The heat rises as the sun goes down on SISU? (1 Viewer)

[PWKH]

i am sure you will make any sale process as complicated and drawn out as possible.

What sale process?

My post was aimed at clarification of what was owned by whom and which parts produced income. I did not say anything about a sales process.

 

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[dongonzalos]

i am sure you will make any sale process as complicated and drawn out as possible.

I would imagine a complicated business deal may come naturally with 3 interested parties on the selling side involved. Plus 7 companies and some unidentified investors on the buying side involved.

 

[Cheshire Sky Blue]

i am sure you will make any sale process as complicated and drawn out as possible.

I am certain any sales process will be complicated. The comment made by PWKH was a piece of insight that now pointed out is obvious and very valid. None of the rest of us raised it.

And to ensure that the folk of our City, CCC and ACL get the correct level of return for the risk they took and the crap they have had to deal with over the last 2-3 years it is going to need very carefully constructed contracts (and that is with any buyer not just slippery SISU)

 

[Astute]

i am sure you will make any sale process as complicated and drawn out as possible.

I can't imagine how anyone can be anywhere near as difficult as SISU to deal with.

 

[chiefdave]

It's odd that the only tenant that seems to have a problem with ACL is SISU. All the other users of the Ricoh don't seem to have a problem.

If SISU do want ownership and are willing to pay market rate how about this for a solution. Proceed with the purchase of the Higgs 50% of ACL that a HoT was previously agreed on. Then over the next say 5 years (the absolute minimum amount of time it will take for any new stadium to be built) prove themselves to be trustworthy partners and after 5 years SISU can buy CCC part of the lease, you could even agree the price now if preferable.

CCC should put in a clause that if the lease is separated from CCFC the lease is terminated, same if SISU put CCFC into administration.

Once the current lease expires go onto a rolling lease with a peppercorn rent, no need for SISU to ever own the freehold.

 

[No future with SISU]

I just don't see a hedge hund wanting to accumulate property. It's just not what they do. By nature they buy ailing businesses, restructure them and sell them on at profit. They are not in the game of gathering property or land. They'll want to move on from this sorry mess as much as we all want them to.

They do invest in companies as well. 14% shares in a Poland phone company.

 

[CCFC PimpRail]

Because CCFC has failed whilst being a tennant. It's been a downhill slide to this ever since we sold HR.

Owning a stadium such as The Ricoh and all the possible revenue streams that come with it would make us infinitely stronger. Is that not obvious?

If this mythical far eastern investor came along they'd have to have a massive pile of cash to invest, merely owning a stadium would tie up many millions and only save the pittance of a rent and give a bit of pie and parking money. If you won the lottery, you wouldn't blow every penny on the most expensive house you could afford, especially with existing debts.
Big businesses tend to rent assets anyway, it's risky borrowing against an asset and works out cheaper to lease, and means you can also lower staff overheads as you don't need anyone to manage the ground.

I doubt ccfc were too bothered what else ACL did when the Ricoh opened, so any attempt to muscle in on different more profitable revenue streams at a bargain price seems tantamount to theft. Stick to the football....!

 

[stupot07]

It's odd that the only tenant that seems to have a problem with ACL is SISU. All the other users of the Ricoh don't seem to have a problem.

I doubt the other tenants are paying anything like the £50k per day rent we were.

Having said that, the Ricoh gym was closed due to making big losses....




Sent from my iPhone using Tapatalk - so please excuse and spelling or grammar errors

 

[Sky Blue Harry H]

I worry about the fact that ACL as a company is running at a loss now that they do not have CCFC as a tenant and as such the CCC is required to support it as a tax payer who is being effected by these extreme cuts to services the council are doing I then ask myself why don't the council sell off the RICOH and put the money back into OUR coffers and stop some or all of the bleeding cuts they are doing! its alright them saying they are protecting the RICOH for the taxpayers of Coventry for what purpose may I ask!

'they are protecting the RICOH for the taxpayers of Coventry' - isn't the answer there in your question? As for the Council putting the money back in your coffers........'Warwickhunt' ? - not knocking you mate, I'm from Warwick too !

 

[Sky Blue Harry H]

They do invest in companies as well. 14% shares in a Poland phone company.

The future is bright the future is Orangowski

 

[Tonylinc]

All this "we need to own the Freehold", stuff is absolute rubbish which I thought had been exposed some time ago.To gain revenue streams you only need to obtain a leasehold interest. JS will know this therefore my conclusion is that she wants it in order to sell.

