Often Partisan

More Takeover Rumours

The Blues forums and social media outlets were awash of takeover rumours again yesterday as people rushed to confirm that they had heard a bid would go in this week. However, in a twist to the normal stories it appears that the bid would only be for Carson’s shares in BIH rather than the whole club with the idea being a full takeover would happen in due course.

From a personal standpoint, as with any rumour I’m sceptical until there is an official announcement. This isn’t because I believe that people are necessarily putting BS out there; indeed, I think rumours are as a result of people being told something in good faith – however, I don’t like building my hopes up until I see solid facts. Thus all I can do in this article is present the facts as I know them and invite the reader to make their own minds up.

Can Carson sell his shares in BIH despite the shares being suspended?

Having spoken to a solicitor in Hong Kong, I can confirm the answer to this question is yes he can. However, it’s not a simple transaction and would require ratification from the stock market as Carson owns a significant percentage of shares. That being said, because Carson owns less than 30% of BIH the purchase of his shares alone would not necessarily trigger a full takeover process as that only has to happen if one party owns more than 30% of the company.

However, there are complications. As Carson’s shares in the company are covered by the restraint order on Carson’s assets, the sale of the shares would also need to be ratified by the HK Attorney General’s office and any money raised from the sale of the shares would need to go into an escrow account pending the outcome of Carson’s trial. Therefore the question would need to be asked is if Carson would see any of the money from the sale of his shares – and thus logically would he want to sell the shares if he’s not going to receive any money from the sale.

What would happen in the short-term if it did go through?

If Carson was allowed to sell his shares and a purchaser bought them, they’d own just over a quarter of BIH and thus just over a quarter of BCFC. Normally, that would not be enough to control either company but as we’ve seen, Carson has managed just that for the last few years.

However, the purchaser would then have to run BIH as a company at least in the short-term until a full takeover was completed. There would have to be some significant changes at boardroom level – as I’m sure any purchaser would want their own appointees as executive directors rather than Carson, Pannu and co. They would also have to take up the reigns in either getting BIH relisted on the stock exchange – which would potentially require an infusion of cash to assure the HKSE that the company is liquid and capable of trading – or would have to make a move to purchase the rest of the shares in the company to take it into private ownership – which again would take time and would protract the takeover process further.

I’m not sure what this would mean for the club but my gut feeling (and this is based on my thoughts rather than any professional knowledge) is that it would mean a period of transition if not the outright turmoil the club is in right now; I think it would prolong the period that it would take for the club to get back to any sort of real force on the pitch and it would be my worry that people would see the continued life of BIH in a negative light.

There has been a lot of discussion about this rumour; about Pannu flying back to the UK and an offer being made on Thursday, of staff being made aware etc. I can’t confirm any of that and I’m not going to try. For me an offer being made isn’t the big step – it’s when the offer is accepted and announced to the stock exchange as we know then that something is properly afoot. I believe the maxim of “planning for the worst, hoping for the best” applies in this situation and is what I will continue to do.

Tags: , , ,

66 Responses to “More Takeover Rumours”

  • JohnR says:

    Thanks for the observations Dan. Personally I’m going to ignore all speculation regarding the takeover etc. until something concrete is announced I think the rumour mill has resurfaced because everyone is desperate for something to happen.

  • GoodyBlueShoes says:

    Never been into rumours and speculation. However given how serious the situation is and how concerned myself and fellow BlueNoses are I feel I should add my two penneth.

    I have heard from a very good and reliable source that there is something definitely happening. Last week certain staff were told that a ‘Takeover’ package had been tabled and was receiving very serious consideration. He had also heard that there had been an initial approach two months back but “things had to be sorted in Hong Kong before things could progress!”

    No smoke without . . . . .. . .

    KRO

  • RY says:

    I have been told that it looks as if PP has left the board, however my source said this wasn’t confirmed just a gut instinct based on what they’ve seen. This would put the takeover back somewhat as CY would have to appoint a new man to look after affairs at BCFC.

