-7mm of penalties. (Assuming no big increase in rates).

I’m sure CP is right there are penalties (and he seems to have some inside info), but there’s something else going on I think for a reasoning. Whether that’s internal returns, attracting investors with stable debt, or something else I don’t know. I get the feeling CP does know!

[gawthorpe_view]

Can anyone please tell me, in layman's terms, how much do we owe?, and to whom is it owed?

[CrosspoolClarets]

As expected but with two or three interesting elements:

Under the going concern notes there is mention of the dramatic reduction in the wage bill, with this and transfer fees being more than enough to offset the drop in TV money (parachutes incoming of course but as these drop over time the note implies that wage drop will be very substantial - we will see next year what this bunch of players has cost in wages but we may be in a new era of cheaper young players).

Those applauding corporation tax going up should note the impact on the football club, already a few million extra declared as tax because of the deferred element coming under the new tax rates. Companies are going to struggle badly with this (I know mine will), for the football club when we factor in more tax with continued interest payments that is a lot of cash flowing out that won’t be available to compete with.

Under VK we have 19 more staff on the playing and training side. Again, a step change from the Dyche era?

In total though, nothing here I didn’t expect and as good as could be expected given relegation and the terms of the takeover. Given our pleasure comes from on the pitch experiences I think on balance the directors have done a great job in the last 18 months.

[RVclaret]

Can anyone please tell me, in layman's terms, how much do we owe?, and to whom is it owed?

39m to an unnamed UK based private lender.

[NewClaret]

39m to an unnamed UK based private lender.

Not one to start speculation but I’m going with private loan from Denise Coates.

[gawthorpe_view]

39m to an unnamed UK based private lender.

So have the deferred payments to the previous chairman and directors been cleared?

[Nori1958]

Very impressive from CP

Mostly

[aggi]

I was very amused by this cheeky boast given that a large part of the club's assets is money owed by ALK that will never be repaid:

Screenshot 2023-05-05 101732.jpg (11.65 KiB) Viewed 2530 times

[Big Vinny K]

As expected but with two or three interesting elements:

Under the going concern notes there is mention of the dramatic reduction in the wage bill, with this and transfer fees being more than enough to offset the drop in TV money (parachutes incoming of course but as these drop over time the note implies that wage drop will be very substantial - we will see next year what this bunch of players has cost in wages but we may be in a new era of cheaper young players).

Was told last year by an extremely reliable source that wage bill had been reduced to late 20 millions. May have gone up in January with signing Foster etc.
It was also a point in time number so I’m not saying this number will necessarily ever appear in our accounts because of the timing differences. But whatever way you look at it I’m pretty sure that we will have seen a pretty incredible reduction in the wage bill.
As you say when you place a team of established older players (most of them on between £1.5m and £3m a year) with a team of mostly young unknown players who are on nearer to £500k a year then you are going to be looking at significant reductions.

Still in disbelief as to what we have done this season in now VK has changed so much in such little time and how well it worked !!

[FeedTheArf]

Was told last year by an extremely reliable source that wage bill had been reduced to late 20 millions. May have gone up in January with signing Foster etc.
It was also a point in time number so I’m not saying this number will necessarily ever appear in our accounts because of the timing differences. But whatever way you look at it I’m pretty sure that we will have seen a pretty incredible reduction in the wage bill.
As you say when you place a team of established older players (most of them on between £1.5m and £3m a year) with a team of mostly young unknown players who are on nearer to £500k a year then you are going to be looking at significant reductions.

Still in disbelief as to what we have done this season in now VK has changed so much in such little time and how well it worked !!

You're probably not a million miles away. We shifted a lot of the older players. Those who did stay would have had a 40-50% relegation clause and on a casual Google, the average wage for a Belgian Pro League player is 5k euros a week. Even if we're doubling their wages on signing it still only takes it to around £500k a year.

[RVclaret]

You're probably not a million miles away. We shifted a lot of the older players. Those who did stay would have had a 40-50% relegation clause and on a casual Google, the average wage for a Belgian Pro League player is 5k euros a week. Even if we're doubling their wages on signing it still only takes it to around £500k a year.

Yep not just older players but also probably our top earners (Weghorst, Cornet, Pope, Tarkowski, Mee). Probably 15m a year there just on those 5.

[Socrates]

We were paying a lot in wages to players who absolutely did not contribute last year.

[fatboy47]

So.
What Chester said then.

[Bertie2015]

Capture1.PNG (11.7 KiB) Viewed 2227 times

This is almost certainly fees for ALK directors

[Nori1958]

I don't think anyone came up with the scenario regarding the old/new loan did they?..that seems to be the only surprise