There’s news that some Billionaires are now keen to buy Premier League clubs now that they are able to make profits given the vast TV money the league generates through their matches being shown live around the world.
There have been reports of late that Britain’s richest man Jim Ratcliffe is interested in potentially buying a PL club and he has bought Lausanne-Sport, a Swiss club, to find out more about what club ownership entails.
The Chronicle had a piece on this a few days ago on potential investors in football clubs and the Times reported that a US company – Prolific Media Holdings – offered £125M bid for a 35.7% stake in Watford recently.
What has Watford got that Newcastle haven’t?
Everton got a significant investment (49.9%) in February last year from Iranian Billionaire businessman Farhad Moshiri after he sold his shares in Arsenal a year earlier.
He has invested around £150M so far and that may increase.
Sheik Khaled Bin Zayed Al Nehayan, is the brother of the Manchester City owner and he is supposed to have made a£2B for Liverpool, but owners Fenway Sports Group (FSG) turned the offer down.
But that shows how you can make money in football – FSG bought Liverpool for around £300M in October 2010 – and invested in the club, and eight years later it’s gone up around seven times in value.
Russian President Vladimir Putin with Russian Billionaire Alisher Usmanov
Russian Oligarch Alisher Usmanov has sold his £550M investment in Arsenal over the summer and could be ready to invest in a club – but it seems it could be a big club on the continent and not in England.
Both Wolves (owner – Chinese conglomerate Fosun International) and Fulham (owner Pakistan/American Billionaire Shad Khan), who were Championship clubs only last season, are getting significant investments from their new owners.
There are a couple of points to make in this context about Newcastle.
One is it that we are hardly ever considered as a club to buy and invest in.
Other clubs without the great history of Newcastle are getting some significant investments, so we have never understood why Newcastle with its history and fan base are not a top club to invest in.
I don’t know the answer to that – but it may have to do with geography with Newcastle in the far north-east of England – but maybe not.
The second point to make is if Ashley is really trying to make money on Newcastle the way to do it is not to have a nice big fat bank account.
That will not impress potential buyers too much.
What will impress potential investors is if we finish in the top six or win a cup.
That’s what we have never understood with Mike Ashley – his hold on money means Newcastle will never have a good team – because he will not invest – so we will never be worth a lot of money.
The sooner he sees the light, the better.
In other words, if he really wants to sell Newcastle (we’re not sure he does), he should invest the club’s money in Rafa and his playing staff.
But – he’s doing the exact opposite.
We’re sure Rafa has made this point to Ashley already – a few times – it would be interesting to know what response Rafa got.
Comments welcome.
43 comments so far
Optimistic Panda
Sep 3, 2018 at 12:39 PM
Comment #1Im not arsed about a billionaire owner, I just want a owner that doesn’t treat the club and fans in disdain.
Jib
Sep 3, 2018 at 12:42 PM
Comment #2martoon
I think our defenders thought the same as you !
Lindisfarne
Sep 3, 2018 at 12:45 PM
Comment #3NUFC doesn’t even need any more of the owners money / loans, the club is quite capable of raising revenue and investing itself. But the owner hinders any reasonable financial management and has been creaming the commercial revenues, which negatively effects the club twice over.
Lindisfarne
Sep 3, 2018 at 12:48 PM
Comment #4The current worst comment to be made about NUFC is that the “owner” pays Rafa £6m a year. He does not, the club pays the wages of all its staff.
sickandtired
Sep 3, 2018 at 12:49 PM
Comment #5It’s rather a case of what we do have, rather than don’t. And that is Ashley himself. In addition to the price he is asking, and what a nightmare he is to deal with, I think we can all assume that if he had genuine intent to sell then he would also look to keep SD locked into our merchandising (as he does at RFC).
Throw in the fact that the ground can’t be expanded thanks to his greed (developing Gallowgate land for his own profit), then we aren’t such an appealing buy.
Jib
Sep 3, 2018 at 12:52 PM
Comment #6Surely Watford’s result vs Spurs yesterday
and their respective league positions must
show Ashley the need to spend.
