I get that.
Paying down the RCF is more about easing cash flow pressure than looking to the long term. Typically each of the RCFs have to paid down each year regardless. At that point borrowing can again resume. The club has been doing that for a while without the influx of JR cash. Difficult to manage regular pay down of 3 credit cards while having cash available for other important stuff when the total amount on the cards is close to 2 years cash earnings. I'm also pretty sure that for one or more of the RCFs, the interest charged is based on the total borrowing capacity as opposed to the amount actually borrowed. Ideally, they should be used sparingly and paid back quickly.
I agree with you but I can't stop hating them. It's like they turned up at my house and told me that they've bought it without me knowing, but they've used me as collateral for the loan. And as the years go by I'm expected to pay for their loan myself, as well as keep paying out of pocket to maintain the place for them. They never put their hand in their own pocket and every now and then I open the fridge to find out that one of them has taken the last fecking Fruit Corner AGAIN, like seriously you fecking cnuts I was looking forward to that you fecking fecking cnuts.
It’s fair enough. And I hope you’re right and they’ll be fully gone in the next couple of years. I don’t think the Ratcliffe/Glazers dynamic can work as a long term arrangement. When one side uses the club as purely a money maker and the other is trying to put money in and improve the club
MU plc has to pay the Raine fee of 31M (plus expenses). No Idea when that's payable though I presume it's on completion of the transaction. The total fees around the transaction will be a lot higher. The third quarter accounts will show up a fair lump of it under exceptional expenses. The accounts had around 10m in exceptional expenses last quarter (to Dec 31st 23).
The billions I can let go, the last Fruit Corner though?
Notransfer fees are now used as a net accounting figure, everything is done yearly so if you are only making an anual payment it goes on your book yearly as do wages. The new FSP rules from UEFA state that this summer we can only spend 80% of our current financial year, so end of June 23 to 1st July 24 is period used to measure Revenue. So for example if our revenue is £650m (current prediction) and wages are just announced at £331m.
I will never understand how the Glazers takeover was allowed to happen. For a family who has managed to turn practically zero into $1.3 billion (for now) they seem incredibly stupid with some of the financial decisions they have put on the club. I’m certainly no financial guru but common sense would have been to start getting the debt down to more manageable levels or cleared (not sure if the £500m odd is possible in 19 years). This would have allowed the glazers to run the club more efficiently and turning better profits for dividends. Yet we owe more now than ever and that’s after paying even more to re-service the debt and paying dividends….. criminal.
Well any decent owner weighs that option before anything- hiring people to run their business. And he would also reap the benefits.. he’s part owner
I assume it’ll be as simple as Jim having staggered options to buy them out at a certain price points. I doubt we’ll ever see them leave, I reckon their plan will be to stick around as a minority owner for eternity.
I don’t see why anyone at this point would sell Manchester United. We lost football relevance but are still talked about just as anyone
There are two things that I’ve kind of thought could be his plan.
Same here. I think it’ll lead to problems and glazers do need out. Whether it’s Ratcliffe or another group who just add money. If Ratcliffe does do everything he is planning on doing especially with the stadium. How do you tolerate majority owners who contribute nothing. But expect something. It will naturally lead to some type of negative feeling.
They aren’t as daft as people believe, they have just made in one transaction more than they have ever taken in dividends.
Ha. I couldn’t tell you if the interest rates are high or low. But these types of credit lines are the corporate version of payday loans, so interest rates could be relatively high.
Exactly, I don't think they'll be fussed about losing majority ownership if they get paid handsomely to do so. I doubt they'll be open to leaving completely, why would they? You want to stay in the PL in some capacity and what better club to be in than United as an investor who isn't spending their own money.
A good summary. Now you’ve got 25% of your house back (toilet and kitchen?) on the premise that each of the six trolls gets to sit with you in the seven seater eating popcorn and counting money (loudly, smugly) while you watch the United Liverpool game and they don’t even fecking look at the telly the fecking smurfs.
yepI don’t see why they would give up majority ownership either. Just change their business model completely, if we start doing better they have less incentive to sell. Unless they want the price to sky rocket and figure out they will invest the money elsewhere
I'm sure they had to give some kind of path to majority ownership for Sir Jim and the most obvious one will be certain amounts of share prices Sir jim has the option on after a specific period of time at a certain price (that price is likely extremely high, so they would happily sell to him if they're getting a ridiculous deal).
Yeah, I mean all of this is conjecture (and all the caf is basically the same) but it seems logical given we already know he will invest again to get to 28.9%, he wanted majority and the Glazer's reportedly wanted to sell majority ownership (this part I am not so sure on). I guess we only know for sure that Ineos are controlling the football side of things and own what they own.
Yep I agree. I’m also sick of conjecture, realize how much time I waste on it. I dislike the “where will we finish?” “Who will we sign?” I feel like we’d all be better off if we take a break and when deadline day is over and the new season starts we look at who we sign instead of the 10,000 tweets about “United is pondering/considering/sniffing/had a brief thought of signing 1,0000 players
Good to hear SJR make mention of Arsenal being patient with Arteta. Doesn't sound like a man who will go sack EtH this summer.
They won't give him time just for the sake of giving him time (or at least I certainly hope not). They would have to judge whether ETH is actually the right man to move us forward before making that decision.
That's something that's not happened at Nice though.
Yeah thought the same.
Very "Mark Corrigan" from peep show.
They are incredibly daft. The credit for the initial transaction (from a Glazer perspective) goes to Malcolm Glazer. The kids are reaping the benefit of that. But under their stewardship, they have wasted hundreds and hundreds of millions on poor transfers and terrible strategic planning. The asset value could be so much higher if they had made some smart moves over the last decade. This is a classic case of dumb kids profiting from Daddy’s nouse. They are the Succession family in real life, each one more inept than the next.
Daddy may have bought it but he was never involved in running it and he's been dead a decade, those dumb kids have turned United in to an asset worth billions more than anyone thought it was worth
Are Nice as fecked as us financially by FFP?
No, time turned the club into a massive asset. That's like taking credit for the huge equity that's amassed on the house your parents bought before you were even born. If anything, they've surrendered a position of massive strength and have been overtaken by rivals on and off the pitch. If they had done anything resembling a good job, they wouldn't need Ratcliffe to bail them out.
TV deals went through the roof and all clubs benefited. Theyve feasted on the strength of the clubs name despite doing massive constant damage to it. Competent businessmen would have it currently a much more valuable worth. Before SJR saved them the club had no bloody money left
They didn't do shit.
Yeah, their management is why it’s worth billions, not because it’s the most recognised brand in the most popular worldwide sport.
