Tim said we are moving to rugby (8 Viewers)

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HuckerbyDublinWhelan

Well-Known Member
chiefdave said:
How can they use the lease as security for the bonds if in the event of financial difficulties the lease reverts to CCC?
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No idea about the ins and outs, but I know if it goes tits up it reverts back to the council.

UPDATED: Speculation mounts over Wasps’ future at Ricoh and Coventry – and more secret council support – amid ‘players’ mutiny’

“Should the Wasps project fail, the arrangement is that the stadium defaults back to Coventry City Council as its freehold owners.”
 
chiefdave

chiefdave

Well-Known Member
HuckerbyDublinWhelan said:
“Should the Wasps project fail, the arrangement is that the stadium defaults back to Coventry City Council as its freehold owners.”
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This seems a complete mess and not a particularly secure guarantee if you were putting money in to Wasps bonds.
Under the terms of the head lease granted by Coventry City Council (“CCC”) to Arena Coventry (2006) Limited (“ACL2006”) in respect of the Arena (the “Head Lease”), CCC have reserved the right to forfeit the Head Lease if ACL2006 becomes insolvent.

Insolvency in this scenario means a situation where ACL2006 becomes unable to pay its debts, has a receiver/administrator/provisional liquidator appointed over its assets, has assets seized in order to pay debts of ACL2006 or has a winding-up order made against it.

The effect of forfeiture would be that the 250 year Head Lease would fall away and that ACL would then become the tenant of CCC at the Arena for the remaining 38 years of its existing lease.

However, the right of CCC to claim forfeiture of the Head Lease is not an automatic right. If CCC made a claim for such forfeiture, this could be contested by ACL2006, any third party that held security over ACL2006 and any subtenants of ACL2006 by making application to a court in England.

Further, if an administrator was to be appointed over the assets of ACL2006, then CCC would not be able to forfeit the Head Lease without the consent of the appointed administrator or with the leave of the courts.

If forfeiture was to take place prior to maturity of the Bonds, then U.S. Bank Trustees Limited, the entity that will hold the security on behalf of Bondholders, may not be in a position to assign the Head Lease for value in the event CCC forfeited the lease as described in the preceding paragraph. This may have an impact on the Bondholders’ ability to receive full repayment of their investment in the Bonds on the occurrence of such an insolvency event.
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Reads to me that if Wasps can't pay the bills and need the security to kick in CCC have the right to pull the lease back but that can be contested. And if already in administration CCC might not be able to do anything to take back the lease or prevent it being sold to any third party.
 
letsallsingtogether

letsallsingtogether

Well-Known Member
Shame all the masses in Rugby who were gonna go to the footie have been let down after a day of excitement.
 
Warwickhunt

Warwickhunt

Well-Known Member
So might be that Brentford are going to feel the generosity of the WASPS in the future then!!!!!
 
Covstu

Covstu

Well-Known Member
As much as I would like to see Wasps go bang, I cannot see it happening for a long time. The Ricoh endeavour has been a failure for them and the team are not performing which is great.
Surely any change of location will take longer to fully embed into the place? As much as we didn't see Wasps appearing like they did, I think the overestimated the stubbornness of our owners which is turn has resulted in very mixed feelings about their tenure at the Ricoh and in Coventry. If a 50/50 deal could have been arranged at the start that would have been the ideal scenario but with two hedge funds that was never going to happen!
 
Gibbo

Gibbo

Well-Known Member
If this has been said then apologies, but TF might be flying a kite. You put out an easily deniable rumour to test how people react and if there is too much negative reaction. If there is a lot, you just deny the story. I know TF denied it pretty quickly which would indicate he wasn't flying a kite. Even so, if this board is anything to go by, TF would be encouraged by the response to the principle of playing in the vicinity of Coventry but in a different ground. The possibility of an alternative to the Ricoh that many fans could live with does strengthen their hand viz a viz Wasps. We need SISU to get a deal.
 
R

RoboCCFC90

Well-Known Member
cc84cov said:
Could see this happening tbh won’t be quick return either this time I feel Sisu will sit and wait for wasps to break...

Rugby hmmm could be a lot worse we won’t be keeping Willis etc tho and attracting players no chance.
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Player attraction won’t be a concern, let’s be honest Bournemouth’s stadium isn’t something to shout home about, but they attract some of the best players because of various aspects of their Club and their stature.
 
shepardo01

shepardo01

Well-Known Member
RoboCCFC90 said:
Player attraction won’t be a concern, let’s be honest Bournemouth’s stadium isn’t something to shout home about, but they attract some of the best players because of various aspects of their Club and their stature.
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.....And they can pay Premier League wages.......
 
chiefdave

chiefdave

Well-Known Member
RoboCCFC90 said:
Player attraction won’t be a concern, let’s be honest Bournemouth’s stadium isn’t something to shout home about, but they attract some of the best players because of various aspects of their Club and their stature.
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Posted a link to an article the other day and barring 2 clubs fighting it out for relegation rugby agents said Wasps were the least attractive club for players.
 
chiefdave

chiefdave

Well-Known Member
ccfcway said:
we live in hope that one hedge fund investment goes bust so another hedge fund can benefit
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There's another scenario. Their current owner will run out of money before long, so presumably he will then look to sell the club. What if the new owner wants to move them back to London?
 
Liquid Gold

Liquid Gold

Well-Known Member
If I had the money I'd buy out London Wasps move them home and give the stadium on a cheap rental to City until Sisu found a buyer to unite the two. Much better situation that trying to buy out Sisu for some mad millions. The only way they go is to get a ROI.
 
Hobo

Hobo

Well-Known Member
covcity4life said:
Will wasps be in trouble if we left? Its my only thread of hope i cling too
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Wasps have financial issues but we don't make a lot of difference at the moment tbf. However, potentially if we were Championship or above we could be a lucrative partner.
 
Sbarcher

Sbarcher

Well-Known Member
Just a quick question. As CCC are the freeholders and Wasps the "headline" tennant, how much rent do they pay CCC for the privilege?
 
R

RoboCCFC90

Well-Known Member
chiefdave said:
Posted a link to an article the other day and barring 2 clubs fighting it out for relegation rugby agents said Wasps were the least attractive club for players.
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I’d love to see that article if you knew where it was Dave.
 
letsallsingtogether

letsallsingtogether

Well-Known Member
Hobo said:
I always think it is sad when people wish someone else's house will fall down to make their own house look better; rather than just get on and sort their own house out.
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Funny that.
Everyone saying I hope Wasps go pop fuck um etc.
Then cry when they same wasps don't help us.
 
ajsccfc

ajsccfc

Well-Known Member
I don't want Wasps to go under personally, my next-door neighbour's their coach and they don't make a single peep so I don't want the risk of them moving house and some loud dickheads moving in.
 
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