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Sky News has just published information of QPRs search for additional investments:
Championship side QPR drafts in bankers to pitch to investors | Business News | Sky News
The club has appointed US corporate advisors Montminy & Co (Santa Monica, California) to advice the club.
Hoos is once again repeating that this isn't a sale of the club but an effort to find new investors that can sit alongside the present owners - similar to when Richard Reilly invested.
The appointment was made during the summer. Jimmy Floyd Rabbit was right when he referred to a deal with American bankers, but at least officially, it is not about any sale of the club.
New cash from new owners will not help the FFP situation, as we would be bound by the same financial limits as now. Hence, it will not generate money for new player signings in January. This is more about getting onboard more competence and ideas which might have a positive long term impact. I very much welcome this. The present owners need competent co owners.
However, irrespective of the real motives of present owners, I think this can quickly lead to something similar to a sale. Here is why: One challenge the present owners will face when looking for additional investments is that new minority owners will not trust the present owners to make the right decisions (illustrated by the ill made decision to appoint Ainsworth - you do not need to know much about football to understand that wasn't the way forward for a football club with ambitions and a proper business plan in place). Hence, new investors will seek to gain control, either through majority ownership or through a shareholders agreement that give them control of key decisions. The latter will not be straight forward and I can easily foresee the solution being that Ruben and Amit end up with minority. If so, this might end up mirroring a sale, even though Ruben and Amit will not sell a single share. The new capital that will come in could effectively reduce Ruben and Amits shareholding to under 33,3%. If Ruben and Amit have the clubs best interest in mind, they will allow this to happen.
Watch this space - this is interesting times.
Championship side QPR drafts in bankers to pitch to investors | Business News | Sky News
The club has appointed US corporate advisors Montminy & Co (Santa Monica, California) to advice the club.
Hoos is once again repeating that this isn't a sale of the club but an effort to find new investors that can sit alongside the present owners - similar to when Richard Reilly invested.
The appointment was made during the summer. Jimmy Floyd Rabbit was right when he referred to a deal with American bankers, but at least officially, it is not about any sale of the club.
New cash from new owners will not help the FFP situation, as we would be bound by the same financial limits as now. Hence, it will not generate money for new player signings in January. This is more about getting onboard more competence and ideas which might have a positive long term impact. I very much welcome this. The present owners need competent co owners.
However, irrespective of the real motives of present owners, I think this can quickly lead to something similar to a sale. Here is why: One challenge the present owners will face when looking for additional investments is that new minority owners will not trust the present owners to make the right decisions (illustrated by the ill made decision to appoint Ainsworth - you do not need to know much about football to understand that wasn't the way forward for a football club with ambitions and a proper business plan in place). Hence, new investors will seek to gain control, either through majority ownership or through a shareholders agreement that give them control of key decisions. The latter will not be straight forward and I can easily foresee the solution being that Ruben and Amit end up with minority. If so, this might end up mirroring a sale, even though Ruben and Amit will not sell a single share. The new capital that will come in could effectively reduce Ruben and Amits shareholding to under 33,3%. If Ruben and Amit have the clubs best interest in mind, they will allow this to happen.
Watch this space - this is interesting times.
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