What does "due diligence" mean ? What sort of timescale is there for this sort of thing ? How comes no leaks have come out of the Valley re this!!!!!!!!!
[cite]Posted By: charlton4ever[/cite]What does "due diligence" mean ?
What sort of timescale is there for this sort of thing ?
How comes no leaks have come out of the Valley re this!!!!!!!!!
Due Dilligence is basically going over everything with a fine toothcomb. Checking the accounts. Checking we actually own the stadium. Checking the players' contracts etc etc.
Timescale - no idea. Some people have mentioned it could be a done deal within a week/
No leaks? Henry's no longer a director :-p
"due diligence" is a process whereby the prospective purchasers look at the books, records and accounts of the company they hope to buy to make sure that everything stacks up as they have been led to believe.
[cite]Posted By: KenTred[/cite]How much are the dubai lot having to borrow to buy the club and is the debt to be put on the club as in liverpool and manure?
I very much doubt they're borrowing a single penny....
Due diligence is a period when the buyers can let the accountants look at all the financial details of the club and the lawyers can look at all the legal issues while the seller is checking the buyers credentials.
It usually takes 2-4 weeks depending on how complicated the issue is...
Unless you do your due diligence you can face nasty surprises as when Ashley bought NUFC and found that it meant that he had to pay the stadium debt immediatelly....:D
I hope so, that´s why I will be monitoring your forum to see if your takeover is in any way different from ours...The Dubai crowd is often considered "rash" by the Abu Dhabi Sheiks.
Mind you, they are all cousins and come from the same tribe...
[cite]Posted By: KenTred[/cite]The current Charlton directors will have made money! no doubt the investors see a lot of growth potential in Charlton which will make thwm money
How can know if the current directors will make money when you dont know the price of the takeover??? I very very much doubt if they will in my opinion.
[quote][cite]Posted By: ShootersHillGuru[/cite]Why do you think that anyone would want to buy a football club anyway. They cant make money. Is it just a corporate toy ?[/quote]
Not really even if the object might not be to earn money in the first place...
The Emirs of both Abu Dhabi and Dubai are keen on promoting the UAE with all kinds of PR but mostly they favour sports, don´t even think that the City takeover would have been done without the consent of the Emir (who´s the brother of Sheik Mansour btw) and when it comes to sports nothing is bigger than footy, and no league more broadcasted than the EPL. But these young Sheiks buying clubs are not that interested in buying the finished article because it wouldn´t look good enough, they must constantly show their elders their ability to better things or they will just be labeled lazy gits and might find themselves out of favour rather quickly. Of course when are talking about ruling families like the Al-Nahyans and Maktoums a certain friendly rivalry might enter the picture as well.
So it´s part toy, part PR, part a way of showing their elders their ability to create something out of nothing...Of course boosted by the fact that the Gulf is up to its nose with money looking for a home because of Oil price hikes the last decade...Money they simply can´t invest in their own countries without creating hyperinflation.
[cite]Posted By: KenTred[/cite]The current Charlton directors will have made money! no doubt the investors see a lot of growth potential in Charlton which will make thwm money
How can know if the current directors will make money when you dont know the price of the takeover??? I very very much doubt if they will in my opinion.
Agree with Brunello. Any return they may or may not get has to take into account the money they have lost by not putting that money into another investment. (opportunity cost)
[cite]Posted By: ShootersHillGuru[/cite]Why do you think that anyone would want to buy a football club anyway. They cant make money. Is it just a corporate toy ?
I happen to think that they could make money out of Charlton.
1. It'll be a small investment as compared to buying Newcastle or Liverpool
2. They can get the ground up to 40,000 at relatively low cost compared to their wealth
3. They won't have to invest massive sums in the playing squad in the first year
4. If we get promoted that'll be worth £50m
5. With the right investment, we could be in the Champions league withing 5 years? Who knows
6. They have the resources to make us a global brand and that will bring in £???
7. They recognise the potential to make money from other sources in the locality over the next four years eg Olympics, Thamesgateway etc.
