According to the daily mirror...

Cardiff city is up for sale for £40,000,000 pounds any truth in this tabloid rumour?

Cardiff city is up for sale for £40,000,000 pounds any truth in this tabloid rumour?

does that include our team as well,

Cardiff city is up for sale for £40,000,000 pounds any truth in this tabloid rumour?

does that include our team as well,

and the debt ?

I can't see how the club would be valued at £40m.

At the moment it's a liability - I do think that without player sales or investment it'll go bankrupt.

So in that respect I think that the £40m figure (for a company that's making quite a big loss at the moment) is a joke of a valuation.

and our gas bill for our central heating in the grass

I can't see how the club would be valued at £40m.

At the moment it's a liability - I do think that without player sales or investment it'll go bankrupt.

So in that respect I think that the £40m figure (for a company that's making quite a big loss at the moment) is a joke of a valuation.

From what I've read elsewhere it was valued at £23m ish to pay off outstanding debts and then valued the remaining shares at £17m or thereabouts

What value would you put on it?

but you look at our assets players, stadium, position in league, looks a good buy for 40 million, not many in wales can afford it, but its pocket money for a lot of investors

Cardiff city is up for sale for £40,000,000 pounds any truth in this tabloid rumour?

does that include our team as well,

and the debt ?

Its just press bull but what there saying is debt included..........

If someone did a Glazier and took out a £40m loan secured against the club to buy the club and then had say £10m to invest in players and running costs will we be in a good position or not? Surely we will still need premiership promotion asap to make the interest payments on the loan.

Last edited by bspark on Sun Jan 10, 2010 12:45 pm, edited 1 time in total.

also take on accout of a 13-15 million turnover not a bad investment but there would have to be a clear out of top management, and guess what wher would i start???

whats a 40 million pound mortgage cost and would i need a deposit

but you look at our assets players, stadium, position in league, looks a good buy for 40 million, not many in wales can afford it, but its pocket money for a lot of investors

Couldnt agree more baz..........................Lets hope some1 with fire and passion comes in not these "were getting paid so f**k it types!"


Annis any chance you could use your connections and organise a consortium?

I can't see how the club would be valued at £40m.

At the moment it's a liability - I do think that without player sales or investment it'll go bankrupt.

So in that respect I think that the £40m figure (for a company that's making quite a big loss at the moment) is a joke of a valuation.

From what I've read elsewhere it was valued at £23m ish to pay off outstanding debts and then valued the remaining shares at £17m or thereabouts

What value would you put on it?

I can sort of understand that, however I don't really think that valuations work that way. I mean, when Woolworths went bankrupt they offered it up for sale for £1 (yep, as in 100 pennies) since - even though it had a massive turnover - it was so heavily in debt that it was a risky investment. Plus no-one bought it at £1, either

At the moment Cardiff City FC makes a big loss, and is heavily in debt.

Hence I can't believe that the valuation would include the debt figure. If anything the massive debt should lower the valuation.

As I say, I'm not a certified accountant or anything (I did get an A at A-level accountancy though ), however I'm also not under the impression that companies are valued at the sum of share capital + outstanding long term debts.

So I don't know what I'd value the club at, however this is my take on it:

* The club (now?) has a turnover of £15m

* The club - 'by default' - makes around a £5m loss per annum (33% of its turnover)

* The club has a gearing ratio (c.f. its turnover) of 153% - far from healthy

All in all the figures don't look good, hence I can't possibly imagine someone stumping up almost 300% of the turnover on this loss-making and heavily-in-debt company.

Hope I'm wrong though

Last edited by BluebirdsFan101 on Sun Jan 10, 2010 12:54 pm, edited 1 time in total.

Somebody win the euro millions this week....Game on!

£40m for a club on the verge of the Premiership, and with a stadium 'worth' £60m?

Ok, so we have debts, but it still looks like £40m is a bit of a bargain.

I don't think football clubs can be valued like any other company either due to the fact they are completely different.

As was mentioned above getting to the premiership would be a huge pay day and could transform the fortunes of a club.

The stadium is an asset, although not a very liquid one at that - I'm not sure how we could sell it!

The players also make up a large proportion of the companies assets, and if we are to believe Ridsdale ( ok maybe not ) the playing squad is valued at something like £33m from what someone has posted.

I don't think football clubs can be valued like any other company either due to the fact they are completely different.

As was mentioned above getting to the premiership would be a huge pay day and could transform the fortunes of a club.

The stadium is an asset, although not a very liquid one at that - I'm not sure how we could sell it!

The players also make up a large proportion of the companies assets, and if we are to believe Ridsdale ( ok maybe not ) the playing squad is valued at something like £33m from what someone has posted.