 

[shmmeee]

Because CCFC has failed whilst being a tennant. It's been a downhill slide to this ever since we sold HR.

Owning a stadium such as The Ricoh and all the possible revenue streams that come with it would make us infinitely stronger. Is that not obvious?

Correlation doesn't equal causation. We've also failed since Ally McBeal's been off the air, should Joy be on the phone to Callista Flockheart?

Where's the financial case? People keep talking about "other income streams" but what are they and what's to stop us doing it anyway? Unless we plan to make money on renting the Ricoh/<insert comedy SISU stadium name here> out, whilst paying off the mortgage. Ask ACL what a money spinner that is!

I'm not saying there isn't one, I'm just saying I've yet to see it, just vague notions. It's all a bit Emperor's New Clothes for me.

 

[Grendel]

Correlation doesn't equal causation. We've also failed since Ally McBeal's been off the air, should Joy be on the phone to Callista Flockheart?
.

So we nearly went bankrupt with the last lot in charge and we have with present lot.

Remind me, when did that happen when we owned the ground? That seems a pretty big cause and effect to me.

 

[Astute]

All this "we need to own the Freehold", stuff is absolute rubbish which I thought had been exposed some time ago.To gain revenue streams you only need to obtain a leasehold interest. JS will know this therefore my conclusion is that she wants it in order to sell.

It depends what the freehold is wanted for.

Joy might want it so she can remortgage it to the hilt. SISU seem to run on debt and distressed debt. They then might even get another section of SISU to buy it back at a distressed amount. Just like they tried before CCC remortgaged......which is what the JR is all about.

 

[Astute]

So we nearly went bankrupt with the last lot in charge and we have with present lot.

Remind me, when did that happen when we owned the ground? That seems a pretty big cause and effect to me.

At least the last lot as you call them tried to make us successful and kept us in the top flight for many years. SISU have not tried the same and have got us into Division 3 and don't even keep to the rules so keep putting us into admin. But you seem to love trying to make out that the last lot were worse.

 

[Jack Griffin]

They do invest in companies as well. 14% shares in a Poland phone company.

Is that the one they're trying to flog, maybe because they are short of funds?
http://www.coventrycity-mad.co.uk/n...its_polish_telcom_interest_805001/index.shtml
http://www.tmtfinance.com/news/poland-deals-focus

 

[RPHunt]

They have had that investment for nearly 3 years.

If they were to sell today, they would lose about 10% of what they invested. If instead, they had invested in a basket of FTSE shares, they would be able to sell today with a profit of about 20%.

Quite clearly, it is not only football clubs that SISU don't seem to be able to make a profit from.

 

[Mr T - Sukka!]

If SISU want the Ricoh why dont they offer the £113m it cost to build? At least the council would have an offer, currently there is diddly squat.

At least thats a fair price. But some will say JS does not like paying cost price.

Well she is quick to try and hang onto as much as the so called £61m she claims to have put into CCFC.

So why should not the same rule apply to others?

 

[hopesprings]

So we nearly went bankrupt with the last lot in charge and we have with present lot.

Remind me, when did that happen when we owned the ground? That seems a pretty big cause and effect to me.

Unbelievable leap! Didn't go bankrupt when we owned HR because certain directors at time LOANED huge sums of money and didn't charge interest (or at least thats what we were told) Also the bank didn't call in debt cos I suggest they had legal charge on asset ie LAND of Highfield Road. Do try at least to put some semblance of joined up thinking to your fantasy.

 

[chiefdave]

If SISU want the Ricoh why dont they offer the £113m it cost to build? At least the council would have an offer, currently there is diddly squat.

At least thats a fair price. But some will say JS does not like paying cost price.

Well she is quick to try and hang onto as much as the so called £61m she claims to have put into CCFC.

So why should not the same rule apply to others?

What they need to buy is ACL not the stadium. The new stadium is going to cost £40m so why not offer Higgs £10m for their share (which is roughly what the buyback formula valued it at I believe), pay off the £14m loan and offer the council £16m for their share. For the same cost as a new basic out of Coventry stadium with a lower capacity after at least 5 years on low income at Northampton they could have the lease of the Ricoh and all the associated revenues pretty much straight away.

Council retains the freehold, maybe change the lease to a rolling one with peppercorn rent. By retaining the lease there is security against SISU doing anything not in the clubs best interests. They can have clauses that if SISU do certain things (put club in admin, separate club and ground, take credit against stadium etc) the lease is terminated and reverts to the council.