Often Partisan

Yang Yuezhou update

There was a question on here last week about Yang Yuezhou – who you may know as the bloke who lent BIHL £12million last year – and what’s he doing recently. As it’s something that’s doing the rounds, I thought I’d write something quick up about it and to kill some misconceptions.

It’s all stemmed from this PDF which was released to the HKSE last week which confirms that a company called Computech Holdings is holding an Extraordinary General Meeting next week. Computech is 22% owned by Mr Yang, who invested in the firm last October. What the announcement discusses is a share rights issue where Mr Yang is looking to get people to invest in this firm, and from which he has to ask of approval from the current individual shareholders of this company because he’s underwriting it personally.

I think there is added interest in some quarters because a CCASS search of individual shareholders currently (as of 06 February) shows that just shy of 47% of the publicly held stock in the company is held via Pollyana Chu’s brokerage Kingston Securities.

So – does it concern Blues? The answer is only tangentially; in that I believe this company’s recent announcements gives an idea of what Yang Yuezhou’s intentions with Birmingham International Holdings are. Computech was predominately an IT firm but it has now changed its portfolio somewhat to go into lending money. For example, they made an announcement last month to the stock exchange that the company was to lend HK$5.5mil (about £450,000) to a small HK company – at a whopping 42% APR for a period of two months. For me, that paints Mr Yang’s investment in Blues in a somewhat different light – I didn’t ever think he was the white knight that he was made out to be in some quarters but now I think it’s pretty much proved that his loan was nothing more than an opportunity for Mr Yang to make a few Hong Kong dollars.

As for Ms Chu – well, you can forget about her. The only reason her name is mentioned is because her brokerage has been used by people wanting to buy shares in the company. Other than that she has no stake in the company that I can see – certainly nothing she has declared – and just like Blues, she’s not interested.

In short – nothing to see here, move along.

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5 Responses to “Yang Yuezhou update”

  • parkp says:

    With all this business, isnt it a case of a white knight coming in to save BIH rather than the football club itself? The current situation doesnt allow anybody to buy the club unless they want to part with at least 50 Million does it? I have the feeling that only Carson has interest in Birmingham City, the other shareholders in BIH are all looking for that quick buck and have no interest in the football club. Enlighten me.

  • poppa999 says:

    Very depressing, and makes you wonder if the decision on when and how the plug is pulled will be decided where Blues end up in the final league placings. Promotion will make us a proposition worthy of saving as a business (if anyone wants to buy). Failure will result in the club going bust with 10pts deducted etc. but debts cleared. Risky if that is the case.

  • Blue Steve says:

    With this presumption Yang Yuezhou then likely to have his loan repaid in cash rather than shares?

  • Oby says:

    Oh dear,…this has made me a little depressed to say the least Al,…ah well, onwards and upwards as they say.

  • Atahualpa is a BlueNose says:

    I have attempted to stay clear of the whole CY / BIH / possible administration saga, but feel now is the time to offer my view(s) on the whole subject. It could be said that I have found the whole thing quite depressing and exhilarating at the same time.

    Paradoxical and ambiguous?

    You bet.

    There has been a fair amount of sensible and crass bullshit written / spoken in equal measures by those in the know and those who get their information and guidance from the red-top gutter tabloids.

    I truly believe that CY has been very unfortunate with the situation he now finds himself in. I will not go into the rights and wrongs of his criminal charges, but will most definitely say that some circumstances have conspired against him. If Blues had not been relegated then the fear and anxiety of possible administration would simply not have been as acute; even with these charges. How?
    BIH would have been able to raise secured funds based on future income for Blues (as is done by most clubs), and used these to ensure a cashflow to the club. In addition, we would not have had to repay the high yield that has been stipulated by Yuezhou to BIH, and could have used more sensible sources to borrow from. The club’s predicament is related to BIH and vice-versa. The company was used as a vehicle to purchase Blues and then secure funding on various fronts to then further expand other segments of the organisation and business. The more successful and prosperous Blues become/became, the more the rest of ’empire’ would flourish. This would have the all-round success that was/is envisaged by CY. He would own a prestigious Premiership club and could also use it to benefit his other business interests and increase his sphere of influence and affluence.

    When we dropped into the Championship last summer, I feel that he (CY) felt that perhaps we should become reliant on our own assets to generate funds to see us through the year ahead – of course taking into account the aspiration of bouncing back at the first attempt – hence the sale of so many of our first team. Truth of the matter is CY is wealthy but not to the extent he could write multi – million pound cheques every season to cover losses or deficits. If he had been so rich, he simply would not have needed to resort to such protracted means to secure funding to buy our club at the second time of asking. Perhaps he was of the opinion that it would be a quid pro quo of sorts and maybe still does, provided he can overcome his legal issues. Sometimes you have to try and read between the lines to what is being said.

    What I have found so depressing is so many ‘fans’ becoming so despondent and then talking shit and arriving at premature conclusions regarding the death of our club. Going through OP’s archives, I could detail the user-names of those that were of the opinion that we would be languishing at the foot of the table and in total disarray by this time in the season. Would be futile to do so.

    Also have a gripe against those who do not wish to read Almajir’s views regarding the finances of our club. If they had been bothered to consider this side of things, then maybe the current situation would not be a major surprise. All in all, still room for optimism.

    Still am of the opinion that CY has a long-term strategy for the club which fits into his overall business plan, and will commensurate once his criminal court case has been decided – of course only if he is found not guilty. Until then we will have to limp along. All the talk of PP, CY’s son being on the board, short-term loans made to BIH and someone buying the club, are simply minor issues. The key was, is and always will be – MR CARSON YEUNG KA SING !!!

    CH and the team deserve our unreserved support for the magnificent effort being made on our behalf, and we should be shouting from the rooftops as to how proud and grateful we are for being BCFC !!!

    If we, nay, when we go up, can you imagine what CH could do with the right backing and resources ? Can you imagine CY ever making the previous mistakes of hiring highly paid mercenaries on such short-term endeavours ? As a club, we could really move forward on a sound and solid foundation………….

    Like I said, only my viewsssssssss

    Well done Almajir, this site and blog of yours is truly something to look forward to with positive enthusiasm.

    Kind regards all and KRO

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