forlanssister 3,050 Posted April 13, 2014 Share Posted April 13, 2014 At 50p a share, how much to own the company? Circa £33m for the shares alone. 0 Quote Link to post Share on other sites More sharing options...
The Real PapaBear 0 Posted April 14, 2014 Share Posted April 14, 2014 I know of someone who spent several million pounds buying shares in a certain company. Those shares are now worth a fraction of what he paid for them. They collapsed as soon as he acquired them and there is no indication that he will ever get his money back never mind make profit. Let's look at what it would cost to buy Rangers outright if Gersnet offered 50p a share. Forgery the theories - at 50p a share, how much to buy the company? This is not comparable since this 'someone' was speculating, which is not what we are faced with now. What we have now is a situation where the share price has remained steady for some time and the shares are being held by people who have no pressing need to sell. Thus any large scale purchase of those shares will push the price up in a malthusian curve. So you might as well ask the question "how much would it cost to buy the company is snails legs" 0 Quote Link to post Share on other sites More sharing options...
Hildy 0 Posted April 14, 2014 Share Posted April 14, 2014 Circa £33m for the shares alone. Thanks. For everyone: As Rangers fans, do we think that a figure of around £30m is a price that we should consider paying to own Rangers outright? This would include the Club, Ibrox Stadium, the neighbouring car park, Auchenhowie, Edmiston House and everything else that currently belongs to the company and the club. Naturally, we'd be hoping to negotiate this figure down a bit, but for the sake of argument, is £30m a price that our fanbase should consider paying to end this nightmare? I know we'd need working capital too, but leave that to one side for the moment. Is £30m an agreeable price to get our club back? 0 Quote Link to post Share on other sites More sharing options...
forlanssister 3,050 Posted April 14, 2014 Share Posted April 14, 2014 Thanks. For everyone: As Rangers fans, do we think that a figure of around £30m is a price that we should consider paying to own Rangers outright? This would include the Club, Ibrox Stadium, the neighbouring car park, Auchenhowie, Edmiston House and everything else that currently belongs to the company and the club. Naturally, we'd be hoping to negotiate this figure down a bit, but for the sake of argument, is £30m a price that our fanbase should consider paying to end this nightmare? I know we'd need working capital too, but leave that to one side for the moment. Is £30m an agreeable price to get our club back? If only it was going to be that simple then yes, but alas it isn't and there are a myriad of other costs to factor in. Dress it up any way you like but it's a minimum £50m project if you have to buy out the existing shareholders. 0 Quote Link to post Share on other sites More sharing options...
Hildy 0 Posted April 14, 2014 Share Posted April 14, 2014 If only it was going to be that simple then yes, but alas it isn't and there are a myriad of other costs to factor in. Dress it up any way you like but it's a minimum £50m project if you have to buy out the existing shareholders. Are you including working capital in this or are you suggesting that associated transaction costs would take the £30m figure up to £50m? I understand that the club needs a significant cash injection to move forward, but could the whole entity - without working capital - be purchased for the suggested £30m figure? 0 Quote Link to post Share on other sites More sharing options...
forlanssister 3,050 Posted April 14, 2014 Share Posted April 14, 2014 Are you including working capital in this or are you suggesting that associated transaction costs would take the £30m figure up to £50m? Absolutely working capital has to be factored into the equation otherwise you'd be in an insolvency event in at most a matter of weeks. I understand that the club needs a significant cash injection to move forward, but could the whole entity - without working capital - be purchased for the £30m figure? IMHO it couldn't, 0 Quote Link to post Share on other sites More sharing options...
Hildy 0 Posted April 14, 2014 Share Posted April 14, 2014 Absolutely working capital has to be factored into the equation otherwise you'd be in an insolvency event in at most a matter of weeks. IMHO it couldn't, If a share price was agreed that put a £30m price tag on the whole shooting match, what other costs would have to be added and what would the £30m figure rise to - approximately? Leave working capital out of it. We all know how important it is but treat it as a separate matter for now. 0 Quote Link to post Share on other sites More sharing options...
forlanssister 3,050 Posted April 14, 2014 Share Posted April 14, 2014 If a share price was agreed that put a £30m price tag on the whole shooting match, what other costs would have to be added and what would the £30m figure rise to - approximately? Leave working capital out of it. We all know how important it is but treat it as a separate matter for now. Legal and professional fees. the cost of financing the £30m, pay offs etc,etc. 0 Quote Link to post Share on other sites More sharing options...
Hildy 0 Posted April 14, 2014 Share Posted April 14, 2014 Legal and professional fees. the cost of financing the £30m, pay offs etc,etc. Wouldn't pay-offs come under working capital? 0 Quote Link to post Share on other sites More sharing options...
forlanssister 3,050 Posted April 14, 2014 Share Posted April 14, 2014 Wouldn't pay-offs come under working capital? I would factor it in as it would be a direct cost of the takeover ( boardroom). 0 Quote Link to post Share on other sites More sharing options...
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