Shepherd Plans Full Takeover
By N.O On Sun 12 Nov 2006 |
According to today’s Daily Mail underfire Chairman Freddy Shepherd is hoping to launch a full takeover bid of Newcastle United himself by buying out the Hall’s shares. The article also goes on to claim that Shepherd wants to also take the club off the Stock Exchange. Check it out…
Under-fire Newcastle United chairman Freddy Shepherd wants to end the 15-year reign of the Hall family with a buy-out of the £90 million club.
Shepherd has faced bitter calls for his resignation from Toon fans angry at the club’s slump to the foot of the Premiership.
But, far from relinquishing power, Shepherd wants to take over the majority shareholding of Sir John Hall and his son, Douglas, and assume sole control of the club.
With the club likely to be valued at £90m, he would have to pay around £37m for Sir John’s 29 per cent share-holding and his son’s 12 per cent.
Shepherd already owns 28 per cent and if he does cut a deal with the Halls he will have to make an identical offer to all remaining shareholders, as it would take him over the 30 per cent threshold set by Stock Exchange rules.
He then intends to remove Newcastle from their Stock Exchange listing, following the examples of Malcolm Glazer at Manchester United, Roman Abramovich at Chelsea, and Randy Lerner at Aston Villa.
But Shepherd is likely to face competition.
The mysterious Jersey-based company, The Belgravia Group, have been in talks with the club.
Any buy-out would end the 15-year association with the club by Sir John Hall, who finally gained control of Newcastle after a bitter boardroom battle. Sir John set about revitalising the ailing club, bringing in Kevin Keegan as manager. Keegan achieved promotion to the Premiership and famously almost won the title in 1996, before being overhauled by Manchester United.
But the news that Shepherd wants to stay at St James’ Park for the long haul will dismay those angry Newcastle fans who demonstrated against him following last weekend’s home defeat against Sheffield United.
Shepherd, however, has often had to leave the big decisions to the Halls and, while they have been spending more time overseas, he has been left in a firefighting role.
Now he has decided that if he is going to take the flak for poor results and bad transfer buys, he should be in control.
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Decision by Belgravia by Christmas according to Guardian. They are apparently doing due diligence now.
Sent in on: November 21st, 2006 at 8:39 am
Today’s Mirror claims that FS is going to tell Belgravia to put up or shut up this week.
Sent in on: November 19th, 2006 at 4:52 pm
We all know what a reliable source Ronnie is.
Despite all the protestations I suspect this is what Well Fed, wanted all along. Let’s face it if the deal goes through he’ll be laughing all the way to the pie shop.
Sent in on: November 17th, 2006 at 6:47 pm
Ronnie reckons 150 million within weeks with 25 million in next transfer window.
Sent in on: November 17th, 2006 at 5:46 pm
why so much? wat deal exactly
Sent in on: November 17th, 2006 at 11:19 am
Today’s Express says Belgravia are close to a 235 million bid. Apparently a 95 million property deal is involved. We don’t own our ground so I don’t think we should panic that this means something unpleasant for SJP.
Haven’t read this - colleague just e mailed me!
Sent in on: November 17th, 2006 at 9:45 am
Welcome to the brave new world of Newcastle United, faceless money men exploiting us to make a quick buck.
So business as usual then.
Sent in on: November 16th, 2006 at 4:55 pm
Latest:
Regulatory Announcement
Go to market news section
Company Newcastle United PLC
TIDM NCU
Headline Rule 8.3-Newcastle United
Released 15:39 16-Nov-06
Number 2247M
RNS Number:2247M
Newcastle United PLC
16 November 2006
Newcastle United PLC (the “Company”)
16 November 2006
Rule 8.3 - Newcastle United PLC
On 7 November 2006, Fiske plc acquired on behalf of Carule Limited, the funds of
which are managed on a discretionary basis by Richard Hubbard, 100,000 shares in
the Company at a price of 68.25p. This took its total holding to 1,375,000,
representing 1.033% of the shares in issue.
On 8 November 2006, Fiske plc on behalf of Carule Limited sold 1,375,000
Newcastle United PLC shares at a price of 73p.
