Sale of Southend United to Justin Rees and his consortium

[leeblue]

That’s interesting. Did not know that. I have been rather thrown by the Trusts quietness around Justin, in a slightly positive way. I guess an NDA has been entered into.

Can the @Shrimperstrust at least give a hint as to how these talks went?

 

[dusterman]

Can the @Shrimperstrust at least give a hint as to how these talks went?

I’d imagine that it’s slow going and the Ronald factor makes any potential deal dicey anyway, with his tendency to change his tiny mind. Add this to the ramping up of protests and I think we have our answer really.

 

[dusterman]

I’d imagine that it’s slow going and the Ronald factor makes any potential deal dicey anyway, with his tendency to change his tiny mind. Add this to the ramping up of protests and I think we have our answer really.

Didn’t want you to like this @jphfitz

 

[kentblues]

The problem is people can only pass on what the are told. And it's increasingly clear this is often partial information shared either directly, or via a third party, to suit an agenda/messaging/approach to negotiation, a purpose (of buyer or seller). We can be and are are told certain things in isolation, but ask something as simple as is the Aussie bid favoured verses the 7 because a. its higher b. structured differently/is for different assets or c. both (without sharing the numbers) then the question is ignored.

So I have to agree these snippets have increasingly little currency based on experience. We shouldn't shoot the messenger, however.

I really no longer have a clue whats happening, like virtually everyone else it seems to me. Of course, it's all Ron's fault these bids are made (if they are) and the deal isn't closed, and that feels somehow uncontroversial. There again, where so much turns out not to be the case it does feel a bit of a stretch believing this is always the only one thing that is, somehow, always true...

 

[westie]

Let’s not.

We’re not going to turn this into a slanging match or a character assassination. If you want to believe in ITK’s, that’s your personal choice. If you don’t, again, that’s your personal choice.

Then by the same token no member should challenge another member who chooses not to believe the ITKs. That's called double standards isn't it?

 

[GBJ]

Then by the same token no member should challenge another member who chooses not to believe the ITKs. That's called double standards isn't it?

Again, everyone is perfectly welcome to believe in what they want. The key is to challenge the post, not the poster.

 

[westie]

Again, everyone is perfectly welcome to believe in what they want. The key is to challenge the post, not the poster.

You didn't answer my question. They were both at it, challenging each other's post.
Why not warn both?

 

[GBJ]

You didn't answer my question. They were both at it, challenging each other's post.
Why not warn both?

They had each made their points, I simply asked that it didn’t become character assassination of a third party nor a slanging match between the pair of them.

I’m not really sure what else you want me to say?

 

[Cricko]

Can the @Shrimperstrust at least give a hint as to how these talks went?

I think all chats between parties are on going mate, Nothing is set in concrete, Justin wants more partners to spread the risk and the talks go on...

If there was anything that would just give us more hope than what is out here already we would know.

SUFC is not just about the fans that attend games etc. The word spreads like wild fire and everbody who loves the club (apart from that **** Martin) Are doing all they can to save us.

 

[westie]

They had each made their points, I simply asked that it didn’t become character assassination of a third party nor a slanging match between the pair of them.

I’m not really sure what else you want me to say?

You directed your comments to one poster and I think you should have made it clear to the other poster as well, which you didn't. Hence my comment of double standards.

Nothing personal GBJ, you and the rest of the team do a great job keeping this site running.
Far more important issues ATM, happy to leave it there if that's ok with you.

 

[GBJ]

You directed your comments to one poster and I think you should have made it clear to the other poster as well, which you didn't. Hence my comment of double standards.

Nothing personal GBJ, you and the rest of the team do a great job keeping this site running.
Far more important issues ATM, happy to leave it there if that's ok with you.

TBF my original comment was a general request/statement directed to all posters, although I see that may not have been clear.

I chose that post to reply to, as it seemed the obvious point to try and draw a line. If it had received a further response, (before my reply), that would have then become the line.

