How much are Brighton worth and are we making money?

[Return of the Rev]

What would be the value of Brighton now and if tb converted the loan to shares how much of the club would he have? Who values the club?
Or if we got a bank loan to pay back his money would we still be profitable?
How long is the loan for and is it totally interest free?

 

[Peever]

 

[clippedgull]

Repayable, interest free by 2023. Any outstanding balance when the loan is due to be repaid will be converted into shares. That's my understanding.

 

[beorhthelm]

this will probably be the simplest responce.

 

[Mr Burns]

What I would like to know is how much TB has SPENT on the club, as opposed to loaning the club?

If all the money he has put into the club was a loan, once it's repaid surely that means he's got a football club and stadium for free? Or at least, for the interest.

I think all the money TB puts in are loans. And yes, he'll own the club or a large slice of it. And f***ing good luck to him!!

 

[Return of the Rev]

I think all the money TB puts in are loans. And yes, he'll own the club or a large slice of it. And f***ing good luck to him!!

Not sure its luck,he invested in a good brand,JUST WONDERING WHAT ARE VALUE IS AND WHEN HE MIGHT CONVERT TO SHARES,IF WE ARE PROMOTED TO PREMIER ARE VALUE WOULD TRIPLE AT LEAST

 

[Seagull on the wing]

He has not just invested in the Brand....he is a fan of the club as much as I or anyone else who who follows the Albion...I would rather Tony be there than any Russian bulti billionaire!

 

[Return of the Rev]

He has not just invested in the Brand....he is a fan of the club as much as I or anyone else who who follows the Albion...I would rather Tony be there than any Russian bulti billionaire!

He might a fan but he's not silly,not having a go at him but just interested in the mechanics of turning loan into shares and at what point this might happen,plus he is allowed to sell in the future Whats the advantage of not taking shares now as we seem to be on the up?

 

[Titanic]

I'm no expert but I would imagine it might be quite tax efficient to have substantial debts/loans on the books?

 

[timbha]

I'm no expert but I would imagine it might be quite tax efficient to have substantial debts/loans on the books?

don't underestimate yourself, sir. Why would anyone want to show a profit in their books.......and pay tax on it?

To an earlier post - ok we think it's a good brand and it is locally.......but it wasn't such a good brand when TB invested and there are plenty of other good brands in the football industry.

 

[Return of the Rev]

I'm no expert but I would imagine it might be quite tax efficient to have substantial debts/loans on the books?

So is it 100 million plus loaned till 2023 interest free JUST INTERESTED IN THE FIGURES AND HOW IT WILL BE PLAYED OUT, PROBABLY MIGHT BE QUITE IMPORTANT IN THE FUTURE.

 

[Return of the Rev]

don't underestimate yourself, sir. Why would anyone want to show a profit in their books.......and pay tax on it?

To an earlier post - ok we think it's a good brand and it is locally.......but it wasn't such a good brand when tb invested and there are plenty of other good brands in the football industry.

ok potential, brand most proper brighton fans knew we could provide a bigger fan base than withdean crowds suggested.

 

[timbha]

So is it 100 million plus loaned till 2023 interest free JUST INTERESTED IN THE FIGURES AND HOW IT WILL BE PLAYED OUT, PROBABLY MIGHT BE QUITE IMPORTANT IN THE FUTURE.

the loan is interest free and at the end of the loan period the capital has to be repaid, or re financed. A loan wouldn't be a loan without a repayment date. The end date is probably convenient for both sides (although TB held all the cards in the negotiations) and in all probability if it's not repaid it'll be extended. Being a businessman TB expects the club to become self sufficient. I thought the date was earlier than 2023.

(we could always revert to Dick's Plan B!)

 

[Return of the Rev]

the loan is interest free and at the end of the loan period the capital has to be repaid, or re financed. A loan wouldn't be a loan without a repayment date. The end date is probably convenient for both sides (although tb held all the cards in the negotiations) and in all probability if it's not repaid it'll be extended. Being a businessman tb expects the club to become self sufficient. I thought the date was earlier than 2023.