Spurs spent less than us – nowt
Watford £40M
Charlie in the Gallowgate
Sep 3, 2018 at 12:52 PM
Comment #7Optimistic
That’s my big worry – right – Ashley is not ideal, far from it but I am worried that some of these billionaires will use it as a cash cow
G
Sep 3, 2018 at 12:53 PM
Comment #8What have Watford got that we haven’t? 4 wins mate
Optimistic Panda
Sep 3, 2018 at 12:56 PM
Comment #9Charlie
It can’t go on like this.
Sickandtired
That’s my biggest worry, seeing what he’s done at RFC he’ll have Nufc tied in knots. No way he’ll walk away and cut all ties.
Which we’ll never find out unless he sells
Toon&oot
Sep 3, 2018 at 12:57 PM
Comment #10Totally agree with Optimistic Panda we just need an owner that wants the club to progress through maintained investment.
Optimistic Panda
Sep 3, 2018 at 12:59 PM
Comment #11Lindisfarne
My favourite is Ashley invested x amount in the club.
He’s bailed it out when he’s dug a hole the club can’t get out of, that’s not investment.
Shot Bru
Sep 3, 2018 at 12:59 PM
Comment #12The geography has nothing to do with buying the club. Newcastle also has direct daily travel links to the Middle East on Emirates etc.
Ashley has no intention to sell because we have a massive fan base and a footballing history. That’s why he’s here unfortunately, the club is printing money for him. Unless someone offers him stupid money, he’s not selling up.
Optimistic Panda
Sep 3, 2018 at 1:05 PM
Comment #13Shot Bru
I totaly agree, if it was Geography why did the Citeh owners want us first.
Ashley has made the club into something most wouldn’t buy. Normally he buys a failing business makes it better and sells it, Nufc he’s progressively made it look worse and operate worse than when he bought it.
How much investment just to get facilities up to date before we even look at the playing side.
Ashleys tenure and failure to maintain facilities could cost new owners a fortune, no wonder any buyers are wary.
martoon
Sep 3, 2018 at 1:05 PM
Comment #14RobLeenio & Jib – Re Dubravka – I think he probably saw it late and probably thought it was going to deflect off Perez – just our luck that Walker scores his first goal for City!
RobLeenio
Sep 3, 2018 at 1:05 PM
Comment #15Just as people are talking about Watford, I remember last season there was a very strong link to us buying Deeney, which filled many on here with dread. I thought he might be a decent option and his performances so far this season have borne this out quite well.
I remember the lad being hurled pelters for having the audacity to think he might play for us.
The next Mike Williamson
Sep 3, 2018 at 1:35 PM
Comment #16It would be safe to say most billionaires will probably take Ashleys side, sharing a similar greedy viewpoint as he has, and might think our fans are a bit much to handle. Location seems to go against us too. But we already have a good stadium, & large support which makes your team look good on TV. If Watford turned down that valuing them at 375m then Ashley is right to demand 400m at least.
catchy in norway
Sep 3, 2018 at 1:36 PM
Comment #17I think our club is under valued @ 350 million if Liverpool is 2b+ and a 37.5% of watford is 125 million.
I think the problem is more about what Ashley is trying to sell compared to what he bought, if true what i read on here that various parts are now registered under different entities, then maybe who ever is trying to by it would still be tied to Ashley’s group and be forced to pay stupid money to rent certain things from him for the foreseeable future.
that’s problem no 1
and while i’m not afraid of change, i have more worries of new owners than new mangers, as it’s eaier to change a manager than an owner.
the higher the value of the club, the more these investors want out of it as most are not doing it for fun like Roman did at chelsea.
The next Mike Williamson
Sep 3, 2018 at 1:37 PM
Comment #18Rob,
But then Joselu is looking good too. Even the worst players have little spells.
Rob1971
Sep 3, 2018 at 1:48 PM
Comment #19Catchy Ashley has relegated the club twice, in his 11 years we have been in the top 10 just twice, numerous relegation battles, I have no worries about a new owner taking owner, they can’t be any worse as this current one is ruining the club with lack of interest, he honestly couldn’t care about where we finish in the league as long as its above the bottom 3 and his tat shop is getting promoted on the tv. You are correct though when he sells there will be numerous clauses, one of the main ones is the club shop, that is currently linked with sports direct, who ever takes over will want that link removed
RobLeenio
Sep 3, 2018 at 1:50 PM
Comment #20Mike, you’re right – but then I always tried to look at Joselu’s performances with a bit of generosity too and defend him when he was taking some horrible flak.
