SimonGilbert
Telegraph Tea Boy
Coventry City Council timetable targets Tuesday for completion - http://www.coventrytelegraph.net/news/coventry-news/ricoh-arena-takeover-bid-rugby-7873182
Wasps bid for Ricoh Arena valued at £30million (10 Viewers)
- Thread starter SimonGilbert
- Start date
spider_ricoh
New Member
The deal for Premiership rugby side Wasps to take control of the Ricoh Arena would be worth around £30million, it is understood.
A timetable for the deal to be completed has been drawn up and Coventry City Council aims to vote on the deal by the time of the next full council meeting on Tuesday.
It is understood the deal would see a Wasps-led consortium take a 90 per cent stake in Ricoh Arena operating company ACL - jointly owned by the Alan Edward Higgs Charity and the council.
Finer details are yet to emerge, but the council would retain a ten per cent interest in ACL and around £1m of an existing £14.4m loan from the council to ACL would be written off as part of the deal. The rest of the council loan would remain in place to be paid off by Wasps over an agreed time period.
It is also understood the deal would see the council purchase the charity’s shares in ACL before selling them onto Wasps - although it is not clear if the charity will make its money back on the £6.5m it paid Coventry City FC for its shares in ACL back in 2003.
This move would circumnavigate a contractual clause which could potentially still entitle the Ricoh’s current sporting tenants, Coventry City, to ‘first option’ rights on the charity’s shares in ACL.
The deal could also include an investment in stadium upgrades and an arrangement with the consortium around the stadium’s naming rights - understood to be up for renewal next year.
Frustration is growing among councillors about the lack of information being made publicly available and there is internal disagreement about the potential deal within both the controlling Labour group as well as the Tory opposition.
Both political parties are set to discuss the deal on Monday to decide how to vote at full council and it is understood there is likely to be double-figure opposition to the move from some of Labour’s 43 councillors.
Council leader Ann Lucas is thought to be pushing for the deal on the advice of council officers, but other councillors feel the deal is being rushed through and should first be offered to Coventry City FC.
It is understood some councillors will appeal for a free vote on the matter rather than being ordered to toe party lines. There are also suggestions some would resign positions within their party if they are forced to vote against their will.
Concern has also been raised over Coventry Rugby Club’s future if another professional rugby team moved to the city, although Labour MP Bob Ainsworth has voiced support for the plans which would see Wasps relocate to the city permanently.
The potential deal could jeopardise the Sky Blues’ chances of remaining at the venue on a long term basis.
Sky Blues officials insist they must “own their own ground” in order to be financially sustainable, but a Ricoh Arena takeover by Wasps would seemingly thwart the football club’s chances of owning the stadium.
However, the club has failed to make a fresh approach to purchase a stake in the Ricoh Arena since returning to the venue in September - and the last formal Ricoh Arena bid by Coventry City owners Sisu came in 2012.
Sisu also continues to pursue legal action against the council through the Court of Appeal – something perceived as a stumbling block to any Ricoh ownership talks with CCFC.
The Sky Blues have previously insisted they will build a stadium if they cannot secure the Ricoh Arena, but there is no public evidence of progress on any plans for a new stadium.
A timetable for the deal to be completed has been drawn up and Coventry City Council aims to vote on the deal by the time of the next full council meeting on Tuesday.
It is understood the deal would see a Wasps-led consortium take a 90 per cent stake in Ricoh Arena operating company ACL - jointly owned by the Alan Edward Higgs Charity and the council.
Finer details are yet to emerge, but the council would retain a ten per cent interest in ACL and around £1m of an existing £14.4m loan from the council to ACL would be written off as part of the deal. The rest of the council loan would remain in place to be paid off by Wasps over an agreed time period.
It is also understood the deal would see the council purchase the charity’s shares in ACL before selling them onto Wasps - although it is not clear if the charity will make its money back on the £6.5m it paid Coventry City FC for its shares in ACL back in 2003.
This move would circumnavigate a contractual clause which could potentially still entitle the Ricoh’s current sporting tenants, Coventry City, to ‘first option’ rights on the charity’s shares in ACL.
The deal could also include an investment in stadium upgrades and an arrangement with the consortium around the stadium’s naming rights - understood to be up for renewal next year.
Frustration is growing among councillors about the lack of information being made publicly available and there is internal disagreement about the potential deal within both the controlling Labour group as well as the Tory opposition.
Both political parties are set to discuss the deal on Monday to decide how to vote at full council and it is understood there is likely to be double-figure opposition to the move from some of Labour’s 43 councillors.
Council leader Ann Lucas is thought to be pushing for the deal on the advice of council officers, but other councillors feel the deal is being rushed through and should first be offered to Coventry City FC.
It is understood some councillors will appeal for a free vote on the matter rather than being ordered to toe party lines. There are also suggestions some would resign positions within their party if they are forced to vote against their will.
Concern has also been raised over Coventry Rugby Club’s future if another professional rugby team moved to the city, although Labour MP Bob Ainsworth has voiced support for the plans which would see Wasps relocate to the city permanently.