(we could always revert to dick's plan b!)

i've got that but the conversion into shares,why would he wait to do this?

 

[clippedgull]

the loan is interest free and at the end of the loan period the capital has to be repaid, or re financed. A loan wouldn't be a loan without a repayment date. The end date is probably convenient for both sides (although TB held all the cards in the negotiations) and in all probability if it's not repaid it'll be extended. Being a businessman TB expects the club to become self sufficient. I thought the date was earlier than 2023.

(we could always revert to Dick's Plan B!)

No, it doesn't have to be re-financed. It will be converted into shares if there is a balance outstanding in 2023 under the arrangement.

As other clubs on the south coast experience financial meltdown, Bloom, originally an internet gambling entrepreneur, has stepped in with interest-free loans which will be put towards the development of Brighton's new £93 million stadium, under construction at Falmer, in an attempt to return the club to the Championship at the earliest opportunity.
Bloom has converted £18 million of loans paid to the club into shares, making him the majority shareholder with 75.61 per cent, although that could become nearer 90 per cent if he converts loans due to be repaid in 2023.

Brighton's future secured by 80m cash injection by multi-millionaire Tony Bloom - Telegraph

 

[Hillian1]

Do not try and engage in conversation Rev, many, if not most, of our fans will expect Tony to bankroll us as he is a FAN.

MOST would never have even been to the shit heaps that were Withdean, and dare I mention the name, Priestfied.

Success or nothing...!

H1

X

 

[seagullsovergrimsby]

So is it 100 million plus loaned till 2023 interest free JUST INTERESTED IN THE FIGURES AND HOW IT WILL BE PLAYED OUT, PROBABLY MIGHT BE QUITE IMPORTANT IN THE FUTURE.

Although it was widely reported TB covered the £93M cost of The Amex that was before the specs were upgraded for the start of last season and with the extra seats the cost could be approaching £110M. Add to that the cost of the new training academy and covering the shortfall while we were at Withdean I guess he has invested a minimum of £150M.

 

[timbha]

i've got that but the conversion into shares,why would he wait to do this?

not sure. Might be because the shares wouldn't pay a dividend so what's the point. Alternatively it might just be better to show a loan plus a loss making operation in his books rather than shares and a loss making operation.

The time to convert to shares is when the club turns the corner into profit making. Let's say the club went bust now (God forbid). The shareholders wouldn't get anything back until the bills and loans had been repaid - aha this might be the reason (forget my other crap!)

 

[Perkino]

We don't know much about Bloom but what we do know is that he is a decent business man and a brighton fan. I cannot imagine that any deal would have been set up without a specified date for the loan to be repaid or for a future extension of the date or conversion of outstanding monies into further shares.

In interviews I have heard him say that as a supporter of the club he couldn't sit by and watch it suffer knowing he could do something to help, he didn't get involved in it for the money and I'd have tought that any agreement would be in the benefit of the club. If he had wanted to make a profit then he would have charged an interest rate on his initial loan.

Tony Bloom has paid for the stadium and made money available for the new training complex but has refused to start paying for transfers or wages. His dream was to see his beloved football club running successfully not being crippled by huge debts or plunged into administration as they hadn't used their money wisely. The Amex generates a decent turnover and this alone is being used to pay for a better team on and off the pitch.

I don't belive Bloom is fleecing us or trying to take advantage of the club, but when it is all settled he will be slightly better off and BHAFC will be significantly better off

 

[DT Withdean]

Record losses to be announced for 2011/12, despite £25m turnover (£5m at Withdean).

Nowt to with:
- Capital projects, as little effect on Profit and Loss Account.
- Player wages, as relatively modest.

Somehow, overheads, and a payroll of > 900 have given the loss.

We will have to wait many months until they belatedly file the accounts at Companies House, to see.