The Administration Thread

[Gringo]

Anyone bidding but not purchasing the stadium should be ignored and ruled out, looking at the revenue generated this next 12 months by DCFC it is clear and obvious that cash injections will be needed of around £1- £1.5million/month just to keep the lights on as a going concern, by the owner.

If a bidder cannot afford mortgage repayments of around £1.65million a month, then they have not got enough cash to support the club.

[RoyMac5]

21 minutes ago, atherstoneram said:

We have been box office because we were fighting a 21 point deduction and kept in within a glimmer of a chance to almost the very end. If we had been relegated early March the interest for Sky wouldn't have been there. Rooney won't make that much difference the novelty of him being manager will have worn off.

Lol. Of course he will. Have you seen the number of social media followers he has?

[I know nuffin]

48 minutes ago, Hanny said:

You know. Maybe ist just a preference thing. But I don’t quite understand all the  Nixon slagging. 
 

The bloke is cryptic at times. But, to me, that just implies he’s being honest. Most stories/situations are actually boring and process driven, as opposed to fanciful and conspiracy laden. 
 

Take the CK situation; there really was nothing to suggest he wasn’t going to get the deal done. All contracts were signed and agreed. He even sent the money. All of this can actually be tracked by the parties involved. Then he pulled his offer. So up until he pulled the offer, everybody involved seemed to agree it was all going well (if not a bit lengthy). 
 

I’m sure some details will come out about why it has gone done the way it has. And I’d be surprised if those details aren’t just boring process related issues. But that’s beside the point. 
 

Nixon can be a wee bit rash and frustrating at times. But he always seems pretty level on reporting matters. Or like I said, maybe it’s just a preference thing ?‍♂️

He certainly kept going on a out a plan B for CK which may or may not be running. I have asked twice if CK might come back in should the need money land. Unusually no answer from him

[Mostyn6]

10 minutes ago, Charlotte Ram said:

Anyone bidding but not purchasing the stadium should be ignored and ruled out, looking at the revenue generated this next 12 months by DCFC it is clear and obvious that cash injections will be needed of around £1- £1.5million/month just to keep the lights on as a going concern, by the owner.

If a bidder cannot afford mortgage repayments of around £1.65million a month, then they have not got enough cash to support the club.

I agree. There’s no such thing as a credible bid. There’s either a rejected bid or an accepted bid. 

[ilkleyram]

1 hour ago, CornwallRam said:

This is what I'm struggling to understand- if Appleby has made a bid, why is the process ongoing?

Unless something drastic has happened, he'll walk the fit and proper test. I can't believe someone of his standing would bid without secured funding. If Appleby has bid enough to take us out of administration and retain the golden share, why has his hand not been snapped off?...assuming it hasn't. Same would go for Ashley or Morgan.

The only conclusion I can draw is that the bid isn't sufficient to retain the golden share. So why haven't Quantuma said, 'no bids can be accepted of less than £21m (or whatever the base figure happens to be), as they won't be sufficient to retain the golden share.

At this point, surely it can't be that complicated - there must be an actual minimum figure, unless everyone is trying to square HMRC

 

It's probably because there's a process with timescales that allow new bidders (the Q press release refers to bidders who have had less access to the data room than others) to catch up, not only with the information in the data room but also the time to create and then submit their bid - in a similar way to the others so that it can be analysed on the same basis. The process has to be fair to every bidder and give every possible bidder the opportunity to bid.

What the process or timescales are we haven't been told. Presumably the EFL would like that to be early next week at the latest so that there's a chance of a decision on the successful bidder before the fixture list release but the EFL must be making contingency plans for that to slip (two fixture lists perhaps, one with us in L1, one without us?).

We've been told that they're full and final bids with no allowances, so if Q are as good as their word then we might get a decision in the next 7 days.  I would have thought that there will be two options over continuing short term player/staff wage funding - friendly local businesses and/or the successful bidder. 

The problem with the successful bidder option is that they will not become the actual owner until we are out of administration and that is very unlikely to be as soon as next week given the discussions with creditors/EFL and others that have to take place - so the successful bidder either has to take the financial risk or someone else has to step forward - ditto player/manager contracts.  The only ways that might be short circuited is either if Kirchner is the successful bidder because his money comes through or the successful bidder says that he/she will take the risk.

[Van der MoodHoover]

17 minutes ago, RoyMac5 said:

Lol. Of course he will. Have you seen the number of social media followers he has?

You're such a media tart RoyMac5..... ?

[RoyMac5]

2 minutes ago, Van der MoodHoover said:

You're such a media tart RoyMac5..... ?

Mwah! Mwah! #loveylovey

 

[PistoldPete]

1 hour ago, Tyler Durden said:

It's highly competitive in parentheses though. But isn't clear who made this comment. 

Sources close to Appleby. Although they don't know what they are competing with, so how they can tell whether it is competitive or not is anyone's guess. .

[PistoldPete]

31 minutes ago, Mostyn6 said:

I agree. There’s no such thing as a credible bid. There’s either a rejected bid or an accepted bid. 

Hmm... Kirchner's bid was accepted. Was it credible though?

[RamBeauIV]

2 hours ago, jono said:

40 players at circa 4 grand a week = a wage bill over 8 million .. so you have 6 million or so  left to run the club including leasing the stadium, paying the ordinary staff, buying players, paying the the directors and then all the boring stuff like energy and maintenance.  I can’t see profit for anyone unless total player wage costs are below 50% of revenue. .. So for sustainability of teams (not just DCFC ) that has to be where it is. But will it ever happen ? If it doesn’t there will be more failures … unless rich men have vanity projects 

I think the £4K a week average is about right and will be in the imposed Business Plan.