The potential deal could jeopardise the Sky Blues’ chances of remaining at the venue on a long term basis.
Sky Blues officials insist they must “own their own ground” in order to be financially sustainable, but a Ricoh Arena takeover by Wasps would seemingly thwart the football club’s chances of owning the stadium.
However, the club has failed to make a fresh approach to purchase a stake in the Ricoh Arena since returning to the venue in September - and the last formal Ricoh Arena bid by Coventry City owners Sisu came in 2012.
Sisu also continues to pursue legal action against the council through the Court of Appeal – something perceived as a stumbling block to any Ricoh ownership talks with CCFC.
The Sky Blues have previously insisted they will build a stadium if they cannot secure the Ricoh Arena, but there is no public evidence of progress on any plans for a new stadium.
spider_ricoh
New Member
How could this jeopardise our tenancy long term? It can't really, we screwed up our secure lease so can't moan anyway.
On the basis of what's good for the the public purse, CCC councillors HAVE to say Yes, otherwise it is dereliction of their statutory duty. Unless SISU bid up and ruin themselves, they are out of the running for the Ricoh (providing Wasps get the funding). This is best news ever.
On the basis of what's good for the the public purse, CCC councillors HAVE to say Yes, otherwise it is dereliction of their statutory duty. Unless SISU bid up and ruin themselves, they are out of the running for the Ricoh (providing Wasps get the funding). This is best news ever.
Nick
Administrator
Maybe Bob and Ann can both fuck off and take Joy and Tim with them? Just an idea. Couple's swingers retreat or something?
Simon, any sort of campaign to stop this from happening? Sounds like there is trouble at the council because of it.
Any idea who is advising Ann? Isn't Bob himself is it?
Simon, any sort of campaign to stop this from happening? Sounds like there is trouble at the council because of it.
Any idea who is advising Ann? Isn't Bob himself is it?
Rusty Trombone
Well-Known Member
It's not good news from a Cov City perspective, not sure who you are representing.
Nick
Administrator
I am not sure either, although the fact some councillors are willing to quit over it says something.
Otis
Well-Known Member
Their statutory duty is to act in the best interest of the citizens of Coventry. A deal that may mean CCFC leaving the city and an outsider taking over, surely just isn't right and is not acting in the best interest of the city's citizens.
Lord_Nampil
Well-Known Member
Think we can guess who is advising Ann........
Rusty Trombone
Well-Known Member
It says resign positions within their party, not sure whether this means they will quit, or whether they just won't get involved in the tea round anymore.
spider_ricoh
New Member
how about a campaign in favour as it will finally kill of SISU's dream of buying the Ricoh! That's the over-riding priority because the sooner they leave the better, and this will end all purpose for them remaining.
Kingokings204
Well-Known Member
Again the finer points of the details are yet to be explained.
Isn't this just a Swansea and Ospreys move kind of things?
Isn't this just a Swansea and Ospreys move kind of things?
Nick
Administrator
On your own then Bob.
Just proves the point, every party is in it for themselves in this situation no matter how much emotional crap they spout.
spider_ricoh
New Member
What's your problem, from a CCFC why do oppose the council selling its own ground to another company? Why do you think this has got anything to do with CCFC? Sounds like a good deal for the taxpayer to me.
Flying Fokker
Well-Known Member
Maybe wasps will stress SISU out and buy the Sky Blues?
One thing is certain, they won't be giving any rent holidays.
This deal has been on the go for 4 months, accelerated in the past couple of months. It is quoted as being 99% certain to go through. Tough on city fans because SISU don't want the club. This may be the end of the Sky Blues unless Wasps / a consortium tie in with them. I wonder who that would be? Byng, Haskell et al?
One thing is certain, they won't be giving any rent holidays.
This deal has been on the go for 4 months, accelerated in the past couple of months. It is quoted as being 99% certain to go through. Tough on city fans because SISU don't want the club. This may be the end of the Sky Blues unless Wasps / a consortium tie in with them. I wonder who that would be? Byng, Haskell et al?
oldskyblue58
CCFC Finance Director
What does "worth around £30m" actually mean? Is that cash, loan notes, debentures, does that figure include the loans left in place of 13.4m ??? Has the lease been extended for ACL?
Interesting to see (a) if it gets approved (b) what SISU/CCFC do.
I can understand the business case, that's the head talking ...... but my heart says this doesn't feel right.
Lets just hope there is some way that CCFC can get some long term security and a viable future at the stadium ..... it is still possible even if ACL are sold
Interesting to see (a) if it gets approved (b) what SISU/CCFC do.
I can understand the business case, that's the head talking ...... but my heart says this doesn't feel right.
Lets just hope there is some way that CCFC can get some long term security and a viable future at the stadium ..... it is still possible even if ACL are sold
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Kingokings204
Well-Known Member
I don't really know the finer points but we surely have to trust the council of what to do with the arena. It's a community asset and needs to be proven to benefit the community through figures.
I can't believe for one second they are abandoning Coventry city else why have us back when they could of fucked us off once we left?
