----- Original Message ----- > any indication from Redbus if they would be willing to buy out Bates in 6 > months time or are they finished with us now?
My information is now a few days out of date and I don't want to give the impression that there is a constant dialogue or anything of that nature. I'm not ruling out such a dialogue but there is not one at present. In exactly the same way, the TRUST does not have a constant dialogue with Mr Bates. I did not specifically ask Simon Franks this question but I think that I am able to answer it to some degree. I am certain that the question of buying from Bates has been considered by Redbus because they pointed out the downside (if that is not the wrong word) of the anti-embarrassment clause. The clause is there to pay more money to the creditors if the new owners of the club should sell it for more than 5 million within 6 months of emerging from the CVA. As such its purpose is obvious. It is however two-edged because it effectively means that if anyone wished to buy the club within the 6 months then they also have to fund the cost of the anti embarrassment clause in some way. It also means that if anyone was willing to pay the extra money to take control within 6 months it at the same time indicates to Mr Bates that more money is actually available if he hangs on until the 6 months are up. Not a good negotiating position as you can see. Adding to this thinking is that Simon was (in my view genuinely) concerned that the club under its current new owners would not be able to obtain the "investment" that it so obviously needs right now. Without such investment right now then further damage may be done to the position of the club and the situation in 6 months time could be much worse than it already is. Without significant investment NOW, we may face a second half of the season struggling to get out of another relegation situation no matter how much money potential new owners at Christmas might be able to throw at the problem. There must come a point beyond which things may not be recoverable and this could be a downward spiral and not just a historical low point. My view on this is that Redbus are (or were) very seriously interested and were genuinely prepared to allocate millions to their Leeds United project (my words not theirs). Depending upon the price demanded for a minimum of 51% of the club (but preferably 100% of the club) then their interest remains strong. I am at the same time very well aware that companies like Redbus are constantly on the look-out for recovery situations and they will have other projects to consider as alternatives (I don't mean other football clubs). They have a tendency to shrug and move on to the next project. Remember that they do not pretend to have any special love interest in Leeds United. They are not interested in trophy assets and they are not property developers. Assuming that Mr Bates was even interested in selling a minimum of 51% of the club (and there is absolutely no indication that he has such an interest at this time) then the situation in 6 months might be regarded by Redbus as too far gone to be easily recovered or it may easily be that Redbus has moved on and is committed to other projects by that time which leaves them unable to consider Leeds United. In my own personal opinion Leeds United represents possibly the best opportunity in European Football in terms of upside financial potential. That fact is very clear to Redbus and others. My problem (and this is not Anti-Bates particularly) is that the time for the necessary changes is right now, or possibly two weeks ago. I am at a loss to see how our new owners are going to find the required injection of capital but along with every other fan I desperately hope that I am wrong in this. It would not take very much in my opinion to start a bandwagon rolling in the right direction. It might be that FSF and its bedfellows have already allocated a few millions MORE (i.e. new money) to their Leeds United Project (for that is what it really is) and that all will be well, but if that new money is not readily available from those sources then we may be in BIG trouble. It worries me considerably that Mr Bates is calling for investment from local businessmen and castigating the people of Leeds for not investing into HIS football club. This indicates that there is insufficient capital available to him at present and that could be disastrous. _______________________________________________ the Leeds List is an unmoderated mailing list and the list administrators accept no liability for the personal views and opinions of contributors. Leedslist mailing list [email protected] http://list.zetnet.co.uk/mailman/listinfo/leedslist Join The Leeds United Supporters Trust at www.lufctrust.org
