The BBC is reporting that it understand a South African consortium has made a bid in the region of £300M to buy Newcastle.
If that is true, and with the positive reaction to the group by Newcastle fans, that would presumably be an acceptable offer to Mike Ashley. It gives him £55M profit on his investment of £245M, which is just over 22%.
The South African group of five businessmen are also reported to be keen to bring back Kevin Keegan as manager, and the Evening Chronicle reported last night they would offer Keegan a 5% (5% – 10% was what the Chronicle actually reported) stake in the club.
If the deal goes through at £300M that’s £15M for Kevin – and twice that much if he is offered 10% of the club. Not too bad at all for what essentially is a signing-on fee. And if they are willing to give Kevin that personally, you’ve got to believe they will fund him big time in the transfer market.
As we reported this morning interim boss Joe Kinnear revealed today that Derek Llambias told him as many as eight consortiums had been in talks with owner Mike Ashley about buying the famously supported Newcastle United club.
The South African group must now be considered the front-runners and could be set to finalize a deal in weeks. The expectation is that some group will buy Newcastle before the end of October.
This has to be good news for both the club and the Newcastle fans, as this group seems to be very professional and want only the best for the faithful fans.
We would love this deal to go through – love it.