There is some interesting phraseology here. (I have put on my “Ibroxologist” hat here). My comments are in bold.
From the official Rangers website:-
He said: “I am delighted we have been able to fulfil our promise to give fans the opportunity to once again hold shares in the club as that has been our stated aim from the beginning.
Two things – he has fulfilled his promise to give fans the “opportunity” to hold shares. I am sure he is not being negative about share take up, as all the comments from official and unofficial Ibrox mouthpieces has emphasised the fantastic numbers of shares in which interest has been expressed. But the sentence almost has the unspoken addition of “we gave them the chance but they did not take it”. I am sure that is incorrect on my part.
Secondly, the shares are not shares IN THE CLUB. They are shares in the holding company which will own 100% of the company which owns the assets which make up the club. This is a perfectly normal and legitimate structure for a football team. However, if we are looking for precision of language, what is being sold is NOT a share in the club.
“Since the 140th anniversary game, the club has been inundated with best wishes from all over the world and the support that this club has received since I came to Ibrox has been outstanding and humbling for someone who had no previous connection to the club.
Sadly fans from around the world, for all their good wishes, are not entitled to buy shares in this IPO, for legal reasons. I understand that some Rangers fansites have been suggesting ways for Rangers fans overseas to get round the deprivation of the opportunity to invest in the deal. I am sure that Rangers would not countenance anyone seeking to circumvent the rules applicable to share trading.
“Many fans lost their shareholding in the club previously and, I said from the start, no one person would again have control of Rangers.
Maybe a gesture could have been made to allow such former shareholders a share in the new company? If he is seeking to encourage these fans to re-invest, then is it wise to remind them that they lost their investments before?
And, as the shares are going to be publicly traded, how is Mr Green going to prevent someone acquiring total control, if they have enough money to buy the necessary shares?
As the proposed share structure would leave the fans, even if they take up all of the shares allotted to them, in a minority, he cannot rely on them refusing en bloc to sell to a predator, can he?
This is not like a privatisation of assets, where the Government retains a Golden Share to block a takeover. If the shares are traded on the open market, especially with institutional investors and business people owning the majority, there would undoubtedly be a price at which they would sell up.
“We said the fans would have the chance to be part of the club’s future and they have until 1pm tomorrow when the offer to the public closes.
As I type, the deadline is under an hour away – so roll up, roll up!
Of course the fans would be able to buy shares on the AIM when the company is listed tomorrow, according to the planned schedule. They would still own a part of the holding company which owns … etc etc. The only difference is that the payment would not benefit Rangers, but the seller.
The price might shoot up when the shares start trading, in which case get in now at a low price. However the price could fall, and if the interest was in owning a “piece of the club” then that would be the time to buy. If the interest is in funding the company, then buy before 1pm!
“Ally McCoist, myself, Walter Smith and the rest of the board are pleased that we have been able to reach this stage in the process and give the fans the opportunity they deserve to own a stake in the club that means so much to them.
“Opportunity” again. Is he pessimistic about the share issue? I am sure he is not – after all, all the publicity suggested the issue would be over-subscribed.
“This is a key moment in the rebuilding of Rangers and we are determined to get the club back to where it belongs and also prepare it well for the long-term challenges it will face as a great sporting institution.”
And who can disagree with him on that?
We will find out soon enough the extent of the issue’s success, which will, I am sure, shock many.
Posted by Paul McConville