Rob1971
Sep 3, 2018 at 1:51 PM
Comment #21Also Catchy constantly changing the managers with the same unambitious owner will change nothing, it will just be a constant cycle of trying to survive on a miniscule budget, change is needed at the very top at nufc.
Rob1971
Sep 3, 2018 at 1:55 PM
Comment #22If the club is undervalued why has no one been interested? why hasn’t someone come forward, if Watford have people interested what is so appealing their? is it because they have things set up in place training facilites, academies which don’t need money ploughing into, Ashley has let the club run down, the stadium/academies etc all needs money investing into it, he has spent nothing on this side of the club since he took over
hibbit
Sep 3, 2018 at 1:55 PM
Comment #23catchy
Roman never did it for fun at chelsea the £2billion asking price more than covers what he’s spent
catchy in norway
Sep 3, 2018 at 2:05 PM
Comment #24Hibbit
come on, it was un heard of what he did, he changed football single handed. he pumped money into it never expecting tv money would ever get like this.
i’m not knocking the valuation of it.
1971.
watford have things right on and off the pitch, reflecting in there current value.
NUFC have more world wide prestige than watford, so at 400 million, it could to many be seen as a bargain. huge stadium and fan base is already in place.
location has many good things going for it too. London is saturated with clubs fighting for fans, newcastle has Sunderland.
i do see the things your saying, and i to think he has ran the club on a shoe string into the ground.
Ron Knee
Sep 3, 2018 at 2:11 PM
Comment #25https://en.wikipedia.org/wiki/The_Scream
toon22
Sep 3, 2018 at 2:13 PM
Comment #26Its never MAs fault
martoon
Sep 3, 2018 at 2:14 PM
Comment #27Rob1971 & Catchy – I think there would be a few things for a new owner dis-entangle from Ashley. There is the catering, club shop, ground advertising and of course the land between the Gallowgate & the car park which seems to have mysteriously been transferred to an Ashley subsidiary company. Then of course there is his loan does £400m include this or is it to be paid off on top of this?
hibbit
Sep 3, 2018 at 2:14 PM
Comment #28catchy
that’s not what i’m saying
i’m saying when he leaves he’ll leave with a profit he hasn’t done it for fun’ he might of had fun on the way and there’s no doubt he changed football along with sky but he’ll be leaving with a multi million pound profit
RobLeenio
Sep 3, 2018 at 2:23 PM
Comment #29Look at this bit of skill from Fabio Quagliarella
https://i.imgur.com/B06Jysg.gifv
toon22
Sep 3, 2018 at 2:25 PM
Comment #30In my opinion he is the biggest obsticle to any sale
Firstly he has no intention of selling
Then theres his reputation,i read people have refused to even speak to the guy never mind actually buying aomething from him
Lastly if he was forced to sell he would leave such a torrid web of exploitation and assets stripped bear
Hes a nightmare in every way possible
Hes not selling he likes the excuse to cover his empire of exploitation and greed
Its never MAs fault
Ron Knee
Sep 3, 2018 at 2:33 PM
Comment #31@29
Reaction from some on this blog: So which defenders were at fault for the goal?
Keith G
Sep 3, 2018 at 2:40 PM
Comment #32Maybe potential buyers of our club think that if they did invest and things started to go wrong, they know our fans who are very vocal and not afraid to show their feelings , could turn on them too.
If it effects their brand or share price it may simply not be worth the risk or investment especially since there are other clubs in the Premier League that would be a ‘safer bet ‘ e.g. Watford, Crystal Palace etc whose fan base is perhaps less vocal than ours.
I don’t think the history of the club is that important to hard nosed investors who are only interested in the bottom line and perhaps a bit of glory too.
Our supporters have every right to complain about MA et al and I support that but if I had 400million to invest I would think very seriously – do I take a chance and hope things turnaround with significant investment or risk the consequences if they don’t ?
It’s not just about buying the club it’s how much you need to invest in new players,manager, training facilities etc -with no guarantees of success.
Look at the amount West Ham have invested and they are bottom of the league – its only a matter of time before the fans turn (again ) on the owners and their high profile manager and that will send just another negative message to investors.
