Wasps going into admin & the impact on CCFC (138 Viewers)

[oldfiver]

It's been suggested that the starting time is at the beginning of the first working day and that it ends at the end of 10th day which would be close of business today, but what I have read suggests it's from the actual time of application - 15.29 to the same time 10 working days later, so if correct, 15.29 tomorrow.

Try and understand this

The 10 day Notice of Appointment Moratorium: When does the bell toll? - Rollits LLP

Rollits’ Insolvency Team regularly assists Companies, Directors and Insolvency Practitioners in relation to the appointment of an Administrator. This frequently involves advising a Company or its Directors upon the “Out...

www.rollits.com

 

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[Sky Blue Harry H]

I'm still waiting for a valid reason why, as a CCFC fan, I should hate the Wasps and their fans with a burning passion. Fourth time of asking now, this is getting past a joke.

My kid's dyslexic and won't eat anything but alphabetti spaghetti, but I just buy him ordinary spaghetti.

that's a pasta joke

 

[coop]

Wasps provide update as 'potential' new investors emerge

 

[gazza]

Fuckers are just teasing us

 

[Saddlebrains]

they're deffo bullshitting

 

[Skyblueweeman]

Isn't their situation as perilous as ours? As in someone needs to stump up a hell of a lot of money to take them on? Someone would need to be covering £35m over a period of time and who would want to do that??

 

[Frostie]

Wasps provide update as 'potential' new investors emerge

"relatively advanced" &
"Additional 'potential' investors and funders have come forward"
Does this mean those they claimed were interested previously are no longer? Wouldn't be surprised if the new "potential investors" would want them to be in admin first anyway?

Either way, doesn't exactly scream of a deal being agreed imminently does it?
I assume they can't just get ongoing extensions forever as they seem to do with the bondholders?

 

[Mcbean]

Need HMRC to shut them down - any contacts ? whistleblowers etc

 

[jordan210]

 

[jordan210]

"relatively advanced" &
"Additional 'potential' investors and funders have come forward"
Does this mean those they claimed were interested previously are no longer? Wouldn't be surprised if the new "potential investors" would want them to be in admin first anyway?

Either way, doesn't exactly scream of a deal being agreed imminently does it?
I assume they can't just get ongoing extensions forever as they seem to do with the bondholders?

A few months ago they said they basicly had refinanced with HSBC. yet that never happened.

 

[Nick]

It's all words they have been saying for months

 

[Robinshio]

Nobody will take them on without them being in admin first, and even post admin it is a basket case

 

[Philosoraptor]

I would imagine HMRC delivering the coup de grâce next time round.

It can't be shown that companies can simply do this to avoid paying tax when it is due.

Following Utilitarian principles: what would happen if all companies do this?

The rebuke to this, in my opinion, will be very public with the book thrown at them.

 

[fernandopartridge]

"relatively advanced" &
"Additional 'potential' investors and funders have come forward"
Does this mean those they claimed were interested previously are no longer? Wouldn't be surprised if the new "potential investors" would want them to be in admin first anyway?

Either way, doesn't exactly scream of a deal being agreed imminently does it?
I assume they can't just get ongoing extensions forever as they seem to do with the bondholders?

No, it's the same sort of bullshit terminology they have used to say why they've not paid bondholders. It's actually embarrassing that they still come out with it.

 

[Philosoraptor]

Another one of their group of companies has joined the fun.

Now what does this company contain etc?

 

[Gynnsthetonic]

So another 10 days, will that be it or can they then issue another 10 days?

 

[Colin Steins Smile]

Why would an investor even consider pumping money into a company that they could pick up in administration for a fraction of the price?

I'm not sure there are too many economically illiterate millionaires

 

[Philosoraptor]

View attachment 26422
Another one of their group of companies has joined the fun.

Now what does this company contain etc?

That's enough for the head lease to revert back into CCC hands, isn't it?

 

[MusicDating]

That's enough for the head lease to revert back into CCC hands, isn't it?

Yes, Arena Coventry (2006) Limited own the head lease...

 

[Flying Fokker]

Who’d invest in Wasps regardless of admin?

Poor sustainability as a club, scope for improvement elsewhere. The fan base does not keep the club solvent anyway. If it were city in this position, we would be a better investment prospect.

