Rangers CEO Charles Green has confirmed that the Football League has given Newcastle owner Ashley permission to invest in Glasgow Rangers Football Club.
Mike Ashley – will own a little less than 10% of Rangers
Rangers are now playing in the fourth tier of Scottish football after their bankruptcy, and this is what the other clubs voted for, but it’s likely that the SPL will now drop even further down the list of European Leagues, from the 18th position they hold today.
That was when the Scottish Premier League was a two club league, Celtic and Rangers, but now it seems it’s down to a one club league and Celtic won 5-0 at St. Mirren yesterday.
This is what Green said yesterday:
“As you know we’ve been trying to get the position clear where Mike can buy shares in Rangers.” “We finally got clearance from the Football League after they had a board meeting recently and the meetings this afternoon were to make sure the path’s clear for Mr Ashley to invest.”
“He’s obviously keen to do that and I’m sure that will get completed in the next few days.” “I think we’ve already stated previously that he’s not allowed to take a material stake because of the dual ownership position.”
“It was made clear to the football league that it would be single-digit percentages. So it’s below what I said to the financial authorities that no-one would hold more than 10 per cent. Mike will be under the 10 per cent level.”
“There’s lots of things that we want to do with Sports Direct. Mike’s very, very influential.”
This is a deal where Mike Ashley is hoping that once Rangers climb the leagues again, they will be worth an awful lot more than they are worth now – and that’s probably the case.
Then Mike’s 10% or so in the club will be worth a lot more, and also his Sports Direct deal will also look a lot better financially – given that Rangers return back to the Scottish Premier League in about three years.
From a business viewpoint this seems a good financial deal the Newcastle owner has struck with Rangers.
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