Often Partisan

Some Thoughts on the Latest BIHL Announcement

I’ve had a few people ask me via various methods of contact for my opinions on the announcement made by Birmingham International Holdings on the 11th about the revised memorandum and articles of association. Whilst I’ve not had time to fully digest the 57 page document, I thought I would jot down some thoughts and feelings on the matter.

Before I go anywhere, I must stress that I’m not a financial expert; I have no training in accountancy, law or anything like that so you have to take my views as those of a layman based on a hunches and past knowledge. As such, I’m not saying any of this is fact, just my gut instinct and I think that anyone who is interested in this should read the announcement for themselves and ask questions of people who might know more than I.

From conversations I’ve had with connections of my own, I’m not sure too much should be read into this announcement. Unfortunately as there is no copy of the original memorandum and articles of association before revision I can’t say for sure what has been changed but I have been led to believe that there is nothing out of the ordinary in this announcement. Whilst there are clauses that make you wonder if BIHL are preparing for a change in circumstance there is no firm evidence to say anything is changing; nothing has been commented on in the Chinese press which leads me to believe that it may be premature to make proclamations based on this document.

One thing I have thought about is that there is a possibility that this announcement (and the others preceding it this month naming an executive director (Chan Shun Wah) to the remuneration and nomination committees) are BIHL demonstrating to the HKSE that they are putting their house in order prior to the shares being relisted. Whilst that cannot happen before the accounts are released it makes sense that BIHL do what they can to demonstrate (as required) that the company is being run in a proper fashion and that Carson’s legal woes aren’t causing undue problems in the boardroom.

Of course, the real proof that BIHL are back on track will be in the release of the accounts which is scheduled for the end of the month; until that happens BIHL cannot be relisted on the HKSE and the transfer embargo against BCFC cannot be lifted. Again, I have seen nothing to say that they will be released on April 30 or if they will be delayed but it is my belief that there may well be a delay further until the playoffs are played out. However, this is purely my belief and we will probably not know until the end of the month if that is indeed the case.

I’m sorry that I cannot provide much more information than this; I am in conversation with people who are much more educated in these matters than I am and if there is anything further that needs to be posted I shall do so. In the meantime I think the best thing for now is if we concentrate on the final four games of the league season proper on the pitch.

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18 Responses to “Some Thoughts on the Latest BIHL Announcement”

  • Letsby Avenue says:

    Do you ever sleep :-)

    Thanks for this,AJ.

    Coming at it from a different angle….whilst this may be the tidy-up required work…..it also might explain why Peter Pannu has spent more time than he wanted in HK. Don’t you think?

    Blues are moving on, without his physical presence in Birmingham, nor at certain matches, Blues haven’t faltered or gone arse-backwards. So that should prove that the structure in place is working ….even acknowledgement that the scouting is increasing came this week ….if Pannu can trust his appointments to run Blues without having to be in his St Andrews office, then that is good. Just as Randy Learner (sorry :-) ) is rarely at villa he allows his staff to run villa so admirably.

    Thanks for this, to me, it shows that although the wheels grind slowly, and possibly too silently for many of us, the objective and the purpose is to support Blues.

    This announcement could well have a lot to do with Peter Pannu’s recent absence, if so–well done.

  • Nigel1875 says:

    it’s nothing to do with Pannu being away in HK, he’s always over there. Villa’s admirable staff??! ha ha look at the mess he and Faulkner made of appointing a new manager. Basically Almajir doesn’t know and is just guessing.

  • Masaccio says:

    All listed companies need these – For AIM listed companies in this country it’s part of the Rule 26 regulations. I doubt the HKSE has anything like this but I’m guessing this is the first part of getting the house in order and stocks relisted.

    • Julian Glass says:

      Maciaccio. They have had M of A and A of A before as a legal requirement. It is the reasons why that have been revised that is of interest.

  • quokkasskip says:

    As a chartered accountant I can say having memo and arts is necessary for a listed company. That said you dont just change memo and arts for no reason. It is hassle (at board level) that you dont do unless there is a reason. There is an interesting section about transfer of shares, effectively stating that if someone is bankrupt he can transfer his shares to an appointee of his choice. The alternate director section is also quite interesting (and similar vein to the transfer of shares section). This could be useful is someone is declared bankrupt…..(may become valid for certain board member)? This might be what has been changed/added, but you cannot tell without the previous version to compare. Basically these have been changed for a reason that i would assume this reason will come to light after the accounts are published.

  • AR says:

    Thanks Almajir once again for keeping us informed. I’m sure that there are many more than me who appreciate what you put out.

  • Atahualpa is a BlueNose says:

    Almajir is right. You cannot really read too much into this. The chances are they (BIHL) are attempting to pave their way before trying to re-enlist on the HKSE, and by now would have some sort of idea regarding the whole accounts business. The major sticking point is and has been whether we are promoted back to the EPL. That may make or break BIHL and whether they can hold on to Blues or if they are forced to sell.

    CY – who has been the driver of BIHL and buying Blues – not to mention one of the main backers, may have less influence due to his forthcoming trial, and his hand could have been forced. All this is pure speculation and other than an inner circle within BIHL, not many will have anything to go by on. I do not believe that even PP has been given the full facts.

    Would we really like to see the club put up for sale regardless of whether we go up or not??
    I, for one, would most certainly not. We have had enough upheaval over the last year or so, and with CY and his crew, we more or less know what we have. I can truly say that if they continue to control our club, they will have learnt their lessons – of which there has been a fair number – and will be all the wiser for the future.

    What ever transpires, it will be an interesting summer if you happen to be a Bluenose…

  • gibbo says:

    interesting stuff. BIHL will surely not want to part with blues when we are now realistically 3 games away from the premier league, The summer will be interesting me thinks

  • Eric says:

    Am I alone in thinking that promotion may not be a good idea? We have had a fun season so far notwithstanding ownership issues. If we get promoted where will the extra money go? We could end up with a season like Wolves are having. BUT we will keep right on and hopefully keep CH and our key players.

    • skareggae72 says:

      My concern is the opposite,if we dont get promotion our better players could leave(Davis,Burke,Foster).
      I really cant see us making as many mistakes as Wolves eg,sacking the manager late in the season,replacing him with a rookie,internal player strife,spending millions on ground improvements,then mothballing.
      We have proved we are a better side than Wolves this season,and hopefully will replace them.
      Sorry but i dont have any opinions on the latest off-pitch/Yeung fiasco/ issues.

    • Connor says:

      Or we could go up, spend next to nothing and have a season like Norwich or Swansea…

  • jazzzy786 says:

    If we go up it makes us a more saleable asset. More likely the Chinese will use our money to prop up their ailing business and give the manager the bare minimum. If we don’t go up then more players will go.

  • andy says:

    I believe that everthing hinges on promotion as far as the board are concerned. If Blues dont go up then i cannot see how the chinese can financially support the club.


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