The takeover problems continue to rumble on. Steve Borley has expressed his
fears in the Echo today (see below). I'm not in a position to offer much advice here to
either party. Its far to legally complicated for me but as a minor shareholder I am happy
to see my share value dip if it means the investment can go ahead and then I can look to
the future, if the investment goes ahead then money will be pumped into the club. No one
is going to put in £2.5m and then let it fester, they are going to ensure that money is
used well and enables growth. I am more than comfortable with that. If I look at it the
other way. If the investment does not go ahead and the Club struggles and loses all share
value then I have nothing. Shares not worth the paper they are printed on.
Mirror that to Samesh Kumar. At the moment he is
seeing the value of his shares drop. He still has the same ammount of shares, just not
worth as much. The investment happens and the Club grows with the help of the investment
and his share value will increase. If he stops the takeover then his shares will be worth
nothing. Then what can he do. He is the major shareholder of company struggling to
survive.
As a fan I urge all concerned to get it sorted.
Theres nothing more frustrating than having a carrot dangled in front of us and seeing it
taken away. I feel for Steve Borley, his efforts have been great and I'm sure he's feeling
the prerssure an awful lot more than the rest of us.
They are my thoughts, as I say I'm not one for
the legal side of it. Maybe my thoughts are too simple.
From South Wales Echo.
STEVE Borley today expressed his fears for the survival of Cardiff City if the
proposed £2.5m deal does not go ahead.
“If the Clive Sullivan investment doesn’t go through then we must think about
the survival of Cardiff City - both in terms of our Division Two status and for the club
as a whole,” said the Cardiff City chairman.
“We’ve been trading on the basis that Clive Sullivan was coming in. It was a
done-deal and still should be.”
Borley revealed that two major signings, including a striker, are ready for completion
once the investment goes ahead, but said: “We were on course to complete this week,
but Samesh Kumar is delaying things and threatening an injunction if we press ahead.
“It’s sad for Cardiff City and it’s sad after all the work Clive Sullivan
and I have put into this. He is trying to deny shareholders the right to choose. I just
hope Clive Sullivan and his fellow consortium members are up for the fight.”
Kumar has accused the board of selling the Bluebirds ‘on the cheap’ with
Sullivan buying shares at 25 pence, but Borley said: “This investment would be the
biggest step off the pitch in the history of Cardiff City, given the strength of the
investor.
“The average supporter on the street won’t worry about share prices. They want
to see money going into team strengthening, they want to see Cardiff City climbing the
table, they want to see ground improvements. They will happen if this investment goes
ahead - without the investment the future is bleak.”
Borley has kept Sullivan informed on the internal Ninian Park investment problems and
said: “Clive wants to meet face-to-face with Samesh Kumar to sort this out, but he
seems unwilling to do that.”
From Teamtalk
The Cardiff takeover has continued to rumble on with the news that share prices
have fallen by 50 per cent. The consortium announced late last week that they'd now only
give 25p a share to secure controlling interest rather than the initially agreed 50p
Bluebirds Chairman Steve Borley says the latest move won't hamper the completion of the
deal but it will be put back by around three weeks. It is thought that there are three
reasons for this. One being the deal has took longer to complete that expected, two,
because the club's finances have been inspected more closely and third is because the team
is now in relegation trouble. Club directors will now call a meeting with the shareholders
to rubber-stamp the switch although the Chairman believes that it will be in the best
interest of the club. However, one former Chairman Samesh Kumar is opposed to the move. He
says: "How can the directors accept the share price is suddenly cut in half? It'll
now be less than last season when we were in the 3rd Division. 50p is embarassing but 25p
would be totally unacceptable. The share price change won't mean the overall investment
falling from £2.5 million to £1.25 million - instead more shares will be issued to make
up the gap so the lawyers will need to examine the deal once more. |
