We had issued an article on Wednesday saying that we didn’t think any of the £100M Newcastle owner Mike Ashley had received from selling 25M of his Sports Direct shares for 400 pence a share last week, would ever see its way into Newcastle’s coffers.
Mike Ashley – cashed in £ 100M of Sports Direct shares this week
It was probably a move by the Newcastle owner of cashing in the shares while they were high, following Sports Direct’s excellent financial figures they announced last week easily beating the estimates, and it’s also probably an attempt to diversify his investments away from having all his eggs in one basket – Sports Direct.
During the many interviews Alan Pardew had this week, he was asked about the £100M and whether he thought he’d see any of it – and this is what he said:
“No, I don’t think any of that will be coming my way.” “The windfall is earned from the success of his companies and what we have to do is earn our own success here on and off the pitch.”
Mike Ashley and Derek LLambias have vowed to plough any profits Newcastle get straight back into the club – and since we should be starting to make some profits when the figures for the last financial year through the end of last June are announced, Newcastle should continue to be in very good shape financially.
And you also have to remember that one reason clubs were willing to sell good players to Newcastle in January, half way through the season, was because we now pay our transfers up front in full and in cool cash – and we don’t pay for our players over a number of years via installments, as most top clubs do – as we used to do under Freddy Shepherd.
That helps keep the financial books in very good order, and we don’t owe millions of pounds on players who have been failures and already left the club – as was the case when Mike Ashley took over Newcastle in the summer of 2007.
Whether you love or hate Mike Ashley that makes very good business sense.
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