Morning all

in elland absence I thought I would get the ball rolling. Anyone interested in the England game tonight? I will be tuning in as always, but my love for international football died a ****ty death years ago.

Takeover Wednesday? Paaah.

Phil Hays latest report below

GFH Capital’s bid to buy Leeds United will come under pressure from a rival offer from Saudi Arabia unless the Dubai-based firm completes its takeover before the end of the month, the YEP has learned.


An alternative proposal backed by Saudi Arabian money is due to be made in the next three weeks if GFH Capital fails to finalise its protracted attempt to assume control of Leeds.

United look destined to fall into the hands of the private equity company after almost six months of negotiations and GFH Capital expects to sign off a deal which would see it acquire a 100 per cent stake in the Championship club.

But reports over the weekend named American millionaire Preston Haskell IV – a real estate entrepreneur worth upwards of £150million – as another potential buyer, and the YEP has been told that the possibility of a late but serious Saudi offer has grown substantially in the past fortnight.

GFH Capital is currently protected by an exclusivity clause negotiated with Leeds in June but the firm has refused to confirm when that clause expires amid claims that the agreement is set to end as early as tomorrow.

It is understood that the Saudi group plan to approach United owner and majority shareholder Ken Bates before the start of December if GFH Capital’s buy-out remains incomplete. According to sources at GFH Capital, the company was hopeful of concluding its takeover this week.

But a contact involved with the proposed Saudi bid confirmed last night that the group were still watching events at Elland Road having pondered the option of investing in Leeds throughout the summer.

“It’s a very credible alternative,” the contact told the YEP. “They’ve got more than enough money to buy Leeds and if that doesn’t happen then I’d expect them to buy another major English club.”

The Saudi bidders are believed to favour the option of taking full control of Leeds at the end of the season, with a full English campaign ahead of them. The YEP’s source said the group would most likely provide “substantial bridging funding” to assist United in the January transfer market and support the club through the rest of this season.

GFH Capital also plans to provide cash for manager Neil Warnock in January and have repeatedly stressed the need to conclude its takeover before the winter window opens.

Leeds fell to 18th position in the Championship over the weekend after suffering a 6-1 defeat to Watford. The club have gone six league games without a win since beating Barnsley at Elland Road on October 6.

GFH intends to take full control of Leeds in a deal which would see Bates depart Elland Road soon after completion. As revealed by the YEP on Monday, the firm plans to retain long-standing club chief executive Shaun Harvey.

A source with the company again expressed confidence in its bid last night, saying: “Everyone is working as hard as they can to do what needs to be done. There’s nothing stopping this deal.”

 

I've lost intrest in watching England. The same thing every time they play. If we're to ever perform at a major tournament we need to get rid of the old and breed youth, and not froth at the gash if someone remotely good comes through (Sterling, Chamberlain, Zaha) As for the takeover, as long as it's done by January I'm happy. We need new players, at least 3 quality players in my opinion and 2/3 for backup.

 

Not too bothered about England tonight, especially as so many of the supposed 1st XI have dropped out due to injuries, can't be ar%ed, etc. Time was when it meant something to play for your National team. That said, Stevie G will get to 100 caps & well deserved to. Willie Zahar, that well known Englishman may well get his 1st cap, & a potentially class act he looks. So not al doom & gloom.

On the T/O, love him or hate him, you have to thank u no hoo for hanging on until a genuine deal has been done & dusted, & the club move into safe hands with genuine money to take the club forward. Imagine being a Glasgow Rangers - struggling to get out of Div 3, or a Portsmouth - just struggling. We may not like Papa Smurf. We may well think his priority of building the ground before the team is the wrong way round. But at least we're still financially sound & moving forward, albeit markedly slower than we'd all like.

 

Leeds United takeover still on despite buyers' worrying accounts

David Conn

The Guardian, Tue 13 Nov 2012 21.00 GMT


• Auditors question 'ability to continue as a going concern'
• 'No doubt GFHC can go ahead with the deal,' says spokesman
The Middle East private equity firm bidding to buy Leeds United has released accounts which state it does not have the cash to meet its current commitments and which cast doubt over its ability to survive as a going concern.

The Bahrain-based Gulf Finance House (GFH), whose subsidiary Gulf Finance House Capital (GFHC), based in Dubai, is in exclusive takeover negotiations with Leeds' owner, Ken Bates, is selling assets to repay money which it owes, its accounts state.

GFH's auditors, KPMG Fakhro in Bahrain, warn that the GFH group's ability to meet its financial obligations depends on selling assets in time.

"These factors indicate the existence of material uncertainties which may cast significant doubt about the group's ability to continue as a going concern," the accounts state.

