@TheChair said:
Congratulations to all concerned and a big thank you to everyone who has sat on the Trust Board over the years. It can't have been easy!
Spot-on @TheChair! May I add my grateful thanks too and I'm totally sure it wasn't easy for them!
That is fantastic news! I believe that the Couhigs will run a tight ship and use this investment wisely, adding value to our beloved club and setting a sustainable course to all round success. A great matchday experience is bound to get more and more people down to AP, enjoying their time there andreturning again and again.
Indeed a bright future awaits all Wycombe fans in this, the start of a new era continuing the success of our proud club.
@NorsQuarters said:
That is fantastic news! I believe that the Couhigs will run a tight ship and use this investment wisely, adding value to our beloved club and setting a sustainable course to all round success. A great matchday experience is bound to get more and more people down to AP, enjoying their time there andreturning again and again.
Indeed a bright future awaits all Wycombe fans in this, the start of a new era continuing the success of our proud club.
COYB!
Yep! A bright future no matter where we finish this season.
@ strongest Team, @ moneyman is correct, they have purchased the shares. the 300,000 voting shares give them the 75% share of the now 400,000 voting shares, and the 845003 is a balancing figure to give them a 75 % of the ordinary non voting shares after the Trust has "sold" them the number to provide the 75% required, there is the small matter of the Trust owing WWFC as at June 2019 £698,707 to be taken into account as well.
I've been asleep at the wheel here. This deal looked cheap to me when I read this earlier in the week and now I've realised why. The Trust pitch (this from the Trust website) was:
"... Feliciana will invest £2.2 million to settle all outstanding debts, and support working capital needs at the football club. All charges currently held against Adams Park will be lifted, and the stadium and club memorabilia will remain 100% owned by Wycombe Wanderers Trust’s subsidiary company, Frank Adams Legacy Limited (FALL).
Feliciana will make available an additional £1 million for working capital, and the club will enter into a new 15-year lease with FALL to use Adams Park, paying an annual rent of £150,000, subject to a discount in the first five years, and will be responsible for maintaining the stadium."
I took that (and the verbal explanation at the Trust members meeting) to mean that they were investing £2.2m in shares and there would then be £1.1m in working capital on top. The clear attraction of that was not only was it sufficient to clear the debt, but to give us a bit of headroom for the next year or two. Clearly I should have been paying more attention (or, of course, gone and read the full legal document!).
But I didn't think that £1.1m was enough to clear the existing debts. Indeed the accounts at June 2019 show net liabilities at something in excess of £1.4m.
It makes me feel that I'm not going entirely mad and explains why I understood the deal to be c. £2.2m + £1m working capital: "Feliciana will invest £2.2 million in settling the Club’s and FALL’s debts and providing additional working capital, and will provide a further £1 million of loans to the Club."
My concern is that if we've done a deal which steadies the ship in settling the debt (no small matter in itself, I accept) but little more, it brings closer the point where the available cash is used up and we have to have a share issue which the Trust has to find 25% of. If we're also increasing the cost base (U23 squad) and disallowing use of the rent holiday in the Trust's contribution) it all makes life more difficult and sooner for the Trust and the club.
Comment from a knowledgeable accountancy type would be welcome.
Comments
Signing(s) of the season
I’m hoping that the Couhig’s are going to write to La Liga and ask if they can sign a few more players before the end of the season....
I hope they are going to be careful with the Fair Play Finances...I don't want us banned from Europe.
Congratulations to all concerned and a big thank you to everyone who has sat on the Trust Board over the years. It can't have been easy!
Spot-on @TheChair! May I add my grateful thanks too and I'm totally sure it wasn't easy for them!
Great news
RIP, Gasroom takeover bickering.
Plenty of post-takeover bickering to come.
Thank goodness for that.
Yes, we if we don’t win 5-0 or better tomorrow, I expect to be asked to crowdfund a ‘Couhigs Out’ banner by teatime Sunday.
Nay sayers can step down...for now.
Might it not make sense to make it now so as to be ready?
No doubt a doom monger is sourcing fabric as I type. I on the other hand am pretty optimistic for the future, on and off the pitch.
How long before plans for a new 30000 seater stadium are announced?
That is fantastic news! I believe that the Couhigs will run a tight ship and use this investment wisely, adding value to our beloved club and setting a sustainable course to all round success. A great matchday experience is bound to get more and more people down to AP, enjoying their time there andreturning again and again.
Indeed a bright future awaits all Wycombe fans in this, the start of a new era continuing the success of our proud club.
COYB!
"put in" = "loaned" doesn't it?
Yep! A bright future no matter where we finish this season.
Fairly sure they said it wouldn't. Not yet anyway.
I thought this figure represented the purchase price of their shares?
@ strongest Team, @ moneyman is correct, they have purchased the shares. the 300,000 voting shares give them the 75% share of the now 400,000 voting shares, and the 845003 is a balancing figure to give them a 75 % of the ordinary non voting shares after the Trust has "sold" them the number to provide the 75% required, there is the small matter of the Trust owing WWFC as at June 2019 £698,707 to be taken into account as well.
What is the single Enshrined Rights share?
I've been asleep at the wheel here. This deal looked cheap to me when I read this earlier in the week and now I've realised why. The Trust pitch (this from the Trust website) was:
"... Feliciana will invest £2.2 million to settle all outstanding debts, and support working capital needs at the football club. All charges currently held against Adams Park will be lifted, and the stadium and club memorabilia will remain 100% owned by Wycombe Wanderers Trust’s subsidiary company, Frank Adams Legacy Limited (FALL).
Feliciana will make available an additional £1 million for working capital, and the club will enter into a new 15-year lease with FALL to use Adams Park, paying an annual rent of £150,000, subject to a discount in the first five years, and will be responsible for maintaining the stadium."
I took that (and the verbal explanation at the Trust members meeting) to mean that they were investing £2.2m in shares and there would then be £1.1m in working capital on top. The clear attraction of that was not only was it sufficient to clear the debt, but to give us a bit of headroom for the next year or two. Clearly I should have been paying more attention (or, of course, gone and read the full legal document!).
But I didn't think that £1.1m was enough to clear the existing debts. Indeed the accounts at June 2019 show net liabilities at something in excess of £1.4m.
Anybody got a clue?
I've now found the Trust exposition of the deal to members prior to the vote:
http://wycombewandererstrust.com/wp-content/uploads/2019/10/Summary-of-agreements-for-Legacy-Members-141019.pdf
It makes me feel that I'm not going entirely mad and explains why I understood the deal to be c. £2.2m + £1m working capital: "Feliciana will invest £2.2 million in settling the Club’s and FALL’s debts and providing additional working capital, and will provide a further £1 million of loans to the Club."
My concern is that if we've done a deal which steadies the ship in settling the debt (no small matter in itself, I accept) but little more, it brings closer the point where the available cash is used up and we have to have a share issue which the Trust has to find 25% of. If we're also increasing the cost base (U23 squad) and disallowing use of the rent holiday in the Trust's contribution) it all makes life more difficult and sooner for the Trust and the club.
Comment from a knowledgeable accountancy type would be welcome.