Wanderers planning asset buy-back

Wanderers have confirmed they will look to buy back some of the assets they sold earlier this year during the financial crisis.

The Bolton News understands a buy-back option is in place for the offices adjoining the Macron Stadium, which expires in December this year.

Car park land which was also sold off in a commercial arrangement with Prescot Business Park Ltd is also being considered as Wanderers’ co-owners look to refinance their existing debts over the coming months – they claim with better terms – to create more funding.

Co-owner Ken Anderson told The Bolton News plans are in place to add property back to the portfolio which was diminished earlier this year as money was needed to remedy their cashflow problems.

“We feel that the club sold some of its crown jewels to avoid administration,” he said. “But we are fortunate that in some cases there was an option to buy back.

“We feel that the assets were substantially undervalued at the time, but I guess beggars can’t be choosers and those responsible had a difficult decision to make.

“We are now in the process of organising funding to see whether we can re-acquire some of those assets.”

The training ground at Euxton – sold to a company acting on behalf of local rivals Wigan Athletic – will not be one of the assets the club looks to re-purchase.

Money raised from the sale of offices in January helped to pay wages and clear a loan owed to Nucleus Finance Limited.

A complex deal involving land adjoining the North Stand was then entered into later that month which involved a reported £5.5million being borrowed against a potential retail development, for which no detailed plans have yet been submitted. Security for the loan was offered against the Bolton Whites Hotel and the banqueting facilities at the Premier Suite.

Wanderers have confirmed they are looking to refinance the loan taken out by Sports Shield with Blumarble Ltd which helped them buy the club from Eddie Davies in February.

A plan has been put in place which it is hoped could save the club a potential £1.5m next year but has not yet been signed off.

Concerns were raised at the start of the week over the stability of Wanderers’ finances, with Anderson confirming he had not yet put in the £2.5m he had guaranteed to the Football League for this season.

But senior sources at the Macron have confirmed player wages have gone through accounts as planned for May.

Source

So any profit made will be spent on buying offices rather than developing the team? Interesting.

wanderlust wrote:So any profit made will be spent on buying offices rather than developing the team? Interesting.

Offices are for life, players aren't.

Just to go OT for a minute but how does this £2.5 million (down from 3) shortfall tally with the statement that the club is looking to buy back assets e.g. offices before December? 


WTF is going on with the finances?

wanderlust wrote:Just to go OT for a minute but how does this £2.5 million (down from 3) shortfall tally with the statement that the club is looking to buy back assets e.g. offices before December? 


WTF is going on with the finances?

More proof that Anderson's making shit up and trying to convey a sense that he's got an actual plan, simply to try and convince the fans that he's not a clueless knob in my view.

It's just more contradictory bullshit if you ask me.

But what do I know......

Breadman wrote:

wanderlust wrote:Just to go OT for a minute but how does this £2.5 million (down from 3) shortfall tally with the statement that the club is looking to buy back assets e.g. offices before December? 


WTF is going on with the finances?

More proof that Anderson's making shit up and trying to convey a sense that he's got an actual plan, simply to try and convince the fans that he's not a clueless knob in my view.

It's just more contradictory bullshit if you ask me.

But what do I know......

We know about the shortfall because it tallies with relegation, the published running costs/wage bill and the amount the new owners put in, but TBF the article about buying back sold assets could just be another BN fabricated page filler.

wanderlust wrote:

Breadman wrote:

wanderlust wrote:Just to go OT for a minute but how does this £2.5 million (down from 3) shortfall tally with the statement that the club is looking to buy back assets e.g. offices before December? 


WTF is going on with the finances?

More proof that Anderson's making shit up and trying to convey a sense that he's got an actual plan, simply to try and convince the fans that he's not a clueless knob in my view.

It's just more contradictory bullshit if you ask me.

But what do I know......

We know about the shortfall because it tallies with relegation, the published running costs/wage bill and the amount the new owners put in, but TBF the article about buying back sold assets could just be another BN fabricated page filler.