There is no way the EFL will let us have 40 players.  It will be an absolute maximum of 25 Registered Players (as per Reading's punishment for breaking FFP). They're not going to punish us less for trumping Reading with administration on top.

That saves you another 3 million, so you now have 9 million or so left to run the club ... or rather go towards HMRC and the other creditors.

 

[Rev]

1 hour ago, CornwallRam said:

Quite a bit I'd say. The royalties from Jolene alone must be a million a year at least. ?

I wouldn't say that's a poor pun, but Dollywood.

[Mostyn6]

16 minutes ago, PistoldPete said:

Hmm... Kirchner's bid was accepted. Was it credible though?

That was back when there was time to compare bids! Right now, we accept the first workable bid that comes in. We can ill afford to sit on bids hoping better ones arrive. 

[Hanny]

49 minutes ago, I know nuffin said:

He certainly kept going on a out a plan B for CK which may or may not be running. I have asked twice if CK might come back in should the need money land. Unusually no answer from him

Yeah. I guess I read plan B as While CK (and everyone) waited for his initial 21.4 million to clear, he would get another 21.4 million ready and sent in a different manner in case he needed to use it. 
 

Then he pulled his offer?‍♂️  
 

I’d be a little surprised if CK came back in. And think that speculation is a bit fanciful.
 

But I suppose, their could be speculation that pulling the offer was in some way demanded by the creditors/admins so as to have a clean position to agree or turn down any new potential bids that come in. 
 

Essentially: come back when the money is ready to be dispersed- until then we will officially set your offer aside so we won’t judge any new bid against it ?‍♂️

[hintonsboots]

This GIF will self destruct imminently ( I hope )

[Gee SCREAMER !!]

1 hour ago, NottsRam77 said:

U missed 6m bradley johnson … i mean wtf 

Be honest with you, at the time -captain of Norwich who'd peed the league, 15 goals out wide and loads of assists, could also play midfield. I thought it was expensive but probably a decent signing.  The Derby City thing didn't help.  He was brilliant first 5 or 6 games but so were Gary Charles and Mark Pembridge.  Played pretty decent for Rowett as well.  Not sure how it works but he signed a new deal then left on a free that afternoon.  Very weird. 

[Gee SCREAMER !!]

2 minutes ago, Hanny said:

Yeah. I guess I read plan B as While CK (and everyone) waited for his initial 21.4 million to clear, he would get another 21.4 million ready and sent in a different manner in case he needed to use it. 
 

Then he pulled his offer?‍♂️  
 

I’d be a little surprised if CK came back in. And think that speculation is a bit fanciful.
 

But I suppose, their could be speculation that pulling the offer was in some way demanded by the creditors/admins so as to have a clean position to agree or turn down any new potential bids that come in. 
 

Essentially: come back when the money is ready to be dispersed- until then we will officially set your offer aside so we won’t judge any new bid against it ?‍♂️

I think if we entertain this bullshitter for a 3rd time, I may have to give up.

[Rev]

1 minute ago, Gee SCREAMER !! said:

Be honest with you, at the time -captain of Norwich who'd peed the league, 15 goals out wide and loads of assists, could also play midfield. I thought it was expensive but probably a decent signing.  The Derby City thing didn't help.  He was brilliant first 5 or 6 games but so were Gary Charles and Mark Pembridge.  Played pretty decent for Rowett as well.  Not sure how it works but he signed a new deal then left on a free that afternoon.  Very weird. 

Not weird at all though, was it. 

It was us massaging the outstanding amortisation loss into a different year to suit our finances.

Whatever anyone says about the rights and wrongs of the policy, it was actions like that that encouraged the pressure on the EFL to act.

[europia]

23 hours ago, Ram1988 said:

I think there will be a lot of poker and going back and forth between all parties, my concern is how long will this take?

It looks fairly certain that we will still be in administration by the time the new season begins. There isn't anywhere near enough time to get a deal done, even if Quantuma were a competent (they've proven otherwise) administrator. Our problem is going to be the likelihood of not being able to fulfil fixtures. Further penalties would follow. 

Edited June 15, 2022 by europia

[MackworthRamIsGod]

3 hours ago, CornwallRam said:

This is what I'm struggling to understand- if Appleby has made a bid, why is the process ongoing?

Unless something drastic has happened, he'll walk the fit and proper test. I can't believe someone of his standing would bid without secured funding. If Appleby has bid enough to take us out of administration and retain the golden share, why has his hand not been snapped off?...assuming it hasn't. Same would go for Ashley or Morgan.

The only conclusion I can draw is that the bid isn't sufficient to retain the golden share. So why haven't Quantuma said, 'no bids can be accepted of less than £21m (or whatever the base figure happens to be), as they won't be sufficient to retain the golden share.

At this point, surely it can't be that complicated - there must be an actual minimum figure, unless everyone is trying to square HMRC

 

Or Quantuma are still fannying about trying to get the best deal, for them.

They will no doubt be picking the group willing to pay them what they feel they are owed.

[Hanny]

27 minutes ago, Gee SCREAMER !! said:

I think if we entertain this bullshitter for a 3rd time, I may have to give up.

I certainly am fine and happy with the next owner not being CK. But I still don’t see where he’s a bullshitter? A bit pompous maybe, but what rich egotist isn’t at least a wee bit arrogant. 
 

Every party connected (creditors/Admin/EFL/etc) signed off on CK, his money, and the contracts negotiated. ?‍♂️
 

So it seems to me the only way you could think he is a bullshitter or misrepresented himself in some fashion- is if you also believe in the fanciful conspiracies being floated and that every one of those other entities are incompetent too. Which seems a stretch to me.