    I know for a fact there are TWO parties showing an interest, one is Paladini and the other is a different consortium fronted by a Blues fan. However, the takeover process, as Dan has said often, is far from simple. PP delayed the initial offer (I’m told the takeover would have been done by now if it wasn’t for his own greed) and if he has walked out, or been pushed, it’ll take some time to get the ball rolling again.

    • Lee says:

      What your saying wouldn’t surprise me, after all it was pannu’s greed that drew the accounts saga out a lot longer than it should have taken

  • Bob Your Uncle says:

    All speculation which I hope is true but am not getting my hopes up. The football club just needs to be ran smoothly again, people want instant success. Maybe we should view it as the road to recovery and we do not know how long this road is. An owner with Blues’ best interests at heart would be good.

    • AlexT says:

      I would be happy in Div 1 mate, if I thought we were being run properly by owners who cared about the club and fans…….

      Cause if that was the situation, success would eventually follow

      • Bob Your Uncle says:

        Swansea are the perfect example to follow and I’m pretty sure the fans own a share of the club, would it be possible for Blues to do this? Works well for German teams too.

        • Chris W says:

          There was a programme on Swansea City: The Fall and Rise, the supporters bought the club.
          Really interesting and I think it could work for the Blues, just need the right leadership with some business acumen to direct it.

  • DoctorD says:

    Dan – top blog mate, thanks for the info. Two words describe you: level headed.

  • dave mann says:

    the forge and garrisson pubs were full of rumours of an iminent takeover on saturday
    but didnt take to much notice to be honest because ive got fed up to the teeth with it
    all to be honest so were continue to whatch this space ( OP) and see what happens
    cause sprending rumours just gets annoying if theres no solid truth in it.KRO.

  • zxcv says:

    Just one point Dan, CY as you say may not benefit from any sale of his shares but don’t forget what is alternative as if we end up having to go into admin he also ends up with sweet fa.

  • zxcv says:

    his alternative

  • Bluenosesol says:

    I do not understand why anyone of sound mind would see the purchase of these shares as a good investment?

  • TonyE says:

    One reason Yeung may be considering selling now is that the club is losing value by the day, had they accepted the Paladini offer 12 mths ago it would have been a far better deal than they could now expect. Is it a case of getting something now or next to nothing tomorrow. Wonder if Pannu might buy control of BIHL, if anyone knows whether it could be profitable it’s him and he can certainly afford it! I just want the club out of BIHL hands and the sooner the better.

  • Tony says:

    I Too have heard the story about two interested parties Paladini and one other fronted by a blues supporter, this bid is supposed to be imminent like this week.
    Further more Paladini is the strong favorite but this was the situation six months ago too, according to reports staff are aware of whats going on things just get murkier.

  • Gianni says:

    I for one would welcome any investor looking to buy shares, of any amount. Just by getting some (hopefully) clean shoes in there and wanting to do good by the club as well as running it as a profitable business, and being able to challenge the current regime.

  • FishandChips says:

    So if he keeps the shares to the end of the trial, what happens to the them if he is found guilty?.Is it only monies that can go into escrow account at the moment?

  • dave mann says:

    one of my mates said its the francis, carrott and lynn trio who are back in the hunt again
    but i told him to wake up cause i said thats a dream your having, how lovely if it were
    true but …..no ….sorry, aint havin any off it.KRO.

  • Chris W says:

    I like your levelled headed response to all the speculation that keeps floating to the surface, you put it across so that the layman can follow and understand.
    I have one question that I may have either missed in the past or, hasn’t been mentioned?
    Carson Yeung appointed his son to the BCFC board if I am correct, was this just an appointment or did he also pass on his shares to his son to avoid those being frozen along with his other assets?
    Might be a stupid question, but one I am unclear on regarding Ryan Yeungs appointment.
    Thanks for any light you can show and like you I remain skeptical and await something concrete happening.

    • almajir says:

      All he did was appoint to him the board, there was no transfer of shares and Ryan receives no wage from the club.