Sent in on: November 16th, 2006 at 4:29 pm
As Northcote, have recently purchased a further 1 475 000 shares taking their total holding to 2 350 000 or 1.765% of the club. Rule 8.3 has been invoked which requires them to announce it.
Can’t seem to dredge up much about Northcote just what’s on their web site. Could they be a front for somebody (managing their portfolio) or are they just having a punt themselves because of the current bid situation?
Sent in on: November 16th, 2006 at 12:11 pm
Actually, now that I have actually got into the LSE site, it seems that they are just announcing that that is how many shares they have - which, since it’s over 1%, they are required to do.
So, in fact, this may be the large number bought last week.
Sent in on: November 15th, 2006 at 7:39 pm
Northcote Ltd have just bought over 1,400,000 shares in NUFC…
Sent in on: November 15th, 2006 at 5:02 pm
Riddler - sorry for late reply. The general tenor of the ‘hot’ share thing was that it was probably someone just reminding the club they are there.
Sent in on: November 14th, 2006 at 8:23 am
Lynda
Forgive my ignorance here but if this is indeed stakeholder building by an interested party, who in the absence of any credible alternatives, we assume to be Belgravia. Do you take this to indicate their intention of launching a takeover bid or just a reminder to the corpulent one, that they are still around?
Don’t really know much about Belgravia, other than they manage funds for some extremely wealthy individuals and past ventures include credit card marketing among other things. I ve also read quotes attributed to them stating that they feel Newcastle United as a brand, is not being exploited to it’s full potential.
Scary stuff.
Sent in on: November 13th, 2006 at 12:20 pm
Riddler, just reading a share thing which suggested that this was probably stake-building by one of the people interested in buying the club (eg. Belgravia).
Sent in on: November 13th, 2006 at 10:09 am
Why does everyone say that ‘Shepherd has always backed the manager’!? He doesn’t invest HIS OWN money; it’s money already in the plc! He doesn’t put money IN; he takes it OUT via dividends & a huge salary, never mind the assortment of perks & other deals (through the company) from which he personally benefits. He releases money at the WRONG times on the WRONG players & he has too much say in signings. He makes rubbish appointments, his timing is utter crap & he’s a liar with no honour or business nous. If we can’t attract big name players & managers it’s because of Shepherd.
Sent in on: November 13th, 2006 at 8:34 am
I was listening to the Guardian football podcast earlier, it was embarassing to hear from a comical perspective of the whole Newcastle soap opera and Freddy Shepherd’s history. How anyone can think he has ever been a source of great pride and achievement for this club is very much deluded and crazy, much like the man himself!
Freddy made his initial money through his Shepherd Offshore Ltd, however his brother Bruce was given the main credit as the brain’s behind the operation, so to quote the podcast - does that make Freddy the looks? So naturally much like a plucky lottery winner he goes and invests in his beloved Newcastle Utd, worming his way to the top through grand over ambitious plans etc. thinking he was the business brain of the decade because of his initial success…
Here we are today, apparent victims of this man’s grand failure to provide upon his plans and ambitions. So with his limited brain capacity it’s no wonder he still fails to see the bigger picture, but remember folks, you can say what you like about Newcastle Utd, but you can never say it’s boring!!!
An old quote I remember - ‘a man with a Champions League ego, allied with a Unibond League brain’
And here’s an aussie saying ‘Shepherd’s Crook’
Remember, our chairman who wants to WHOLLY OWN our club is somebody who still trades off the success of his own brother’s credentials and abilities. What a loser….
Sent in on: November 13th, 2006 at 1:57 am
Purely going off what I’ve heard about this takeover business, the outcome will go something like this…
The Sultan of Brunei will buy the club and install Kevin Keegan as Chairman who will then appoint Alan Shearer as manager.
Shearer will have an open chequebook to spend on players but first he’ll sort his backroom team out, being inexperienced naturally he wants only the best to help give him the best chance of succeeding.
So he will bring in Sting and Jimmy Nail as part of his back-room team, complimented by the return of Gary Speed, Rob Lee and Sir Leslie of Ferdinand (striking coach). Dalglish will take over as the bufferâ„¢ with Terry Mac being bought a bookies to keep him sweat.