I don't agree with wasps coming to Cov but if it works and the figures adds up then that's good for us as a city (I live in Coventry) ethically it's wrong and I guess wasps fans would hate it but they should boycott and protest like we did. Hope they do tbh.
I don't want this as much as anyone but if the figures add up etc then only 10k fans will be pissed off out of a city of 360k is it? Ccc will always will the argument if the figures for selling add up.
One thing is for sure I trust the council over sisu. I don't see how anyone can argue this. That said I hope they have a plan for ccfc and the reason sisu have been so silent maybe speaks volumes. Talks must be happening. Funny how none of the ct articles mention Ccfc really. They don't know so how can we judge?
I can't believe for one second they are abandoning Coventry city else why have us back when they could of fucked us off once we left?
I don't agree with wasps coming to Cov but if it works and the figures adds up then that's good for us as a city (I live in Coventry) ethically it's wrong and I guess wasps fans would hate it but they should boycott and protest like we did. Hope they do tbh.
I don't want this as much as anyone but if the figures add up etc then only 10k fans will be pissed off out of a city of 360k is it? Ccc will always will the argument if the figures for selling add up.
One thing is for sure I trust the council over sisu. I don't see how anyone can argue this. That said I hope they have a plan for ccfc and the reason sisu have been so silent maybe speaks volumes. Talks must be happening. Funny how none of the ct articles mention Ccfc really. They don't know so how can we judge?
Rusty Trombone
Well-Known Member
I'm a tax payer, doesn't sound a great deal for me. How will I benefit?
spider_ricoh
New Member
Course it is good news at means SISU will feck off
SimonGilbert
Telegraph Tea Boy
It's being packaged as worth £30million, but take into account a £14.4m loan and potential investment / naming rights spending and it could be much less in reality. Then again, we don't know the detail. So it could actually be £30m whichever way you slice it.
samccov1987
Well-Known Member
I'm surprised at how quiet sisu have been about Wasps taking over the Ricoh. Probably just being suspicious but wouldn't be surprised if they had a stake in the takeover consortium. Although bad for wasps and cov rugby I don't see it leading us to exit the Ricoh again, if anything I think it could lead to us holding a stake in a site with two sports teams.
Grendel
Well-Known Member
Can someone ban this idiot?
Nick
Administrator
Because it makes ACL / The Council look like hypocrites for a start? They give it the emotional shit to get fans on side about us moving away then move another club. I know it is just business, but they haven't helped themselves have they?
This isn't me saying SISU are innocent by the way, just that other parties do things wrong and it makes them all pricks. Just that some people can't see they are all pricks.
Nick
Administrator
So where does that leave the club?
Rusty Trombone
Well-Known Member
How do you see the future for the football club if the deal as quoted goes through?
oldskyblue58
CCFC Finance Director
At £30m it kind of blows a hole in the JR argument that the loan exceeded worth :thinking about:
Nick
Administrator
You won't have to pay council tax for a year because of it, haven't you had the letter??!!!
(I doubt it will make any difference to the average tax payer in the slightest)
Kingokings204
Well-Known Member
I couldn't agree more. Why would they stay to lose more money and see crowds dwindle with no hope of anything. The question is however who buys us?
Otis
Well-Known Member
Now we have more meat on the bones about the deal, we should all surely totally oppose it. Good for ACL and Wasps and CCC, bad for Coventry City FC, Cov Rugby and the people of Coventry (unless they are Wasps supporters).
Petition time I think and let's all contact our local concillors.
Rusty Trombone
Well-Known Member
I'd say it's likely the £30m will be the top end of any deal, your sources will quote the best possible figure surely.
dongonzalos
Well-Known Member
Well there is a price then....
30 million for a new stadium (at least) or I am sure SISU would be be able to negotiation a slightly better deal than as above to outmanoeuvre the wasp consortium.
Say about 25 million over a prolonged period for all of ACL.
30 million for a new stadium (at least) or I am sure SISU would be be able to negotiation a slightly better deal than as above to outmanoeuvre the wasp consortium.
Say about 25 million over a prolonged period for all of ACL.
Nick
Administrator
Exactly, who buys us in the position we would be in?
Grendel
Well-Known Member
What does "around £30 million" mean?
- £17 million net of the loan?
- A new lease I assume of 100 years
- A sponsor I assume has confirmed they will sign a deal if this goes through worth another £10 million
So what funds have changed hands and how is the funding being raised -- loans? Share Issue?
What are the terms of the CCFC contract with ACL? Is there a buy out clause for a new buyer? Could we be back in Northampton on Saturday?
- £17 million net of the loan?
- A new lease I assume of 100 years
- A sponsor I assume has confirmed they will sign a deal if this goes through worth another £10 million
So what funds have changed hands and how is the funding being raised -- loans? Share Issue?
What are the terms of the CCFC contract with ACL? Is there a buy out clause for a new buyer? Could we be back in Northampton on Saturday?
Nick
Administrator
You didn't notice the bit about the "children's charity" maybe not getting all of their money back?
dongonzalos
Well-Known Member
This thread is going to be the biggest yet...