Chinese Consortium invests $400m in CFG

I'm not thinking of the money, I'm thinking of how beneficial this deal will be for our player development/recruitment in China.
Not short term, in say 10yrs don't be surprised to see several Chinese players coming into the first team....

Who would the Chinese audience prefer to watch and or travel to then?

Expect more tourists (inline with the new planned links between MCR Airport with China)

This is the next level. I'm just hoping us local people who've stuck around over the years won't be priced out.
 
Prestwich_Blue said:
It's not revenue as it all goes on the balance sheet but it is cash in the bank.
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That's what I don't get regarding FFP, this is $400m cash in the bank, but does FFP let you spend even 1 cent of that on the playing staff? How on earth can someone as inept as UEFA be allowed to pick and choose which forms of generating cash are legitimate, and therefore can be spent on players, and which are illegitimate, and are therefore not available to be spent on players?!
 
This is bonkers..struggling to get my head around it..if we genuinely break into China there is no limit to our resources

We could be looking at being the biggest club in the world soon

Dwarfing the Spanish Giants

Fuck me
 
Why Always Ste said:
I'm not thinking of the money, I'm thinking of how beneficial this deal will be for our player development/recruitment in China.
Not short term, in say 10yrs don't be surprised to see several Chinese players coming into the first team....

Who would the Chinese audience prefer to watch and or travel to then?

Expect more tourists (inline with the new planned links between MCR Airport with China)

This is the next level. I'm just hoping us local people who've stuck around over the years won't be priced out.
Click to expand...

Obviously a strategy the club have been working on for sometime – with the announcement of Sun Jihai as a club ambassador to the recent visit of the Chinese President - seems like China is a market we're eager to exploit.
 
I imagine it opens up the possibility of some high level Chinese company/business sponsorship deals in the near future too. All good.
 
feedmpenzaandhewillscore said:
If he did the club would not go back to the bad old days of Pearce and Joey Barton. City is now a money making machine and there would be a cue of people lining up to take control, why do you think the Chinese wanted to stick some money in.
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No, but it could still go the way of Arsenal. That said we are still a long, long way off that kind of ownership structure, and I doubt ADUG/SM would ever want to relinquish main control.
 
Matty said:
That's what I don't get regarding FFP, this is $400m cash in the bank, but does FFP let you spend even 1 cent of that on the playing staff? How on earth can someone as inept as UEFA be allowed to pick and choose which forms of generating cash are legitimate, and therefore can be spent on players, and which are illegitimate, and are therefore not available to be spent on players?!
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You can spend whatever you like on players, providing that the bottom line meets FFP. As I said in the Messi thread, our net profit in the next financial year (2016/17) could be around £70m, meaning we could buy Messi and pay his wages anyway. But we've now got the cash in the bank to do this.
 
This is incredibly big news. The Sheikh has sold 13 % of City, lock stock and barrel. It is of course the easiest way to claw a bit of that cash back which he's spent, but I'm assuming that this will come with a big positive for City in terms of worldwide exposure. Wow. Not sure how I feel about this to be honest.
 
It does make dropping silly points at Villa rather inconsequential. Can't begin to imagine where, as a club, we will be in 10, 20 years.
 
Fantastic bit of news, one step closer to global domination! Not sure the combined Arab/Chinese ownership is going to make us any less feared and smeared by the western media though!
 
Taylor said:
Sky making it up as they go along.
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No they aren't. That's how is it. The holding company owns the susidiaries and is the key shareholding.

However until the Sheikh's ownership drops under 75% it doesn't have any real impact in that The Sheikh can do what he wants, as long as nothing strange is in t he Articles.
 
markbmcfc said:
It does make dropping silly points at Villa rather inconsequential. Can't begin to imagine where, as a club, we will be in 10, 20 years.
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Not really, if anything it's even more damning, as all these off-field initiatives will only be effective if underpinned by the team on the pitch fulfilling their potential.
 
Didsbury Dave said:
This is incredibly big news. The Sheikh has sold 13 % of City, lock stock and barrel. It is of course the easiest way to claw a bit of that cash back which he's spent, but I'm assuming that this will come with a big positive for City in terms of worldwide exposure. Wow. Not sure how I feel about this to be honest.
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The way I see it, it's the price he's had to pay to get the most sought after agreement in football imo. He won't have wanted to give up any of the company, but to get the backing of China's leaders then you have to give them a proper taste. With now a vested interest in CFG, they really are commited to making City the dominant force in China, which he has seen as being worth the 13%.
 
It's interesting that this is a fresh issue of shares, rather than a sale of existing shares, channelling the money into the club rather than the owner. Though the only impact on the P&L would be the annual increase of cash from any interest received from having a positive bank balance (which at £265m might hold a small amount of materiality).

Excellent move for the club though, creates a ton of positive publicity on club value, which is a big factor in benchmarking sponsorships during negotiations, and allows is to exploit a new market that already exists in bucket loads, with huge value.
 
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