Ant & Dec will take over from the annoying stadium DJ and “lets get ready to rumble” will replace the Blaydon Races as the official club/Geordie anthem. Each week there will be a live “I’m not really a footballer - get me out of here” show where fans get to vote off the worst performer in the team. With the Sultan’s money we can afford it.
Roeder will go back to the Academy and a roof will be planted on St. James’ Park with a racecourse for horse racing being ran on it every Thursday.
Supermac will be the permanent half-time hero.
Clarkie will be made life-long president.
The Shepherd’s and Halls will flee the country and live out the rest of their days in sunny Spain.
That’s what I’ve heard anyway.
By the way this all depends on whether we stay up or not apparently, so don’t build your hopes up.
Sent in on: November 13th, 2006 at 1:17 am
Cheers Lynda,
I just found it odd that someone was prepared to part with a million quid in one trade. Let’s face it if you want to make a quick buck on the stock exchange, you don’t invest in football shares, even more so if the club concerned happens to be Newcastle United!
Mind you the share price does appear to be artificially high at the moment due to all the speculation I suppose. Who knows what’s really going on? Not me that’s for sure.
Sent in on: November 13th, 2006 at 12:04 am
Chris, I think that is a real worry for Newcastle supporters: the fact that Stock Exchange rules (or an over-rigid interpretation of them) will very possibly make a takeover a fait accompli and we won’t really know what we’ve got until we’ve got it.
Sent in on: November 12th, 2006 at 11:55 pm
Riddler. No, it’s not known, but it can’t be Shepherd as it would take him over the 30% required to make a general take-over bid and it can’t legally be anyone related or connected to him (to simplify things).
Directors’ activities can be found on the StockExchange site. Shep’s last transactions were in January this year.
Our best bet was an institutional investor who had been tipped off, but the lack of subsequent activity suggests this isn’t the case.
Sent in on: November 12th, 2006 at 11:47 pm
John, are you playing devils advocate?
Why do you never respond to the vast amount of clear evidence that shows Shepherd to be nothing more then a idiotic clueless buffon?
Roeder - obviously has a vested interest, maybe he knows something we don’t but I highly highly doubt it. Maybe he just is as blind as you appear to be regarding the bigger picture, or maybe he actually completely agrees with our views but lacks the balls and integrity to stand up to the board/Shepherd and leave with his dignity intact!
Shearer - his comments were clearly unenlightened and lacking in any insight whatsoever, he clearly also has a vested interest.
Robson - I cannot comment for I have not read them as of yet.
Sent in on: November 12th, 2006 at 11:36 pm
Does anybody know the identity of the person or persons who purchased the 1,375,000 shares (1% of the club) just before the market closed on 09/11/2006?
Sent in on: November 12th, 2006 at 11:26 pm
John - Wallsend
You trust the opinions of Roeder and Shearer (both of whom have a vested interests) and a former manager who claims in his book that Shepherd undermined him, over cold hard facts?
What about our finances? Our position in the table? The debacle that was the transfer window? How about the fact he paid £800,000 compensation to Blackburn for Souness and then 18 months later after handing that manager over £40m, sacking him to the tune of £3m compensation?
Or how about the fact that he sold a warehouse to his brother who then rented it back to the club at an even greater cost?
How about his lies and disgraceful comments about fans, our women and Shearer?
How about the fact that since he took over we have went from being 2nd only to Manchester United on and off the field to 3rd bottom, millions in debt and that our average league finish under him is something like 8 or 9th, the same as Aston Villa! A club coined as “terminally in decline” and the “bastion of mid-table mediocrity” under Ellis.
Do you really believe Freddy Shepherd is capable of managing this club right and to success?
I don’t but you’re entitled to your opinion. I’d be interested to learn why you think he can though because I’ve yet to see anything myself. Maybe you can change my mind or show me something I’ve overlooked or am missing.
Cheers
Sent in on: November 12th, 2006 at 9:39 pm
I’ll be totally honest, Shepherd has got the backing of Roeder, Shearer and Sir Bobby and that’s enough for me. Roeder, Shearer and Robson have got a vast amount of footballing knowledge between them and they all know Freddy Shepherd personally as well as the club intimately. I trust their opinion.
