Takeover (Covid-19/20)

Basically we are ****ed up.

 

Yet the premier league has denied the long term financial interests of the club.

 

@Sheikh_of_Araby see the finance thread. Ashley has taken his loan out of the club. He’s paid himself the full
111m. And it was taken out between 1 august 20 and 31 July 21.

THAT is the reason why we are not signing players and THAT is the reason for the delay in the presentation of the accounts.

The horrible bastard.

 

What are the monthly payments?

 

Of what his loan. It wouldn’t be monthly.

He will have just taken what was available and when the cash is there.

The movement of his loan from greater than 1 year to within 1 year means that technically it will not have been fully paid back to him. (Today)

However if the cash isn’t there. Then it could be moved back.

What bastard owner takes his money out of the club in the middle of a mandemic.

 

How have you worked that out? The published accounts were for the period ending July 2020.

 

Because it’s a debt that is due to be repaid within 12 months of 31 July 20. So it’s been repaid.

 

2 things there, firstly you have no idea whether that debt is owed to him have you? secondly the fact that it came due within the last 12 months doesn’t mean it’s not still debt on the balance sheet as it could have been refinanced.

Are you sure this isn’t just an annual advance on TV revenue?

 

According to Kieran McGuire he reckons it's just now repayable on demand rather than a set date

 

Well at least the club owes him nothing

 

Let's not forget these so called big clubs like Tottenham for example owe 1.2 billion.

 

Yeah that makes sense, as it shows on the previous years account as being due beyond the next 12 months.

So he obvs had originally intended taking that cash back on a fixed term which was this last year, but if he’s extended it to say he can call it back at any time, that ain’t ideal as he could asset strip the job if he felt like it. Given it’s his debt and it’d be factored into any sale of the club anyway, his only logic imo for keeping that as instantly repayable is him keeping his options open if the club doesn’t sell and he needs some liquid cash, he can either force the club to borrow to cover some or all of it, or sell assets and withdraw it.

 

Nope. It’s due within 12 months. Repayable on demand. That means that from an accounting perspective it WILL be repaid within 12 months. If not it would have been left where it was.

 

This but means there’s no cash for player purchases.

 

Again not quite right. The facts have to be correct as at the time of publishing the accounts. So yes it was intended to be repaid. And probably has been.

 

The club will be sold by then

 

Repayable within 12 months of July 20 mate. As in it’s already been repaid now. And that’s what the hsbc loan is for.

 

Let me rephrase it. The accounts are saying that within 12 months of the 31 July 20 it intends to pay the loan back.

What’s likely happened is that’s happened and the HSBC loan has replaced it. To a degree.

 

There’s no new loan charges on companies house for Newcastle. The last ones date back to September 2019.