Yes, we have heard it all before, and it’s that time of year again when some people and companies are supposedly interested in buying the club.
The latest is from Peter Kenyon and his new backers GACP Capital Sports partners, who are said to be ready to bid £300M for the club.
They will pay £125M upfront and then the remaining £175M over three years where they will agree to allow the Sports Direct signs to be in place for those three years.
With all the ads for Sports Direct at St. James’ Park, it’s reported that Sports Direct pays only a measly £2M each year for that global advertising.
That’s nowhere near the market rate and therefore doesn’t add much to Ashley in the latest potential bid.
Peter Kenyon – leading a second bid to buy Newcastle United
Here’s an overview of GACP from their website:
“GACP Sports makes influential minority and controlled investments in outstanding sports-related businesses that have strong brand equity.”
“The firm is comprised of experienced private equity professionals as well as sports industry executives who bring expertise in the acquisition and management of sports and sports-related franchises.”
The reports are that the bid does not meet Ashley’s valuation of £350M, so it’s not worth spending too much time on it.
And the document leaked – a 46-page brochure sent out to potential investors, was full of errors.
It described manager Steve Bruce as having ‘unparalleled success in Europe’ so that piece was written before Rafa left us at the end of June.
That’s sloppy work and not a good reflection on those wanting to take over.
It was sent out to attract potential investors of Newcastle United.
But there are two big differences we see with the way they would run the club as contrasted to Mike Ashley.
At least they want Newcastle to become successful, but the amount of money they would give for transfers is low.
That’s why we would need a top-class manager to get the best of what players we have, and slowly but surely build the team to become one of the top clubs in England.
But that man was Rafa Benitez, and he has left the building.
But they at least want to turn Newcastle into a top club in England again – Ashley doesn’t.
And they will also engage with the fans, which Mike Ashley has never done and his communication with fans has been absolutely appalling over 12 long and painful years of non-achievement for the club and its loyal fans.
There will probably be news of other bids in the next few months, but as Ashley himself has said, the club will be sold when nobody knows of the bid, and it’s suddenly announced.
We hope that happens and before Christmas, but we would be amazed if this new Peter Kenyon led bid goes anywhere.
It’s all just a little bit laughable given the nonsense we have gone through these last few years when Ashley has said he wants to sell the club.
What do you think?