Sent in on: November 12th, 2006 at 9:25 pm
Shepherd is a buisnessman, simple as that, but a Chairman in the modern game has to aline himself with people capable of making the correct footballing decision as regards of apointing manager’s to improve the on-field side of the club, and at this, Shepherd has failed at every turn. Souness and Roeder where both narrow minded choices, niether capable of moving the club forward.
As a buisnessman he is someone who takes chances, both financially at a core level of the club and in terms of the money he allows managers to spend on unproven players, Boumsong offered to Sir Bobby for nothing, then £8million spent by Souness to bring him from Rangers, yet this did not seem to set the alarms bells off.
I just fear that we are so far down the road to ruin that nothing can stop us becoming a new Leeds United. The old saying goes ‘fail to prepare, prepare to fail’ and that is what happened before we kicked a ball in this season.
Sent in on: November 12th, 2006 at 9:15 pm
What really worries me more than anything else at the moment is looking at our games right up to New Years day when we play Man Utd and I see us going into January with possibly less than 20 points.
Shepherd out is only part of the answer, Lynda lets us know how poor our academy is only 4 Premiership players in 8 years and Ramage and Taylor are hardly the best adverts, other players their age have already made their mark on both the game and the national team.
Who was running our Academy? Need I say more.
Sent in on: November 12th, 2006 at 8:34 pm
If Mr Shepherd were to gain full control of the club would that not put us in further financial difficulties, I would assume that Mr Shepherd would be prepared to pump between £20-50m a year in transfer funds, if like as already been stated that Newcastle United are in financial trouble surley Mr Shepherd does not have the financial clout to turn things round and make us a viable profitable club?
Sent in on: November 12th, 2006 at 8:20 pm
Lynda, thanks for your views. Very interesting and I’d say my own views on the current board and this takeover business pretty much mirror your own. I’ve also heard of the “mystery individual” and the “Geordie Consortium” rumour too but very little can be gleamed from these things until someone comes out and admits to their interest or submits their plans for the club into the public domain, which no-one seems willing to do at this stage.
I personally wouldn’t want an Abramovic figure in control. Yes, the thought of being able to outbid anyone for players and build a dream team is an exciting one but I’m not that way inclined.
I’d prefer the club to build a winning team using its own assets - our money basically. I refuse to accept you need an Abramovic type backer to be a success in football. It helps but sound management on and off the pitch is all this club needs. We generate enough money to buy good quality players to populate a team capable of achieving things. We just lack the board to appoint the type of manager who could knit those things together.
As for the Halls and Freddy Shepherd, if they would appoint a competent board on their behalf to run the club, I would excuse their ownership and indeed dividends. I could live with their ugly mushes being down as owners if the business and team were doing well. But it isn’t and they aren’t capable of improving it themselves, quite the reverse in fact, so yes, they have to go.
The ideal ownership of the club would be us lot the fans but that’s a dream and not realistic at all, sadly.
Interesting times though, as they say.
Sent in on: November 12th, 2006 at 8:13 pm
While being mindful of Sir Bobbys comments, as far as running the club as a business goes, it’s in appalling state. And this is what concerns me the most, he is clearly unable to balance both sides of the club sufficiently to provide success. His decision making is unbelievably bad and the fact he cannot be held accountable either is a disgrace and a major source of frustration. Lynda provides great evidence of this to back me up…
Sent in on: November 12th, 2006 at 7:36 pm
Chris, I work in the Corporate Finance area, so this is interesting to me professionally and as a supporter.
During the summer, I was convinced that one of the take-over bids would go through and, talking to other analysts, so were they. As time goes on, I am less sure. This Belgravia thing is dragging on and, while our position may decrease the price of the club, it won’t necessarily increase its value as an investment. Leaving my love of the club aside, we are on paper, a very poor investment in comparison to many other clubs - debts, stadium can’t be expanded easily, don’t own the ground, major investment needed to get the team competing so support increases. There simply has to be something I’m not seeing - maybe we are likelier to get the casino than the press suggests - since I can’t see anyone making major returns on the sort of investment needed. Hall and Shepherd have done well - relative to minimal investments.