 

[Philosoraptor]

Yes, Arena Coventry (2006) Limited own the head lease...

Any NOI for administration on this company gives CCC the right to remove the head lease.

They can do this whilst the NOI is in place.

Seems the ball is very much in CCC court now.

 

[Philosoraptor]

Think we need to see a serious statement from CCC with much more content, then their last one of just consulting lawyers.

Things have moved along so much today.

 

[MusicDating]

From the prospectus -

Risks relating the head lease of the Arena granted to ACL2006

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.

 

[Colin Steins Smile]

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.
Are CCFC a subtenant?

 

[Philosoraptor]

From the prospectus -

Risks relating the head lease of the Arena granted to ACL2006

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.

Always on the ball MD.

 

[MalcSB]

Almost sounds as if the right of forfeiture means absolutely nothing, well done ccc

 

[MusicDating]

13 May 2022
The Issuer has agreed, subject to final due diligence and documentation, the terms for the refinancing of the Secured Bonds, with a lending group including HSBC UK Bank plc ("HSBC") as senior debt provider. Vaughan said "We are pleased to have agreed the terms with HSBC UK. While we complete the final terms of the refinancing, the full redemption of the Bonds will be delayed."

30 June 2022
The Issuer is working towards completing this due diligence and documentation. The Issuer now expects the refinancing to complete and redemption of the Bonds at their nominal amount to take place on or before 12th August 2022.

29 July 2022
In parallel with the refinancing discussions with HSBC UK Bank plc as senior debt provider referred in previous announcements, the Issuer has, in recent months, been pursuing different refinancing options in addition to making progress with a number of key initiatives to increase both the profitability and asset value of the Group.

02 September 2022
The Issuer has made progress with these alternative options and confirms that it has received an offer which would see the Bonds fully redeemed on completion of this refinancing. Discussions with this lender are at an advanced stage.

21 September 2022
NOI filed - This measure does not mean the business is in administration but provides a crucial period of grace to continue negotiations with a number of interested parties to secure the long-term future of the group. These negotiations have been going on for some time, are in advanced stages and we are hopeful of securing a deal.

04 October 2022
2nd NOI filed - Since filing the original notice of intention on 21st September, a number of additional potential investors and funders have come forward. Discussions are now at a relatively advanced stage, and we remain hopeful of securing a deal that will allow the group, and the entities that sit within it, to move forward...

 

[Astute]

I'm still waiting for a valid reason why, as a CCFC fan, I should hate the Wasps and their fans with a burning passion. Fourth time of asking now, this is getting past a joke.

Correct.

Your comments were past a joke ages ago.

 

[Warwickhunt]

they're deffo bullshitting

why would someone buy now when they can get them cheap if they go into administration?

 

[Grendel]

why would someone buy now when they can get them cheap if they go into administration?

Control and a long lease

 

[oldfiver]

Control and a long lease

Only with CCC support ? They cannot allow it to fail except as last resort

 

[Sky Blue Harry H]

Control and a long lease

Get the long lease, and perhaps the 'control' bit, except I just don't see the business case in these current uncertain times, They wouldn't even have the long term certainty about CCFC as tenants, given the past history, and in theory the potential for us moving - I know, maybe unlikely, but in theory any buyer would have to factor in us potentially leaving down the line. Where would they recoup their investment, and does this assume any bondholders are shafted?

 

[Grendel]

Only with CCC support ? They cannot allow it to fail except as last resort

I can’t believe if there was an external buyer they would not be granted assignment by the council

 

[Grendel]

Get the long lease, and perhaps the 'control' bit, except I just don't see the business case in these current uncertain times, They wouldn't even have the long term certainty about CCFC as tenants, given the past history, and in theory the potential for us moving - I know, maybe unlikely, but in theory any buyer would have to factor in us potentially leaving down the line. Where would they recoup their investment, and does this assume any bondholders are shafted?

No idea but our revenue to the whole arena revenue in normal trading would be 2%?

If our sub lease was not robust enough they ciujd do speedway, monster trucks, more concerts - it would substitute our revenue easily

 

[Liquid Gold]

Correct.

Your comments were past a joke ages ago.

How’s Sunderland?