The GFH accounts, which include the finances of GFHC and all the firm's subsidiaries for the nine months to 30 September, do show the group making a profit of $7.5m (£4.7m), achieved principally by settling some financial liabilities.

However, KPMG Fakhro stated in its extended warning that: "The [GFH] group had accumulated losses of $293.76m and … its current contractual obligations exceeded its liquid assets.

"As a result the ability of the Group to meet its obligations when due depends on its ability to achieve a timely disposal of assets."

A spokesman for GFHC pointed out that, despite the difficulties described by the accounts, they showed $37m cash in GFH's bank. The group's assets amounted to $833m and, although this does not mean GFH has adequate cash now, some of those assets are being considered for sale. The spokesman said: "There is no doubt that GFHC can go ahead with this deal to buy Leeds United."

GFHC is thought to be contemplating paying £44m for Leeds, who slipped to 18th in the Championship on Saturday following a 6-1 home defeat by Watford. Such a sum is certain to deliver a substantial personal profit to Bates, who owns 72.85% of the club via a company, Outro, registered in the offshore tax haven of Nevis in the West Indies. Bates himself is resident in Monaco as an exile from paying UK capital gains tax.

GFHC has already paid £2m into Leeds and is promising up to £8m further to invest in the January transfer window if the deal goes through. Its period of exclusive negotiation ends this Thursday, 15 November, but a GFHC source said the firm then has a "lock in" period within which it can conclude the deal.

In the accounts the auditors state that GFH has had to renegotiate several tranches of its borrowings and issued shares to raise capital.

"To further address the liquidity issues, the management has put in place an asset sale and liquidity plan to … support its operations and repayment of the Group's obligations," the accounts state.

While KPMG Fakhro included its stern warning that GFH's need to sell assets amounted to "material uncertainties" that it considered may cast doubt on the group's "ability to continue as a going concern", the accounts say the GFH directors were "satisfied" with their plans to deal with the financial challenges.

The GFHC source said the takeover talks are at an advanced stage and the firm has proved to Bates that the money is there to conclude the deal. That was confirmed by Leeds in a statement on 26 October, when Bates said the takeover discussions were "in a good place".

Last week the Leeds United Supporters' Trust issued a statement expressing concern about GFHC's bid and questioning if it had sufficient money available. The trust said there are "other parties" with "the resources necessary", which are interested in buying Leeds.

http://m.guardian.co.uk/football/20...eover-accounts-gfhc?cat=football&type=article

 

Are we though Boggers? According to quite a few reports we seem to be haemorrhaging money! Loans from Macron, future season ticket % already invested, numbers down etc.

I'm more worried about Admin now than I ever have been & we should really be looking forward to new owners, but that saga has dragged on for so long now I have almost stopped believing! As for Bates leaving us in a sound financial way, I dont think he will or indeed has. If he ran the club properly we would have had money put back in, either from his own pocket (god forbid) or from the revenue we generate, but we get neither. Didnt buy the ground or TA back as promised either! the guys a crook and shouldnt be allowed near another business again!

As for England, I always tune in although the love for watching them play is hardly there anymore.

 

Fair points all round Bucks. Only time will tell regarding our true financial position. Gates won't improve until the T/O finally happens, u no hoo phukks off, & we start playing slightly prettier footy. Any two from 3 of those will do. But I fear this season may go down as a lost opportunity. We know that Warnock is only here for one season. If we go up, he might be persuaded to stay. If we don't he'll be off & retired. Means next season we'll start with wholesale changes following the arrival of a new manager.

 

Another buyer - another 6 months of 'due diligence'.....forget the January transfer window......you're all doomed!!!

 

Except that due diligence didn't take six months did it. We're still doomed though.

 

Simon Grayson about Leeds on talksport he said "he given the backing to get the players he wanted even when players were sold. best for leeds would be new owners" haha what a guy

 

Hey peeps, sorry about my absence. Nice thread Bucks. Been away from my desk since 7.30am...

 

Cheers El, not like you to slack so your let off

Hope you sold a couple of tons of bricks and mortar whilst you were away!

Wasnt the bloke form the film the Firm an estate agent?

please log in to view this image

 

Nope, nothing that glamourous.....

 

Ahhh a trip to the Dentist then

 

Nope, got to office 7.30, locked car, then dropped my keys (car, office, home) down a drain. Couldn't open the drain as my back wheel was over the drain. Had to get 4 guys to push my car outwards, and fished my keys out with a magnet. It was like a comedy sketch. By the time I got my keys, I weas on back to back appointments....

 

or a massive dump!

 

that old chestnut (ellands hangover shame!)

 

Just ignore me then twats

 

Just ignore me then twats

DID SOMEONE SAY SOMETHING ?

 

Would you assist a man dressed in a batman outfit fishing in a drain?....