There is a rumour that Belgravia are fronting someone who isn’t too concerned about running it as a commercial venture - at least initially - and other rumours about a major North Eastern consortium being interested. This makes more sense to me than NUFC being taken over as a commercial interest. But there again, there aren’t that many North Easterners, even in a consortium, who could raise hundreds of millions.
Whether a takeover would be a good idea, I don’t know. There is no guarantee of success and the new regime might be worse. However, we are in deep trouble financially and the current regime has manifestly failed, so, for me, it is the only way forward.
Sent in on: November 12th, 2006 at 7:26 pm
Did any of you see Sir Bobby Robson’s piece in todays Mail on Sunday? He backed Freddy Shepherd to take full control of Newcastle and he made a very strong case for it too. He also thought that Shepherd was good at his job. So that’s now Sir Bobby and Big Al in Freddy Shepherd’s corner.
Just though you’d be intrested to know……
Sent in on: November 12th, 2006 at 7:08 pm
Lynda I have been reading your comments with interest for a while now as you always seem to write in with intelligent analysis. What are your thoughts on the whole takeover business and what do you think will happen?
Sent in on: November 12th, 2006 at 7:00 pm
Crucially, I could spend millions of pounds. It is the decision-making that distinguishes the men from the boys. Some appalling managerial appointments, a scandalously bad academy (four PL players in eight years) and debts of 70 million plus and losses of over a million a month last season don’t really point to someone who is competent to run our club. The road to hell is paved with good intentions.
Sent in on: November 12th, 2006 at 6:58 pm
John of Harrogate:
1) We are not far from insolvency. We are on very precarious financial ground. Check out our last accounts for confirmation of the scariness of our position. It would be NUFC plc that went bankrupt, since Shepherd uses the plc’s money (and not a single penny of his own) to buy players. As Chairman of a PLC (and CEO, I might add), he simply has to invest in the company’s core business - not unlike whoever runs Next or BHS or Marks and Sparks. In that regard, he has done nothing exceptional or anything that we should feel any gratitude for: we are a business, like it or not.
2) As regards backing managers, it is true that he has never held back but a) we have been one of the richest clubs in Europe, b) as stated above, he is Chairman. He has a duty to do the needful for the business - it’s not philanthropy, it’s business and c) there is a major question mark over our managers’ autonomy in the transfer mark.
Sent in on: November 12th, 2006 at 6:56 pm
Two things occur to me about this:
1) There is some not-so-subtle blame-passing to the Halls and it may just be propaganda or PR.
2) Having a single owner of a private company would make buying the club easier.
Sent in on: November 12th, 2006 at 6:49 pm
Oh dear me, if Freddy Shepherd sees himself as the answer to our problems, we are really heading for the mother of falls because it is down to this man’s incompetence in the first place why we are where we are at - going nowhere fast.
He has proved himself beyond being capable of transforming the fortunes of this club as Chairman so what makes him think he can do it as sole owner?
If we the fans allow this to happen we’ll never forgive ourselves so we need to crank up the pressure on the fat man and try as we may, to drum it into his big fat thick skull he’s not wanted.
We want change not shortchanged and that’s what we’ll get under Shepherd’s full control even more than we are being shortchanged now.
I ask is a man who sells his brother a warehouse, then rents it back at twice the cost of him, the right man to own this club?
Spare me the Geordie nonsense Fred, if you loved this club as much as you claim to you wouldn’t use it as a personal cash cow for you and your family/associates like you are doing or have done.
You would also want what is best for the club but you’ve proved you don’t really care with your appointments of Roeder and Souness who are second rate managers not fit enough to manage this club.
GO before things turn ugly because mark my words, fans are just about sick of Newcastle United. You buy the club pal and you try and answer why the team are playing in front of a half empty stadium down in the championship because that’s what’s gonna happen.
How would you even buy the club? Load us with debt like Glazer? Hike up prices to pay for the debt? How do you propose we will pay off our current debt? By selling season tickets?
Wake up you fool, fans are staying home and thousands won’t renew next season even if we stay up. I won’t not while your fat arse is holding the club down.
Shepherd out and take that wet blanket of a manager you have the audacity to claim the fans choice with you.
