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Dipper Takeover? [Merged]
- Thread starter bluemonkey71
- Start date
BoyBlue_1985
Well-Known Member
mike channon´s windmill said:BoyBlue_1985 said:Right i need soemone who knows what they talking about here. I just had a read on soverign wealth funds and to me they are obviously worth alot but there i not much liquid cash involved and is more assests, is that right?
Secondly if the blokes from China like they say then they have one of either the 4th, 5th and 7th highest wealth funds behind them
Someone help me because these funds sound complicated
Think basically they´re pretty risky and complex and many were over exposed to sub-prime and therefore fooked - Chinese SWFs however I believe were not though I have no details. With Chinese growth rocketing they probably piled into commodities, copper etc amongst other things
So how is liquid cash freed up to use in say buying liverpool and there new stadium and all that other waffle they need?
BoyBlue_1985
Well-Known Member
Bluecifer said:I don't think it is, I think the capital is used as collateral and loans taken out on them.
Nothing is ever done with cash money now, it's shuffling numbers.
So you take a loan out and use your fund as callaterol on the loan?
I have a different take on this.
Its quite possible that Huang can bid RBS for the loan. RBS will be at liberty to move that loan on to another party without Liverpool's consent. Huang is also likely to be offering a discount to its face value, arguing that certainty now for RBS is preferential to a) the politics of a government backed bank being involved in a high profile debt exposure; and b) any write off of part of the loan that would come if Liverpool have another poor season. So on the face of it, Huang could buy the debt and could do a deal quickly. I don't see the litigation risk as described by PB (why do you think that, PB?)
At that point, Huang would hold Liverpool to all the covenants (ie conditions) of the loan. Once breached, Huang calls for full repayment and Hicks and Gillet have a choice. Pay up or let Huang take control.
Given the publicised difference in valuations, there is no way a conventional deal can be done here. These moves, if genuine, are very aggressive by Huang and it all smacks of a financial rather than an altruistic deal. It would be bad news for Hicks and Gillett but not necessarily good news for Liverpool fans.
As for a Syrian bidder, that has all the hallmarks of a typical football timewaster.
I agree with Tolmie in that taking over Liverpool at this point is a very high risk deal given the expenditure required but stranger things have happened close to home...
Its quite possible that Huang can bid RBS for the loan. RBS will be at liberty to move that loan on to another party without Liverpool's consent. Huang is also likely to be offering a discount to its face value, arguing that certainty now for RBS is preferential to a) the politics of a government backed bank being involved in a high profile debt exposure; and b) any write off of part of the loan that would come if Liverpool have another poor season. So on the face of it, Huang could buy the debt and could do a deal quickly. I don't see the litigation risk as described by PB (why do you think that, PB?)
At that point, Huang would hold Liverpool to all the covenants (ie conditions) of the loan. Once breached, Huang calls for full repayment and Hicks and Gillet have a choice. Pay up or let Huang take control.
Given the publicised difference in valuations, there is no way a conventional deal can be done here. These moves, if genuine, are very aggressive by Huang and it all smacks of a financial rather than an altruistic deal. It would be bad news for Hicks and Gillett but not necessarily good news for Liverpool fans.
As for a Syrian bidder, that has all the hallmarks of a typical football timewaster.
I agree with Tolmie in that taking over Liverpool at this point is a very high risk deal given the expenditure required but stranger things have happened close to home...
Ancient Citizen
Well-Known Member
- Joined
- 26 Jul 2009
- Messages
- 15,710
Ah, so, now they can keep that "Blilliant stliker Toll-es, and Loy can buy
top class centlal defender. "We now win Champion Reague !"
top class centlal defender. "We now win Champion Reague !"
Matty
Well-Known Member
Re: Chinese takeaway...
Sorry, but I thought this needed more credit than it got. made me laugh.
Archangel_nth said:"You'll never wok alone."
Sorry, but I thought this needed more credit than it got. made me laugh.
mike channon´s windmill
Well-Known Member
- Joined
- 2 Jun 2008
- Messages
- 7,475
BoyBlue_1985 said:Bluecifer said:I don't think it is, I think the capital is used as collateral and loans taken out on them.
Nothing is ever done with cash money now, it's shuffling numbers.
So you take a loan out and use your fund as callaterol on the loan?
Basically - the fund and all the assets which make up such (equities. bonds etc)
Surely Woy would stay as Woy?
If he introduced himself with his sad old lady face and said "Hewow I Woy" in that weird cockney speech impediment they all seem to possess in Eastenders.
They'll just assume there is no R to mispronounce!
If he introduced himself with his sad old lady face and said "Hewow I Woy" in that weird cockney speech impediment they all seem to possess in Eastenders.
They'll just assume there is no R to mispronounce!