That is all true, I know where you are coming from.

Yes, you are right (especially about the stadium being an asset but kind of a 'pointless' one in that no-one would really want to buy it) - I guess it just depends on how risk-adverse the investor is.

At the moment it would be a very risky investment, although as you say there would be a massive pay-off.

Is the value of the club equal to the number of shares multiplied by the price per share ? Or doesn't that come into it ?

Is the value of the club equal to the number of shares multiplied by the price per share ? Or doesn't that come into it ?

Yes it is, but of course you needed a 'buyer' at the quoted price. In other words the shares are worth only what someone else is prepared to pay.

Is the value of the club equal to the number of shares multiplied by the price per share ? Or doesn't that come into it ?

Yes it is, but of course you needed a 'buyer' at the quoted price. In other words the shares are worth only what someone else is prepared to pay.

Therefore , are the prices qouted above just speculation ? If we are losing money then the shares can't be worth much ?

Therefore , are the prices qouted above just speculation ? If we are losing money then the shares can't be worth much ?

Yep, it's just speculation/discussion really.

As the old saying goes, a company is only worth what someone is willing to pay for it.

The article suggests someone might want to pay £40m for Cardiff City FC. I think the club is worth lower.

But at the end of the day if someone randomly comes in and offers (say) £100m (we can only hope ) then that's what it's worth.

Therefore , are the prices qouted above just speculation ? If we are losing money then the shares can't be worth much ?

Yep, it's just speculation/discussion really.

As the old saying goes, a company is only worth what someone is willing to pay for it.

The article suggests someone might want to pay £40m for Cardiff City FC. I think the club is worth lower.

But at the end of the day if someone randomly comes in and offers (say) £100m (we can only hope ) then that's what it's worth.

But if someone offered 100 million then the shareholders would benefit , not the club ? And , if that's correct (?) , then we'd be better off if they only had to pay 10 mill , so they'd have more money left for the club ........ would they then inherit the 83 k a month to langstone etc ?

Therefore , are the prices qouted above just speculation ? If we are losing money then the shares can't be worth much ?

Yep, it's just speculation/discussion really.

As the old saying goes, a company is only worth what someone is willing to pay for it.

The article suggests someone might want to pay £40m for Cardiff City FC. I think the club is worth lower.

But at the end of the day if someone randomly comes in and offers (say) £100m (we can only hope ) then that's what it's worth.

But if someone offered 100 million then the shareholders would benefit , not the club ? And , if that's correct (?) , then we'd be better off if they only had to pay 10 mill , so they'd have more money left for the club ........ would they then inherit the 83 k a month to langstone etc ?

I was about to say that, it doesn't really matter what they someone offers as it's normally just to buy shares from the existing shareholders. If someone was to offer £100m it would just mean Ridders / PMG etc leaving with a huge profit

It would be great if someone could buy the club for £10m, pay off the debts say £25m and then spend some more on players etc but with the current board I'd imagine they'd rather hold out for more so their 12p shares can be sold for around 4x that

Therefore , are the prices qouted above just speculation ? If we are losing money then the shares can't be worth much ?

Yep, it's just speculation/discussion really.

As the old saying goes, a company is only worth what someone is willing to pay for it.

The article suggests someone might want to pay £40m for Cardiff City FC. I think the club is worth lower.

But at the end of the day if someone randomly comes in and offers (say) £100m (we can only hope ) then that's what it's worth.

But if someone offered 100 million then the shareholders would benefit , not the club ? And , if that's correct (?) , then we'd be better off if they only had to pay 10 mill , so they'd have more money left for the club ........ would they then inherit the 83 k a month to langstone etc ?

Yep that's true; sorry didn't mean to confuse anything. Was just saying re: "a company is only worth what someone offers for it", etc.

As you say, yes it'd be much better for the fans if the new owners bought the club as cheaply as possible, leaving as much cash as possible for what's important (i.e. the club and not the rich shareholders)

As for the £83k/month to Langstone - as far as I'm aware that's an agreement the club (hence company) has with another company.

So if Ridsdale and his 'chums' left and someone new came in, the new owner - as chairman - would still have to honour the agreement.

If, however, they paid off Langstone, then the £83k/month payments wouldn't be applicable any longer since the debt would be paid off (hence the agreement wouldn't apply). I guess!

So any new buyer of the shares (at whatever price) inherits the debts ......... that is understandable , but it brings down the share price surely ? And a debt to the taxman has to be paid , whether or not someone buys the shares , so we have to sort that but any debt incurred doing it will devalue the shares even more ? (Even if it's taking next season's income?)