New company auditors appointed

[Frankie 8,151]

http://www.rangers.co.uk/news/headlines/item/10030-board-announcement

 

RANGERS International Football Club PLC is pleased to announce the appointment of Campbell Dallas LLP as new Company auditors.

 

Campbell Dallas LLP is an award-winning, progressive and dynamic Scottish-based firm of independent Chartered Accountants and this alliance should be regarded as yet another important milestone as the RIFC Board continues to regenerate the Club.

 

This appointment follows on from securing the services of Peterhouse Corporate Finance as ISDX corporate adviser.

[Tannochsidebear 2,315]

Very surprised at that appointment I must admit. While Campbell Dallas are a thoroughly professional firm that I have had a few dealings with in recent years (including talking to their insolvency partner in 2012 about our position), I am stunned that our board think they are big enough or prestigious enough to be our auditors.

 

There must be a personal relationship between one of our board and a partner at CD.

[Bluedell 5,345]

Yes, a bit surprised also. Relatively small and I'm not sure that they have any publicly quoted clients.

[BlueMazza 0]

Very surprised at that appointment I must admit. While Campbell Dallas are a thoroughly professional firm that I have had a few dealings with in recent years (including talking to their insolvency partner in 2012 about our position), I am stunned that our board think they are big enough or prestigious enough to be our auditors.

 

There must be a personal relationship between one of our board and a partner at CD.

 

Maybe they are going for the 'thoroughly professional' side rather than prestige. Could be part of keeping the focus rather than spending wildly on bigger companies. It can work to your advantage to be the big fish client of a smaller company than the other way round.

[onevision 1,447]

Does size really matter?

[Bluedell 5,345]

Does size really matter?

 

In terms of our relative size, probably not. We had a £25m turnover last season and are relatively small ourselves and therefore there isn't a requirement to have one of the big 4 per se. CD will be able to perform an audit as well as anyone else.

 

My main concern is on the stock exchange side of things. Are they known by the market and will their size put off institutional investors? Do they know all the requirements and can they advise on that? Perhaps we have others to help us there, but I'd still expect the auditors to have a major say on things and that's where they may fall short.

[pete 2,499]

In terms of our relative size, probably not. We had a £25m turnover last season and are relatively small ourselves and therefore there isn't a requirement to have one of the big 4 per se. CD will be able to perform an audit as well as anyone else.

 

My main concern is on the stock exchange side of things. Are they known by the market and will their size put off institutional investors? Do they know all the requirements and can they advise on that? Perhaps we have others to help us there, but I'd still expect the auditors to have a major say on things and that's where they may fall short.

 

Well our new Philosophy is to have a younger smaller hungrier squad maybe this is for all facets of the club.

[Tom Davison 0]

I would imagine that the appointment of Campbell Dallas would have been discussed with Peterhouse Corporate Finance and it would be unlikely that the appointment would have been confirmed, if genuine concerns had been expressed by them.

[buster. 4,808]

In terms of our relative size, probably not. We had a £25m turnover last season and are relatively small ourselves and therefore there isn't a requirement to have one of the big 4 per se. CD will be able to perform an audit as well as anyone else.

 

My main concern is on the stock exchange side of things. Are they known by the market and will their size put off institutional investors? Do they know all the requirements and can they advise on that? Perhaps we have others to help us there, but I'd still expect the auditors to have a major say on things and that's where they may fall short.

 

Can't really envisage institutional investors forming a queue to invest whoever the auditor is.

 

I think the vast majority of funds invested would be coming from those with 'emotional connections.

[craig 5,199]

In terms of our relative size, probably not. We had a £25m turnover last season and are relatively small ourselves and therefore there isn't a requirement to have one of the big 4 per se. CD will be able to perform an audit as well as anyone else.

 

My main concern is on the stock exchange side of things. Are they known by the market and will their size put off institutional investors? Do they know all the requirements and can they advise on that? Perhaps we have others to help us there, but I'd still expect the auditors to have a major say on things and that's where they may fall short.

 

This is the big issue for me. I certainly hope that our Board have considered the "perceptional risk" of not having a big 4 as the audit firm when looking for funding. Having the big 4 doesn't guarantee you better audit practices (just ask former Arthur Andersen employees....) but from a capital markets perspective there is a significant amount of premium applied to the Big 4 due to their reputation.

 

Nothing against CD though as they do have a very good reputation.

 

As we are public we would need to rotate audit firm after 9 years, right BD or TB ? Have the EU not implemented firm rotation ?