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I wasn’t trying to be pedantic, but you saying that as soon as you transfer say £15m, you’re already -£15m on PSR is incorrect. For arguments sake, that £15m could be spent on a player on a 5 year contract and so only £3m would affect PSR for any given year.

Which I already said was the case anyway. My original point was talking generally as OP tried making out I was being absurd for saying it when in fact, debt is usually cheaper than equity.

Like this ChatGPT I’ve literally just generated? That’s the difference, I didn’t need to enter in to Google or ChatGPT to know that. It’s a basic concept.

No it wouldn’t. It would not affect PSR in any way shape or form. Only the interest would, actual or the market value of interest free, if EFL rules follow the PL. PSR works on accounting profit. Loans do not affect profit as they belong on the balance sheet. Only interest from said loans would...

An interest free loan would not affect the profit though as it is a balance sheet item only. That being said, I know in the PL they require clubs to assess this on the basis that the loan is at market value and profit is adjusted to reflect true market interest on rates. Not sure if the same...

Of course it’s going to be for the benefit of the football club? Look, it’s likely to be one of two things: DK or someone external has invested £15m into the club. I personally think it’s feasible it’s external purely due to the fact that another class of shares have been issued, probably with...

Why on earth would he need to draw up a loan agreement? Have you ever heard of a directors loan? Would be as simple as setting up a payment from his own bank to the company account. And no one would be any wiser until the year accounts re published. Debt being cheaper than equity is a simple...

The EFL do not stop clubs from having debt though do they. Clubs have to submit business plans and financial statements to show the debt is manageable, but even then as long as the club’s meet PSR rules and pay their creditors on time there’s nothing they can do.

Unless you have inside knowledge of what the club are doing, no one could tell you what the share issue was for based off what’s available atm. Could be a number of different things.

Exactly what I meant. The EFL have no jurisdiction over what the debt/equity in the club is, so long as we meet PSR. That’s my understanding of it anyway.

Let’s be honest, DK has not gone online to sort this. He would have paid his accountant. That’s why I meant cheaper. Debt is cheaper than equity btw.

For PSR, which has already been established we are not even close to reaching.

I agree with this. It’s not just a share issue, but a whole new class of shares too. Loaning money would have been much easier, and cheaper (if interest free).

The shares issued are ‘A’ class shares. They are a separate share class which will most likely have different voting rights, entitlement to dividends etc. It’s unlikely 1 ordinary share will be valued the same as 1 ‘A’ share as they will hold different rights.

That credit facility is just between CCFC and CovCityCo (Parent). The new shares have been issued to CovCityCo so at the moment are completely separate from the credit facility you mention. That being said, I do think it’s unlikely a sole shareholder would issue new shares to inject capital...

As CovCityCo is the parent, I’d have expected Doug to loan money to CCFC, via the parent like he’s done before. The fact new shares have been issued in the parent company would suggest external investment. Otherwise, he’s just issuing new shares to himself, which is possible but unlikely if it’s...

Not sure you’d issue new shares for this scenario, personally.

Probably the dickhead that stands in the aisle next to me in the corner.

Not sure any team in Turkey will pay the money we want though? Realistically, you’d want at least £12m back, if not more.

PR exercise, nothing more. He is consistent with his attitudes in interviews when there’s controversy. He’s just an arrogant spoilt brat.