      • Chris W says:

        Thanks for the update, let us hope something concrete happens that is for the good of BCFC soon so we can all look to a brighter future.
        Meanwhile, looking forward to Swansea, with a renewed optimism, who knows, in the quarters of the cup and potential takeover announced all on Thursday…. To be a bluenose is never simple, but always interesting… KRO

  • IM TOTALLY IN AGREEMENT AND WONT BELIEVE IT UNTIL ITS ANNOUNCED THRU THE RIGHT CHANNELS. IVE GROWN TIRED OF ALL THE RIMOURS OVER THE LAST FEW MONTHS. AT THE SAME TIME I CANT WAIT UNTIL WE ARE FINALLY RID OF CARSON, HE HAS TAKEN OUR BELOVED CLUB APART BIT BY BIT. AS MUCH AS WE ALL DISAGREED WITH SULLIVAN AND HIS WAYS, HE DID MAKE THE CLUB FINANCIALLY SOUND. WHOEVER DOES COME IN AND BUYS US, THEN ITS GONNA TAKE THEM A WHILE TO GET US BACK TO THAT LEVEL AGAIN

  • mark says:

    Tbh alway liked gold brothers and sully…..no hard feeling from me…….

    • Chris says:

      Didn’t do the club, their old employees and the fans any favours when they took £40 million more than the club was worth, taking that money away from possible investment in the club instead of in their pockets, shows how much they cared.
      they also knew that villa and reading had already told yeung they wouldn’t sell their clubs to him.

  • dave mann says:

    it will only be the last 16 if we beat swansea chris w not the quater- finals but could
    make it interesting for eveybody if theres a win tomorrow and a anouncement soon
    so as ive said lets wait and see! KRO.

    • Chris W says:

      Thanks Dave, got a bit ahead of myself following Saturday. But it could still be a possibility, Swansea are in Europe and they will want to remain a premiership team so I feel it will be a rather weakened team from them, though they still play the same style, I think it will allow our forwards more freedom.

  • Michael says:

    I heard Often Partisan is buying BCFC

    • almajir says:

      somehow I don’t think so ;)

      • Blueboi says:

        Almajir: I’m not the Messiah! Will you please listen? I am not the Messiah, do you understand? Honestly!
        Bluenoses: Only the true Messiah denies His divinity.
        Almajir: What? Well, what sort of chance does that give me? All right! I am the Messiah!
        Bluenoses: He is! He is the Messiah!
        Almajir: Now, fcuk off!
        [silence]
        Bluenoses: How shall we fcuk off, O Lord?

        Script from the life of Almajir

  • des says:

    Right lets cut to the chase, how interested would ANYONE in the world be in selling shares but not getting any money for them….right how much thinking time do you need?….thats no deal then Noel!

    Btw can i just say again how much I valued the old board, best we will ever have imho, proper business people, just saw somewhere that ten years ago in the window that just closed we signed Dugarry world cup winner & Dunn one of the most gifted english players of his generation & the legendary Mikail Forsell!!! sing the song Happy Days..Oh happy Day..Oh happy days..KRO

    • carlos says:

      Des, you should take a look on the KUMB forum mate, the Spammers have at last woken up to their “qualities”.

    • Chris says:

      Was that the owners that bought Campbell from league 1 to save us from relegation, along with Latka, Sutton .
      In other words they did nothing to push the boat out and keep us up.

  • andy says:

    I think at the end of the day we just go through the motions now and believe it when we see it.

  • Art Watson says:

    So what does Mr T Ross have to say about these rumours?

  • Nigel says:

    We’re in this mess because 1-Carson young we all know that !
    2- Sullivan and gold ! Saw the money and done 1
    3- the fa – for not investigating we’re the money came from !
    4- we’re blues.

    • Chris W says:

      Everyone slates Gold and Sullivan, if someone offered you double the price your hose is worth would you say no thanks…. I know I wouldn’t.
      They were business people, they bought the club and made a profit, that is what business people do, on the way they made BCFC financially stable and gave us a half decent ground, which, before I get slated, they financed 4.5 million of their own money as the Birmingham Council refused them any grants and neither did the Football trust.
      Right now I would welcome them back to ST Ans with open arms if it meant of CY and Co. are got rid.

      • fletch says:

        sullivan and gold promised blues fans they would only sell the club to someone with genuine good intentions for our club ….. look what we got !!! their beloved west ham was going up for sale and they grabbed the
        money ,dumped us and run.i personally never liked sullivan and glad he is gone. when you look back they all got their money back.