It could just be BN fabricated filler if it contained the usual caveat employed when they're making stuff up: 

"The BN understands from sources within the club...(etc)"

But this one's full of direct, unambiguous quotes from King Ken.

Like this one:

"We are now in the process of organising funding to see whether we can re-acquire some of those assets."


So it looks kosher.

Complete bullshit from Anderson which flies in the face of all the evidence to hand regarding the club's financial position, but kosher at least in terms of not having been made up by Iles.

I'll never forget my old Granny sitting me on her knee when I was but a nipper and saying to me:

"If you want to succeed in life and make a few quid, stick whatever you've got into bricks and mortar. Especially if you're planning on acquiring an ailing football club on the cheap with a view to stripping what you can out and then artificially inflating the asset value of what's left to secure a better price from the clown you fool into taking it off your hands once you've decided the time's right to cash in and make a killing. Try not to use your own money, mind. Always borrow via a third party holding company.....just in case, like."

And with that she told me to put my pyjamas on and have a wash before bedtime.

Lovely woman.

And very wise.

Tweets from Iles -

All this riding on refinancing package on Blumarble loan. Current option saves £1.5m (say owners) but they think they can get better.

Buy-back terms on offices described as "extremely preferable" & none of this is at expense of embargo being lifted, or manager/players

Not sure if what KA is saying looks too good to be true, or if I have developed a mile-wide cynical streak during the last six months

Given how contradictory the BN has been this last few weeks I'm finding it very difficult to sort the wheat from the chaff here. In fact I'm getting a headache from trying to figure out who's telling the truth at any given moment and how much of the "information" we're getting is pure speculation from Iles himself or founded on something the "ST" has published on LoV.

Apparently the players were indeed paid on time, thus suggesting the supposed shortfall was nothing more than a Chris Manning fantasy. Personally I can't help wondering why Anderson would bother to move funds from one account to another before paying the players anyway. Surely it must be cheaper to just pay them directly from where the money already is than incurring the expense of a second BAT for no tangible reason. The FL won't care what name is on the bank account, only that the money in it covers the costs as laid out in the takeover plan they approved.

As to this buyback business, I think it makes sense if we're able to regain those assets at a favourable price, especially since land is the one thing that always goes up in value over time. I don't know enough about the Blumarble business to offer an informed opinion but if the loan can be restructured on more favourable terms then you'd have to be an idiot not to do it. What worries me a little is that "favourable" may mean lower monthly payments but a long extension on the loan period that ultimately costs a lot more than if we make the payments as currently structured.

Pete,

I'm no expert but I would imagine that the players' wages would have to be paid from a recognised BWFC bank account for audit purposes at the very least.

The club are required to make their banking details available for scrutiny, Anderson is not.

And therein lies the problem in my view.

He acquired his share of the club on the understanding that the funding would be put into the club in a timely manner.

Keeping it in his own personal account isn't complying with his commitment to the FL and that's partly why I don't trust the bastard.

My big fear upon hearing this latest news is that he will take advantage of any in-built buy-back agreement by borrowing against the existing assets to fund the purchase of the bits ED flogged off cheaply, thus increasing the club's debt, not reducing it or improving the financial situation.

And it hints strongly at him not doing anything with the club's best interests in mind, rather he's trying to bolster the asset list on paper with a view to cashing in quickly and disappearing with a small profit.

And that can't be healthy for the club's short to mid term future.

We ain't out of the woods yet by a long chalk.

ah a loan, sounds good.

Generally when a company buys back assets its a good thing .... How it fits in with the financial plan none of us can determine.  Benefit of the doubt for now IMO.

terenceanne wrote:Benefit of the doubt for now IMO.

Ken is grateful to you.

Natasha Whittam wrote:

terenceanne wrote:Benefit of the doubt for now IMO.

Ken is grateful to you.

Whittam Industries providing the financial backing for reorganization of the assets?

When she's taken the empties back.