Nothing personal against each of those involved, we just don’t need another thread being clogged up with back-and-forth bickering.

 

[SeldomSeenShrimper]

Best case scenario: Ron secures external funding to keep the club afloat for a bit longer (Still remains up for sale)

Worst case: ... We all know

I really really can't see the club being sold anytime soon, especially by the deadline we have in place. even if they agree on something today, it's going to be very touch and go to get all the relevant paperwork done in time.

Maybe the new investors will bridge the debt if they are determined to help?

 

[Westcliff DGS]

I think all chats between parties are on going mate, Nothing is set in concrete, Justin wants more partners to spread the risk and the talks go on...

If there was anything that would just give us more hope than what is out here already we would know.

SUFC is not just about the fans that attend games etc. The word spreads like wild fire and everbody who loves the club (apart from that **** Martin) Are doing all they can to save us.

The fact he still wants / is looking for partners to join the consortium suggests nothing is that close sadly. The problem with consortiums is everyone has to be happy with the DD results and if they do take over maybe they wont always get on and if you’re investing a significant amount you will want a say. getting the structure of the consortium correct is paramount, making sure everyone is happy with the potentials risks, what there money buys both input wise and asset wise etc.

So hopefully all these factors are sorted quickly and we can see the club sold prior to 4th October,

 

[Dutch Branch]

Best case scenario: Ron secures external funding to keep the club afloat for a bit longer (Still remains up for sale)

Worst case: ... We all know

I really really can't see the club being sold anytime soon, especially by the deadline we have in place. even if they agree on something today, it's going to be very touch and go to get all the relevant paperwork done in time.

Maybe the new investors will bridge the debt if they are determined to help?

A bridge is a fair assumption and very doable but that would mean the man providing some kind of security like a charge on his house / land etc and I really can’t see that happening. The man is a complete knob and probably prescribes to the old investment rules “Never use your own money”

 

[Smiffy]

For those asking regards the Trust and Rees meeting..

Shrimpers Trust confirm meeting with Southend United's prospective new owner

THE Shrimpers Trust have confirmed they have met with Southend United's prospective new owner Justin Rees.

www.echo-news.co.uk

 

[in the know]

No experience of business buy outs but clearly Ron can't be trusted to repay temporary loans.
Some form of pre completion loan might well be the way forward, but I don't know if you have exchange and completion in a way that house purchase does.

This type of paying of debt in advance of completion of purchase has been done at other clubs so it is possible but Ron wasn't in the mix.

From recent info, the Aussie can afford our monthly costs from just interest on his assets, but is keen to spread the liability risk on purchase monies. Which seems a sensible move and indicates good business sense in my mind.
He met the players pre match on Monday and came over very positively. Id like to have overheard discussions with tom while watching the game.

 

[Blue Yonder]

Whats in this for the Aussie ? whats the motivation ? Spreading the risk suggests he doesn't see the venture as a cash generator. Is he just a rich eccentric who gets a kick out of lower league football from the other side of the planet played in a vintage stadium or is there a property angle ?

 

[Evening Echo]

THE Shrimpers Trust have confirmed they have met with Southend United's prospective new owner Justin Rees.

Read more on this story


Help with Echo links

 

[kentblues]

The fact he still wants / is looking for partners to join the consortium suggests nothing is that close sadly. The problem with consortiums is everyone has to be happy with the DD results and if they do take over maybe they wont always get on and if you’re investing a significant amount you will want a say. getting the structure of the consortium correct is paramount, making sure everyone is happy with the potentials risks, what there money buys both input wise and asset wise etc.

So hopefully all these factors are sorted quickly and we can see the club sold prior to 4th October,

Quite. If it were just JR plus Kimura, and given the latter have already done all the DD (we are assured) you would imagine with an appropriate sense of urgency it wouldn’t be a problem. How many additional investors does it take to create a handbrake?

 

[overseas shrimper]

How many additional investors does it take to create a handbrake?

Half the number it takes to change a light bulb.