The News Of The World is reporting today that Mike Ashley will not be forced into a quick sale of Newcastle United.
Mike Ashley – asking too much for Newcastle
Certainly the global credit crunch has not helped Ashley sell Newcastle, but he also seems to be asking too much for the club at around £300M, which is an enormous profit of £55M for Mike, at a time when credit is simply not available. And he’s only owned the club for 15 months.
But the NOTW says that the owner has told friends he is prepared to sit tight if he doesn’t get the offer he wants for the club. There is some confusion about whether a deadline exists to have offers in for the club, but reports have said it’s this coming Friday.
We’ll see if anything transpires after that date, but some reports say Mike has two serious investors who are interested – we have no idea if that’s true though.
But one thing Mike doesn’t have at the club is time, and if he does try to hold out, then it’s certain the fans will rise again in their protests, because the de-facto agreement was that he would sell the club at a reasonable price, but not a fire-sale.
Surely in these circumstances, getting his money back should be acceptable to Mike. In normal circumstances he could wait, but these are hardly normal circumstances with the club on its knees.
It’s now hard to see investors shelling out £300M for a club they know Mike has invested just £245M in, and reports from Dubai have suggested he could have sold last week for around £250M, and at least got his money back.
If these reports are true, we doubt if he’ll really be able to hold out for too long, because the mood on Tyneside, is that he needs to leave, with the club in a calamitous situation, which can only be rectified with new owners coming in, and yet another fresh start.
Ashley has been warned he will struggle to find any investor ready to meet his £300M asking price in the current financial turmoil – so we wonder why he wouldn’t drop his price to £250M, or at least in that range, and get a deal?
Comments welcome – but please keep them decent – thanks.