Blues sceptical over Ray offer

Chris Bailey

April 25, 2007

BIG STAKE: City chairman John Wardle

CITY'S takeover saga took a new twist today with the Blues blasting back at Ray Ranson's 'indicative offer' as they unveiled one of the 'mystery' Americans.

In a statement to the Stock Exchange this morning, City confirmed that they have received two offers from Ranson, though they say neither is for £90m.

Ex-player Ranson, meanwhile, has made it clear that the Blues can expect a fresh proposal in the next few days as the race to own the club hots up.

He may face competition from Jerome Simon, a USA financier who is looking to get into the English game and has previously been linked with Millwall.

Although he has been reported to have made a visit to the Carrington training ground, 47-year-old Simon - whose company is Lonestar Partners - is still not considered a front runner by the Blues.

They are sceptical, too, about Ranson, and have clearly been irritated that his `indicative offer' became public knowledge after a period of time without contact.

"The board can confirm it received, and responded promptly to, a highly conditional indicative proposal from Ray Ranson and his advisers on March 12, 2007," read their statement.

"For the avoidance of doubt, since March 12, 2007, contrary to media speculation, neither the purported '£90m bid', nor further proposals of any sort, have been received by the company or its advisers from Ray Ranson."

Meanwhile, Ranson's own statement released to the Stock Exchange last night hinted strongly that he was about to launch another offer.

"Ray Ranson can confirm that he is interested in buying the club and has, over the past couple of months, made indicative proposals to the club concerning a possible offer," it said.

Further proposal

"He is yet to receive a positive response and is currently considering making a further proposal to the board.

"Ray recognises that the club is heavily indebted and his business plan is not based on increasing that."

The former Blues apprentice and first-team star says he has confirmed the identity of his major backer to the City board and insists the money will be on the table.

Given their present financial position, and chairman John Wardle's willingness to sell the 29 cent cent stake in the club he owns with former business partner David Makin, it would seem odd to fans that any Ranson bid would be dismissed out of hand.

However, the club have their concerns.

"Ray Ranson's indicative proposals to date have contained a number of material conditions that the board do not believe can be fulfilled," continued City's statement.

It has been suggested Ranson's offer includes the repayment of £20m in loans owed to Wardle and Makin, plus a summer transfer kitty of £20m.

Former Thailand Prime Minister Thaksin Shinawatra is believed to be among those also mulling over an offer for the club.

What do you think? Have your say.

Articles

Ranson makes debt pledge

| Submit Comments | Comments (66) |

Showing comments 1 to 25 and replies | View All

Bertie Blue Nose, Eastlands, Stockport (25/04/2007 at 10:13)

Mr Wardle: Tell us - or at least those of us who are shareholders - more, please!

dpkmanc, Levenshulme (25/04/2007 at 10:16)

so the american offer is thought to be concerned solely with the chairman's shares, and that's in the best interests of the club, is it?

SB23, Wilmslow (25/04/2007 at 10:35)

Strange how we know some of the possible investors - but the mystery american consortium remain that.

proudtobeblue (25/04/2007 at 10:42)

It seems to me there are statements and counter-statements galore coming from both sides here, who is to be believed? It would seem from what has been reported that Wardle favours the American bid as it would leave him as Chairman, and if that is the case then that is for all the wrong reasons. No doubt more information will be forthcoming over the next few weeks, and hopefully the correct conclusion to the saga will prevail.

Shaun, At My Desk (25/04/2007 at 10:43)

I'd like to know why Wardle
apparently thinks that the US
bid for the club is better.
They have offered to buy out
Makin and himself which is not the complete takeover I'd like to see,just 29 per cent. They want to keep the same management structure in place, the
same management that has been instrumental in getting this club into the financial mess that now deperately needs sorting out.
We need a root and branch clear out to move the club forward. Is this as I suspect,
personal interests taking precedence over the best interests of the club?

ablueneville, Somewhere in yorkshire (25/04/2007 at 10:56)

The American consortium "would leave the current management structure in place". Is this the management structure that has brought one of the best supported clubs in Britain to its financial knees? Is this the management structure that prompted Joey Barton to say there was no plan with the transfer policy being like throwing darts? I don't know whether Ranson has or hasn't the financial clout to completely take over the club but I do know that something at the club needs a complete overhaul. If we are only going to see more of the same but with a little bit more money then we may as well stay as we are.

Blue John, London (25/04/2007 at 11:06)

My big concern are the words 'deal that would allow the current management structure to remain in place', which is associated with the American consortium. Presumably, this means JW gets his money back, but also gets to remain in place, if not as Chairman, then on the Board, and given that it was his massive mismanagement of our finances (I refer as ever to 30m worth of trading losses accrued over the last 3 years), I find that a bit rich to say the least. We have been told all along that Wardle is looking for the best deal for City. This makes me suspicious that John Wardle is looking for the best deal for John Wardle. Surely a complete buy out, putting an end to the factionalistion of the City Board, constitutes a better deal for City doesn't it? Mind you, Villa dismissed Ranson out of hand as well didn't they? What's going on? Can any of the usual City finance whizzkids on these pages assist, as I am a bit of a thicky when it comes to accounts

Buzz Lightyear, Anglesey (25/04/2007 at 11:14)

You all know the saying 'the Russians are coming'. Well where are the chuffin Russians?

julio JORDio, wOnDeRLaNd (25/04/2007 at 11:35)

what is it with our club? nothing ever runs smoothly.