But there is always someone willing to take that risk – we just have to attract them to SJP.
jezza442
Sep 3, 2018 at 2:41 PM
Comment #33Them flicked goals always look impressive, I loved the one Perez scored for us,but that was by far the best I’ve ever seen, class!
RobLeenio
Sep 3, 2018 at 2:50 PM
Comment #34Keith G, I’m not sure there would be protests and demonstrations against any new owners if we saw investment and Rafa being backed, even if things did start to ‘go wrong’
There’s always a honeymoon period, but if they showed the willingness to let the club’s income be spent by someone who knows what they’re doing (ie Rafa) and didn’t saddle us with ridiculous debt or link us with their tatty brands and actually committed to gradual improvement, I’m not sure there would be much to complain about.
It’s not like we’re asking for the World and I think most sensible observers know that.
Benton Toon Exile
Sep 3, 2018 at 2:55 PM
Comment #35Ashley has made the club an unattractive proposition by already starving the club of investment not only for players but stadium maintenance is in disrepair, the training ground is falling apart and he still demands the same amount as if we were a Champions League regular.
If you were to value NUFC in the right way as a club who have been relegated twice in 10 years and whose Infrastructure is creaking for maintenance then you would be a brave man to pay more than £100m.
I was in the UAE recently and I was told by 2 different sources who found out I was a Geordie that Sheik Mansour had actually tried to buy from John Hall before he sold to Ashley but they were knocked back by Hall for more money, and that indeed they have approached Ashley on several occasions since, and one meeting was set up where Ashley didn’t bother showing up and decided to get drunk with his fat friends instead.
We really need this man out of our club, and John Hall who is really the blame for all this mess should get off his very rich backside and help remove him.
hibbit
Sep 3, 2018 at 3:01 PM
Comment #36Keith G
the protest and demonstrations aren’t exactly a knee jerk reaction it has after all take eleven years to get to point of play with only the odd muttering along the way,
we can’t be worried what the next owner will think at this point in the game we need get rid of Ashley first
Ashton
Sep 3, 2018 at 3:03 PM
Comment #37As pointed out by many; it is quite puzzling as to why there seems to be no interest in us from investors.
The catalyst for this is Mike Ashley, he doesn’t want to sell. He lies to the fans about wanting it but in actuality he is quite happy making millions, while getting free advertisement for his business. The club is his proverbial cash cow.
Only the fans can change this.
isleofmanman
Sep 3, 2018 at 3:14 PM
Comment #38Deep down Ashley is a rough-as-a badger’s-arse street market trader. He got rich by borrowing loadsamoney and later by taking cash from shareholders. He looks after his family and friends and doesn’t dwell on employees too much
He’s also a contrarian (yes, CONTrarian) who enjoys going against popular wisdom – and so we shouldn’t expect him to be concerned about lack of offers or what Rafa wants or what we want
Bobbybee
Sep 3, 2018 at 3:21 PM
Comment #39Benton, let’s not let facts ruin your conspiracy theory.
Had SJH not turned up when he did, NUFC would probably be where Sunlun are now.
Maybe you weren’t around at the time when attendance slumped to 9-10k and the ground was a total mess, with no cover over either end.
McKeag was happy to let us rot under his tenure and we were slowly dying a death. He refused to sell at the same time.
Eventually SJH bought the last of McKeag’s shares – paying way way over the odds and pumped millions of his own money into the club. He brought in Keegan and backed him to the hilt. He built the wonderful stadium we have now, despite it needing a bit of tlc.
So yes, eventually he took money out of the club, but only the most miserable would deny him that right.
By the time he sold up he’d handed the running of the club over to his son.
Without SJH we would have died a slow death. He breathed life back into a dying club and everything we achieved after that was 100% thanks to SJH.
He didn’t possess a crystal ball. He took the best offer from a shyster who convinced him he would take the club forward.
He could never have known what Ashley would do with the club, or as a huge Newcastle fan he would never have sold him it.
Of all our tight fisted lowlife scumbag owners we’ve had, SJH was a breath of fresh air and saved the club from disaster.
RobLeenio
Sep 3, 2018 at 3:22 PM
Comment #40isleofmanman, you missed out that he’s a sociopath (likely)