We are up for sale!

[The Showstopper]

http://m.smh.com.au/rugby-league/ne...gn_code=nocode&promote_channel=social_twitter

Speculate away lads. Could be our last stand or turn us into a very competitive outfit. I see more than one owner. Don't write Koukash out of the equation either.

 

[Burns]

Wests constant reluctance to buy us out has always annoyed me. Whilst they've been there supporting the club since foundation, they portray a 'Holier than thou' attitude.

 

[Burwood]

"There will be interest from unusual people when the ownership issue is approached," he predicted, a reference to local half-billionaires who attended a recent meeting to discuss third-party opportunities with players.

Thats the part of the article that stood out most to me.

 

[Swarzey]

I don't know whether to be excited or be depressed as f**k.

Third party deals? A decent owner? Surely this is all just pure fantasy and we'll end up no better off?

 

[Spot On]

Thats the part of the article that stood out most to me.

This as well.


"The game is incredibly expensive to run. Even billionaires find it hard to stay. Third-party deals have pushed the expenses out further," he said, treading the delicate path of NRL-appointed board member and representative of a potential buyer."

http://www.smh.com.au/rugby-league/...ights-on-auction-block-with-hopes-of-20m-sale.

 

[The Showstopper]

If all this turns out to be a master plan to turn us into a top 8 regular then the NRL are very much to be applauded. It will take something special though for them to give the keys over again. Whoever buys us will need to be very convincing cos this is basically last chance saloon you would think.

 

[macavity]

Need more info.

Would hope the "sale price" is going towards improving the club / area, not filling the NRL's coffers with our pain.

 

[Sydney Knight]

It's hard to understand the exact financial position but it doesn't sound as dire as some other clubs. Does the $6.7M in cash now equating to $1M debt mean they found $7.7M in other Tinkler debts? I would have thought a lot of the dodgy debts were held by HSG or loans to Tinkler companies that were trading insolvent?

Who are all these 1/2 billionaires in Newcastle?

 

[NoSchitSherlock]

Seems clear that Tinkler, as a one man band,held back TPA's and had a major influence over player signings.

 

[Sydney Knight]

Seems clear that Tinkler, as a one man band,held back TPA's and had a major influence over player signings.

It sounded like he used his coal business dealings to get third party agreements but then they started to not honour them when he stitched them up on payment for other deals. It seems this happened to Darius not sure about others?

 

[muzby]

i'll give you $20..

 

[Spot On]

You've just done yourself out of $19.

 

[slotmachine]

Does anyone know what happened to the cash left over from tinklers bank guarantee?

Seems like $5-6m should either still be there, or had disappeared?

 

[Spot On]

Used for operating costs?

 

[slotmachine]

We lost $1m last year and the NRL covered that...

 

[The Showstopper]

Can anyone else see the irony in the sale by the NRL? They want top dollar for a club they have allowed to struggle for over two decades. My guess they get the profit. Top dollar for a club with a1 million deficit paid for by Tinkler's guarantee. I think we are being treated as muppets once more.

 

[Nuffy]

Interesting development, the fact that its deemed to be an auction means the NRL feels they have a number of interested parties and the auction process provides the best scenario to drive up the price.

SS, I agree its ironic that after screwing us on expenditure they want to maximise their return, if they had any conscience they would assign the proceeds of the sale, after their expenses, to fund a COE and academy based in Newcastle.

Now I will add that there seems little chance of securing 20M for the club, in what world or financial metric allows you to establish that type of valuation, i suspect its more them trying to drive up the price prior to the process.

Anyway I do think that the next owner will have needed to prove their bona fides in detail before it changes hands again.

 

[Frederick]

I got $5 that says we get passed in at the auction, sit on the market for months and months until we eventually get sold for a fraction of the original price

 

[Nuffy]

I got $5 that says we get passed in at the auction, sit on the market for months and months until we eventually get sold for a fraction of the original price

I dont think so, the NRL would look like complete muppets and I assume that Greenberg would want to start his tenure with a fiasco so I am assuming that the various parties have been told what the reserve is and its all upside from there.

I assume the SMH article is just a good news story in prep for the sale so that the NRL gets multiple positive articles out of the process.

 

[Spot On]

We lost $1m last year and the NRL covered that...

Found this:

http://www.theherald.com.au/story/2...-newcastle-knights-as-nathan-tinkler-departs/


??It?s about Newcastle, it is about the community of Newcastle, and we are going to make that community connection stronger not weaker.

?The difference is that, financially, they will be one of the top tier clubs in the competition.?

After Tinkler couldn?t renew the bank guarantee, the Knights Members club accessed the $10.52 from last year.

Half of that ??nest egg?? has been used to pay HSG?s existing staff and supplier debts, leaving $5.1 million to capitalise the club.

??The uncertainty is gone,?? Smith said.

??We have secured the long-term future for the Newcastle Knights.

??The balance sheet and the structural position of the Knights could not be stronger.??