Thanks for allowing me to get this off my chest. I don’t usually write in to web site but I feel so pissed off with things I just have to get it off my chest.
Sent in on: November 12th, 2006 at 5:20 pm
Some fans have exceptionally short memories. Hall and Shepherd pulled this club out of the mire when we were on our way to division 3. I remember when the likes of Kevin Dillon, Billy Askew and Roy Aitken were classed as decent buys. So before you forget just think about how much money previous managers have been given. Mr Shepherd can hardly be accused of not backing the managers can he? Steve Gibson does it down the road at the boro and he is a hero. How fickle Toon fans are becoming. Just remember to be careful what you wish for. Ask Leeds.
Sent in on: November 12th, 2006 at 5:05 pm
There will be empty seats galore should the fat cuntroller be successful with this. People are fed up with the obese bloated fat parasite and his idiotic delusions of grandeur.
Sent in on: November 12th, 2006 at 4:52 pm
We need a Geordie Abromavich!
Sent in on: November 12th, 2006 at 4:49 pm
Will this happen? I hope not, otherwise I can envisage a future of NUFC in a Doug Ellis situation, at worst we will be up to our eye balls in debt in the Championship. How will he fund the purchase, with more loans? Perhaps we’re all wrong, stories of this nature could be (allegedly) leaked to up the share price and to push rivals into rock solid bids.
Sent in on: November 12th, 2006 at 4:03 pm
Again Mr Shepherd is trying to deflect criticism, insisting it was not him but the Halls who have made the majority of the ‘big’ decisions, therefore it is them who have got it so wrong.
I dont think Shepherd understands the hatred towards him at the moment, which is why he thinks buying the club is the right solution. If this is to happen we can kiss goodbye to ever being a force again in top flight football as the man is as imcompetent as he is rotund.
I hope this is lazy ‘putting 2 and 2 together’ journalism, because if its not, I really do fear for the future of NUFC!
Howay the lads!
Sent in on: November 12th, 2006 at 3:44 pm
Possibly the worst imaginable outcome for the club, but he is probably bluffing! (Hope So!!)
I doubt if he has got the money, but if he does go through with it, it is because he wants a statue built for him, something which is completely undeserved when you consider where he has taken us and what he has said about us in the past.
Sent in on: November 12th, 2006 at 3:42 pm
I don’t know what he’s going to do, once he can spend and spend well in January to fix what’s going on up front. Roeder hopefully should pull us through this mess, I hope we can look back in a couple of months at the end of the season and say that this was the lowest part of our season, it has to, HAS TO get better, there’s only one way to go and that’s up.
What I don’t get is that on paper that’s an unreal team, so how is it a team with players of that standard, of that class, are strugling to get out of the relegation zone?
Fine, Given has been injured and well he’s world class and Harper’s been good but Given is alot better.
Duff has been underpreforming ALOT, and he better pick up his form like because we’re (Ireland) playing San Marino on Wed and he better preform and for Newcastle aswell, we’ve got Arsenal and Chelsea ahead of and well I know he’ll want to preform agaisnt Chelsea.
Martins has had an ongoing hamstring injury, well I think it’s his hamstring anyway.
Carr well he’s allright, Luque, I don’t know what he’s really like because he’s been subbed in and out like I don’t know what, which is really unfair on him.
Rossi, well we’ve only got him until January, I think, but he’s been playing well. The rest of the team is just strange, Newcastle is just strange, because they could play like fantastic one match and crap in another match.
It doesn’t make any sense. Parker, well Parker’s, Parker, he’s usually very reliable, Dyer, he’s really good aswell when fit. Look I don’t have to explain the team, you know what they’re like by now.
They’re doing really well in Europe and I don’t understand why were struggling so much in the Premeirship. Shepherd has to do something and he has to do something fast.
Sent in on: November 12th, 2006 at 3:42 pm
As long as you are willing to fork out money in January to fix this mess we are in that’s fine. I have faith in Roeder but I’m not sure what he’s doing with poor Albert.
My Team For Arsenal:
Given
Carr Taylor Moore Babyaro
Dyer Parker
Duff Luque
Rossi
Martins
Worth a try I’d say……
Sent in on: November 12th, 2006 at 2:58 pm