Preferred Bidder? There Needs To Be A Bid First……

 

DUFF AND PHELPS, the administrators of Rangers Football Club, issued the following statement today.

David Whitehouse, joint administrator, said: “We have continued intensive discussions with interested parties over the weekend.

 

Interested parties? So, there is more than one then as opposed to the statement on Friday that relayed that only one party, Bill Millar, remained at the table?

“The Blue Knights and Bill Miller have asked for a further short period of time to finalise their plans for the club prior to any announcement on a preferred bidder.

 

Ahhh so The Blue Knights (are they actually going by this term now, legally?) Have re-entered the fray so to speak.

 

“At this stage neither party has currently made an offer that is capable of acceptance by the administrators and we can only move forward when we have an offer on the table that can be concluded following a period of final due diligence.

No party has made an offer per say? Or no party has made anything other than a verbal offer? How can you say”…prior to any announcement on a preferred bidder….” If you then go on to say that “…neither party has currently made an offer?”. Of course there is no preferred bidder, if there are no bids in the first place.

“In broad terms, the Blue Knights are trying to resolve issues regarding the structure of their proposed funding partnership with Ticketus as well as conducting further analysis of player contracts.

Player contracts? In other words, looking to find out the value of the players or potential value of players that they could sell in the short term to finance the club over the summer months?

‘Ticketus’? So Rangers will now be owned, to an extent, by a company similar to that of ,”quick cash”? Obviously this company will be looking for some form of profit, or, do ‘Ticketus’ secretly know that they absolutely no security over the money they have already paid to Rangers and are therefore desperate to keep the company going as a concern to limit the amount of money that they will potentially lose should the company be liquidated?

“The proposed bid from Mr Bill Miller is, as he made clear on Friday, subject to specific conditions.

So, you couldn’t possibly have announced a preferred bidder today anyway because it is highly unlikely that the specific conditions would be agreed at such short notice without an absolute uproar from the majority of footballing fans outside of Ibrox?

“Both bidders have raised with us their strong desire to attain greater clarity on potential footballing sanctions the club may face and these remain issues to be resolved.

“We believe that both bidding parties have the best interests of the club in mind and, frustrating as though it is for fans, it is better that these complex issues are addressed now rather than later.

Now rather than later? We have had 70+ days to iron out these situations. We have had deadline after deadline after deadline put in place and through all of those deadlines, we find ourself, on the 23rd of April, and STILL no concrete bid made by anyone. The bidders all seem to be taking the , “after you” approach.

 

“It is imperative that whichever offer is taken forward can be delivered. For the avoidance of doubt, neither bid involves liquidation.”

So Bill Millar’s bid will eventually result in a merger then, as I suggested yesterday?

Paul Murray, of the Blue Knights, said: “Frustrating though this is for everyone with the interests of the club at heart, the Blue Knights are supportive of the administration process and we think it is right the administrators are giving parties left in the race the opportunity to finalise their plans.”

Finalise their plans……or, get the chance to put a plan in place at all? Mr Murray, the simple fact is that you do not appear to HAVE a plan.

Ally McCoist said: “It has been a frustrating time for everyone associated with the club but I would ask our fans to stick with us for a few more days as we should have a clearer idea of where we are.

“The administrators are working hard behind the scenes in very difficult and complex circumstances to ensure the future of Rangers Football Club.”

Andy Kerr, President of the Rangers Supporters Assembly, added: “Our fans are frustrated by the further delay but hopefully the issues can be resolved in the next few days.

“I’m sure every effort is being made to make progress and it is vitally important that we have clarification soon. It would be helpful if supporters allow Duff and Phelps to get on with their work at this crucial time.”

A few more days? How do you define that? A few more days to me is like…Thursday. A few more days to these guys could be June (when the money runs out).

David Whitehouse added: “Because of what has happened at Rangers, the football authorities to have a difficult task as there are many unprecedented issues to deal with.

“This is a complicated administration due to recent and historical events at Ibrox and while everyone wants to see a solution brought about quickly there is a need to grasp the reality of the situation.

Finally, reality. The reality of the situation is that no matter what party buys the club it will remain a club that is crippled with debt, and debt that will not go away. It will also remain a club that has a massive tax cloud sitting perched above its head.

“It is all very well for some parties to talk in terms of delivering a Company Voluntary Arrangement. That is an administrator’s primary objective.

Can we clarify something on a CVA here? It will not be good reading for those holding on to the hope of one being arranged. Last year in Scotland over 1000 companies attempted a CVA process. Of those companies less than 20 were successful. If a CVA was a horse, I wouldn’t be backing it.

“However, that can only be delivered successfully if it is agreeable to creditors and it is fair to say that certain bids that have been submitted may not have been approved by creditors.

“It is deeply regrettable that some parties have continued to present their bid as being a solution when it clearly was not the case.

“In terms of timing, we believe that should an unconditional bid be made that would meet creditors’ approval and a CVA process could begin, the club could emerge from administration within a period of two months and certainly prior to the commencement of next season.

If a CVA is agreed. That is a big ‘if’.

“If we proceed with an offer that is based on a sale of the business and assets, then we would expect the football club share to be transferred within a matter of weeks, with a preference of prior to the end of the current season.

What does he mean by that? ‘football club share to be transferred within a matter of weeks’. Transferred where? To a new owner or to a ‘newco’?

That is a BIG statement that has been thrown in there. It could be interpreted in different ways.  

“We fully understand and share the frustration of the fans. However, we cannot ignore the fact that while they wish to see an exit from administration there is a not a bid on the table now that will deliver that.

Sounds about right……….

“Everyone should also bear in mind that if that is not achievable then we have to look at all options to keep the club going.

Ahhh…..so he DID mean a ‘newco’. There is a lot of conflicting views coming about in this piece……

Neither bi involves liquidation was said earlier. Now we have talked about ‘transferring share’ and ‘looking at all options to keep the club going’. All options would spell out to me he refers to liquidation, but how exactly Is that ‘keeping the club going’.

Have these people been to the same school as Craig Whyte in making completely useless statements?

“What would be the worst outcome is neither party deciding they wish to carry on. It is therefore not in the club’s interest for people – failed bidders and concerned supporters – to be generating hostility to bidders who are trying to secure the club’s future.”

Big Bill Miller you mean? That is where the hostility must lay. Is he your preferred bidder like?

 

Another day, another epic fail from D&P. Dragging their heels for money? Looking to liquidate?

I sympathise to the extent that selling Rangers cannot be easy. I do not expect a queue around the corner. My problem with the whole situation is that why can someone not just come out and call it straight; tell people what is happening as opposed to flustering them with mixed messages.

Will someone just come out and say; it’s over? Or, the show goes on?

All we have seen is pathetic teasing of deadlines, bidders, CVA’s and a whole host of other rubbish. What have we got? Another day where nothing happened, and another day where there are NO bids to buy Rangers on the table.

 

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