Bluetooth, Manchester (25/04/2007 at 11:42)

Looks like neither side is telling the whole truth here. Nice of Mr Wardle to finally give one of the mystery men a name though, after all these months.

Darren Newton, Manchester (25/04/2007 at 11:44)

This is going to get messy. What I think every City fan wants is to get it sorted one way or the other as soon as possible. We need to know what we can or can't have during the summer. What we don't want is this rumbling on. The longer this goes on the bigger the effect on the club.

Edski Vega, Nottingham (25/04/2007 at 11:50)

Whoever comes in needs to be willing to spend upto Â£50m on transfers. The club has dropped way behind most other premiership teams in terms of squad investment and this needs to change. You should not buy MCFC just to own a great brand you should own it with the intention of making it a top 3 premiership side. You are buying a club and 1,000,000s of loyal customers who expect better than the rubbish that has been dished out over the years!

StretfordBLUE, Virginia (25/04/2007 at 11:58)

The mystery bidder, Jerome Simon deals in "hedge funds" which are big business in America. At the moment, many hedge funds dealers make 1 Billion dollars per year. If this bloke is in that range of income, then this could be good for City.

Bluetooth, Manchester (25/04/2007 at 11:58)

Just been doing some research on Lonestar holdings. They are a hedge fund, who basically take other companies money and invest it in areas that company isn't involved in. The idea is that if one area of the stock market falls, e.g. telecoms, that company will have assets elsewhere that aren't hit.

They aren't short of brass with over 1 billion dollars to play with and typically look for undervalued companies, often with debts. However they rarely invest for the long term. They look to invest and then sell on within 2 years or so.

mcfcbluearmy, manchester (25/04/2007 at 12:04)

i think they should wait 1 more week and let the Billionaires fight over us then make a Decision hopefully it will be in the 100 milion mark.cm on u blues

Mr Cynical (25/04/2007 at 12:17)

well done City, constructive and forward thinking as ever. Ficticious bids all over the place and one of the few to appear to have any substance behind it they publicly trash the individuals putting it forward, notwithstanding the fact they've spent the last 12 months trying to get someone to buy the club in the first place. And well done Mr Mackintosh on your Â£300k a year package - three bids rumoured to be on our way and none of them solicited by you on your chinese and russian expeditions.....Shambles - Wardle OUT.

Bluer than Ever, Northwich (25/04/2007 at 12:30)

Looking more and more like the'City side show'. Thank God its come at the back end of the season otherwise it could have been catastrophic. Any REALISTIC takeover will be believed when signed and sealed otherwise its business as usual.

Pravda (25/04/2007 at 12:32)

Nice to see what we all knew. They don't want their cosy world breaking up. Nothing is in the interest of the club, it's all geared for them!

Mike (25/04/2007 at 12:32)

I find it impossible to give informed opinion on this article as it is sheer speculation. However, one thing is for sure, if we are going to compete for Europe, we need £50m just for players.

SB23, Wilmslow (25/04/2007 at 12:34)

Sounds like the 'worst' of both worlds. I am suspicious of the american takeover amd leaving the existing management structure in place, but I am also concerned with Ranson. I think Ranson wants the club on the cheap (FHL all over again) - and this all seems to be getting a little hostile.. I think there a few twists and turns yet in this story - but don't be surprised if the 'russians are coming'!!

PhilB65, Sheffield (25/04/2007 at 12:50)

I would not expect Ransons proposals to the board to be made public. I would, though, expect that he is serious in his plans and that he will go back to the club for more talks. Though naturally guarded about anyone coming in, Ranson certainly sounds impressive to me.

anthony (25/04/2007 at 12:52)

i don't know john wardle but i for one trust him to do the very best for city.

Phil Geertsma, Sacramento, CA (25/04/2007 at 12:57)

I've said it over and over
and over again on these
pages: Wardle is attempting
to sell out the interests
of the club in exchange for
a chance to remain in a
decision-making role. The
only stake Wardle should be
allowed to keep is the silver
one that should be driven
through his heart...!

Jesper, Copenhagen (25/04/2007 at 13:01)

Mr Cynical, spot on, with this kind of hesitance and scepticism how will they ever offload the club to a new investor. At least RR has ambition and a plan for the club, ie a fixed amount of transfer funds and a pledge to develop our youth system. We dont know what the Americans might have up their sleeves but right now it seems the only thing they have is money to spend.

South Stand, Eastlands (25/04/2007 at 13:03)

Great. As I believe someone wrote on here yesterday, this looks like it'll rumble on till August 31....

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