        • Chris W says:

          Of Course they got their money back, that is what business people do.
          Maybe CY told them what they wanted to hear, he wanted to buy the club, if you want something badly enough you will pay over the top and promise the world you are honest as the day is long to get it.
          Gold’s and Sullivan saved BCFC, yes their dream was to own WHU, it came up and they sold out for a nice profit, a section of supporters wanted them out, sometimes you have to be careful what you wish for.
          I personally was quite happy with what they did for my club, and we were solvent,some people are never happy.

      • zxcv says:

        I wouldn`t sell my Hose for anything, missis would kill me.lol

      • Chris says:

        Hang on the blues fans financed the the millions to rebuild the ground via two share issues, they put the money in up front I’ll admit but they always had it back and on many occasions with interest.
        Many good owners don’t treat their clubs as a business only those with no feeling for the clubs they own treat it as a business.

        • Chris W says:

          Owners that don’t treat their clubs as businesses are the likes of Abramovich, Sheiks and multi-billionaires. The likes of which you won’t see sitting in the directors box at St Ans.
          Of course they got their money back, are you going to extend and upgrade your house then sell it for what you bought it for, people with that ethos are the ones who run clubs into administration, i.e. Portsmouth (twice), Coventry and ourselves before much longer if we keep Yeung and Co.
          As for the shares, in 1997, Sullivan and Gold floated the club on the Alternative Investment Market (AIM) with a issue of 15 million new shares which raised £7.5 million of new investment. Investment is the key word, it bought players and paid wages and went towards the ground redevelopment.

  • Tony says:

    Probably that he was right all along Art

  • dave mann says:

    didnt he start them Art, i thought he was up to his old tricks again, ah well.KRO.

  • dave mann says:

    its a shame that they didnt drop the prices a bit more for swansea cause we could have had a
    descent crowd but just over 14,000 might be about right tomorrow, cant see anymore than that
    because those who didnt go saturday wont bother cuz jesse aint playing, had he played it
    might have added a couple of thousand! KRO.

  • Blues for life 71 says:

    to summise……… theres still Jack S##t anyone can do about it !!

  • bluenose08 says:

    If carson decides to sell his shares the money recieved for them goes into an escrow account until after his trial correct !! But can he give or pass on his shares to a trusted friend ?

  • bertie says:

    I look forward to Tom Ross and his ramblings tomorrow on takeovers told you all so apologise now you lot. Oh dear passed his sell date I fear. 50p he says Steve Bruce once told me your only as good as your stikers. Hopefully not a word from Tom the Bruce Forsyth of radio these days.
    Lets wait for the facts and sale in tablets of stone in the meantime KRO

  • tony says:

    lets make it a fans club no overseas owners yes like swansea if you like they have done amazing proud to be a brummie always i fight the cause in wales most are so called liverpool or united fans or whoever is winning they cannot believe my passion for the blues even at my age and they all know keep right on now blue forever kro

  • zxcv says:

    Just said on sky, Bentcackie is out for six weeks. Shame.

  • anon says:

    i commented on one of your last articles saying Thursday will be the day fingers crossed

  • Poppa999 says:

    What about if the shares were given to settle a CY debt and no money changes hands?

  • BeeGeeBlueBoy says:

    My thoughts:

    1/
    Wouldnt anyone after CY’s shares ready to launch a takeover want get as close to 29.9% as possible by buying some of CYs shares indirecly owned?

    2/
    Its not a big leap in Chinese whispers from “there’s a chap going to come in to mooch around” to “the new buyer’s come for a final check on things before completing his purchase.

  • StevieW says:

    If we are that close to a new owner then I suggest all Bluenose attending tonite keep an eye on the expensive seats, just maybe someone will get a glimpse of the future.

    You never know

  • […] been thinking about this a lot since I wrote the piece last week about a potential purchase of Carson’s shares. The idea of someone buying Carson’s […]


Personalised Gifts for a Bluenose
Haircuts and League Cups
Open Tax Services
Corporate Solutions UK
PJ Planning
Rodal Heating

Archives