DIC latest - the largely wild speculation thread

[kopdan]

so basically even with DIC on board in either 49% or 50%, we are actually no better off.

[Rowan]

They'll buy Gillett's share for close to £200m. This will go directly into Gillett's pocket.

The deal with the bank is a different process altogether and I dunno if this can be wiped off like that. It's all financial ****e for me and I'm no expert.

Can't be right Fredo. I would assume that the offer to Gillett includes his existing liabilities around the club (i.e. in this case the debt). Gillett will only make profit on everything above that amount.

[carlton]

They'll buy Gillett's share for close to £200m. This will go directly into Gillett's pocket.

The deal with the bank is a different process altogether and I dunno if this can be wiped off like that. It's all financial ****e for me and I'm no expert.

GG will have to pay the bank back what he borrowed to buy the club.

[Guest]

so basically even with DIC on board in either 49% or 50%, we are actually no better off.

If DIC is a minority shareholder, it won't change much IMO. There's an article somewhere where it states that a minority shareholder doesn't have any power whatsoever.

Maybe Hicks will try to suck up some money off DIC to pay for transfers ? But he'll be the one running the rule.

Where does that leave DIC ? Maybe they're privy to some information as regards Hicks, knowing he won't be able to be in a position to refuse to sell his shares to them in the future.

But this can easily backfire. Let's say we're suddenly successful. It will raise the value of the club and Hicks will probably want to stay put, or look out for a bigger profit later on.

[Guest]

Can't be right Fredo. I would assume that the offer to Gillett includes his existing liabilities around the club (i.e. in this case the debt). Gillett will only make profit on everything above that amount.

GG will have to pay the bank back what he borrowed to buy the club.

Not sure, or would the debt be passed on DIC ?

[Angry Dan]

I was under the impression that the money for Gilletes shares would be to clear 50 % of the loan on the club with the remainder going to him personally hence the talked about £40 million.

This would make it complicated with regard to where the remaining interest is to come from. Assuming the loan interest is now £15 million who is to pay it the club still or Hicks?

[redstaralex]

what about the possibility that gg is selling 49% to DIC now and keeping the 1% for himself, then DIC & gg together can equal th in any financial matters and if there's a tactical agreement between DIC and gg that they'll force th to sell by making ludicrous amounts available to Rafa that th can't match

[Vermilion]

Not sure, or would the debt be passed on DIC ?

I thought that, Dic from then on being responsible for Gillettes half, Guarentees, etc. Sound's odd though.

[carlton]

If DIC is a minority shareholder, it won't change much IMO. There's an article somewhere where it states that a minority shareholder doesn't have any power whatsoever.

Maybe Hicks will try to suck up some money off DIC to pay for transfers ? But he'll be the one running the rule.

Where does that leave DIC ? Maybe they're privy to some information as regards Hicks, knowing he won't be able to be in a position to refuse to sell his shares to them in the future.

But this can easily backfire. Let's say we're suddenly successful. It will raise the value of the club and Hicks will probably want to stay put, or look out for a bigger profit later on.

Hicks has to come up with half for the stadium and other bits and pieces doesnt he? He's already in serious debt as he seems to fund his investments with debt rather than equity. He'd much rather DIC than GG as a partner so probably wouldnt want to piss them off too much?

[Vermilion]

what about the possibility that gg is selling 49% to DIC now and keeping the 1% for himself, then DIC & gg together can equal th in any financial matters and if there's a tactical agreement between DIC and gg that they'll force th to sell by making ludicrous amounts available to Rafa that th can't match

Hicks wont sign up to that. GG staying, & in Dic's pocket. Defeats his whole objective & reason for not selling, blocking a 50% sale, To retain Majority Holdings & Control.

[Whelan5]

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[Whelan5]

Not sure, or would the debt be passed on DIC ?

The debt would have to be cleared by Gillett or else he would only recieve an amount above the outstanding loan in cash. To use a house purchase as an example, say you own a house worth 200,000 with a mortgage of 150,000 and I buy it from you. I either pay you 200,000 and the debt stays with you or alternatively i take over the mortage and pay you 50,000.

Obviously typically on house purchases it's otion 1 that is chosen and you don't receive the 200,000 but your solicitor does and repays the loan before giving you the balance but in a business case like this the bank would go with either option based on the strength of DIC.

[Skillz]

I honestly beieve what we are seeing now is an orchestrated changeover. GG agreed about 88 days ago. That's why rumours of the Inter game being decisive were about. Hicks is ****ed but he came on board as long as he gets to go out in a good light. Hence why Rafa has played along.

DIC will be in control soon IMO and all this 49% bit is wanky wah crap from Hicks PR mob. He is leaving but it may take a while, or not but he will be put in a good light just so he can save face.

Personally couldn't give a **** as long as he is gone.

[Lecter]

Not sure, or would the debt be passed on DIC ?

If DIC agree to pay £200 million for Gilletts stake he wont walk away with £200 million

Gillett would either agree to paying off his share of the debt leaving him with a balance (profit £40-80 million whichever you believe) or alternative if DIC assume his share of the debt they would deduct that from the bid price

[spider-neil]

I honestly beieve what we are seeing now is an orchestrated changeover. GG agreed about 88 days ago. That's why rumours of the Inter game being decisive were about. Hicks is ****ed but he came on board as long as he gets to go out in a good light. Hence why Rafa has played along.

DIC will be in control soon IMO and all this 49% bit is wanky wah crap from Hicks PR mob. He is leaving but it may take a while, or not but he will be put in a good light just so he can save face.

Personally couldn't give a **** as long as he is gone.

good thoery except the '49%' news is coming from the DIC camp not the hicks camp.