[quote][cite]Posted By: Valley McMoist[/cite][quote][cite]Posted By: ShootersHillGuru[/cite]Why do you think that anyone would want to buy a football club anyway. They cant make money. Is it just a corporate toy ?[/quote]
I happen to think that they could make money out of Charlton.
1. It'll be a small investment as compared to buying Newcastle or Liverpool
2. They can get the ground up to 40,000 at relatively low cost compared to their wealth
3. They won't have to invest massive sums in the playing squad in the first year
4. If we get promoted that'll be worth £50m
5. With the right investment, we could be in the Champions league withing 5 years? Who knows
6. They have the resources to make us a global brand and that will bring in £???
7. They recognise the potential to make money from other sources in the locality over the next four years eg Olympics, Thamesgateway etc.
This is a going-concern for them, IMHO[/quote]
Now that is one positive post...... that I loved reading.....
Its not only checking the books, its making sure there know all risks to their asset. The infastructure ofthe stadium and is equipment , through to defered debt.
These guys are used to mega deals over property they will have a top bunch of people who only under take this type of work.
Comments
Timescale - no idea. Some people have mentioned it could be a done deal within a week/
No leaks? Henry's no longer a director :-p
It usually takes 2-4 weeks depending on how complicated the issue is...
Unless you do your due diligence you can face nasty surprises as when Ashley bought NUFC and found that it meant that he had to pay the stadium debt immediatelly....:D
I hope so, that´s why I will be monitoring your forum to see if your takeover is in any way different from ours...The Dubai crowd is often considered "rash" by the Abu Dhabi Sheiks.
Mind you, they are all cousins and come from the same tribe...
How can know if the current directors will make money when you dont know the price of the takeover??? I very very much doubt if they will in my opinion.
Not really even if the object might not be to earn money in the first place...
The Emirs of both Abu Dhabi and Dubai are keen on promoting the UAE with all kinds of PR but mostly they favour sports, don´t even think that the City takeover would have been done without the consent of the Emir (who´s the brother of Sheik Mansour btw) and when it comes to sports nothing is bigger than footy, and no league more broadcasted than the EPL.
But these young Sheiks buying clubs are not that interested in buying the finished article because it wouldn´t look good enough, they must constantly show their elders their ability to better things or they will just be labeled lazy gits and might find themselves out of favour rather quickly.
Of course when are talking about ruling families like the Al-Nahyans and Maktoums a certain friendly rivalry might enter the picture as well.
So it´s part toy, part PR, part a way of showing their elders their ability to create something out of nothing...Of course boosted by the fact that the Gulf is up to its nose with money looking for a home because of Oil price hikes the last decade...Money they simply can´t invest in their own countries without creating hyperinflation.
Agree with Brunello. Any return they may or may not get has to take into account the money they have lost by not putting that money into another investment. (opportunity cost)
I happen to think that they could make money out of Charlton.
1. It'll be a small investment as compared to buying Newcastle or Liverpool
2. They can get the ground up to 40,000 at relatively low cost compared to their wealth
3. They won't have to invest massive sums in the playing squad in the first year
4. If we get promoted that'll be worth £50m
5. With the right investment, we could be in the Champions league withing 5 years? Who knows
6. They have the resources to make us a global brand and that will bring in £???
7. They recognise the potential to make money from other sources in the locality over the next four years eg Olympics, Thamesgateway etc.
This is a going-concern for them, IMHO
I happen to think that they could make money out of Charlton.
1. It'll be a small investment as compared to buying Newcastle or Liverpool
2. They can get the ground up to 40,000 at relatively low cost compared to their wealth
3. They won't have to invest massive sums in the playing squad in the first year
4. If we get promoted that'll be worth £50m
5. With the right investment, we could be in the Champions league withing 5 years? Who knows
6. They have the resources to make us a global brand and that will bring in £???
7. They recognise the potential to make money from other sources in the locality over the next four years eg Olympics, Thamesgateway etc.
This is a going-concern for them, IMHO[/quote]
Now that is one positive post...... that I loved reading.....
These guys are used to mega deals over property they will have a top bunch of people who only under take this type of work.