bombaybadboy08 15,660 Posted December 20, 2012 Share Posted December 20, 2012 RANGERS were valued at £45million after being floated on the stock market yesterday.Shares began trading under the ticker “RFC” on the smaller Alternative Investment Market – part of the London Stock Exchange.They were offered at 70p, valuing the club at £45million, and opened up at 75p, fluctuating around the 72p to 77p mark throughout the day.Chief executive Charles Green and his consortium – who didn’t sell their shares but issued new ones – paid roughly £5.5million to buy Rangers in June. Their stake is now valued at £23million.As our special graphic shows, Yorkshireman Green is Rangers’ largest single shareholder.The fans/others own 12 per cent through the public offer, while the likes of Newcastle FC owener and Sports Direct tycoon Mike Ashley (4.6 per cent) and manager Ally McCoist (two per cent) have significant holdings.Green has a lock-in deal that prevents him selling his stake – worth around £3.5million – for at least two years.Last night, money experts were optimistic about the club’s flotationNeil Patey, a football finance specialist with accountancy giants Ernst and Young, said: “The share flotation means Rangers are worth £45million on paper at the point of flotation.“This is £23million owned by Green and the previously existing shareholders, with £17million pledged by financial institutions.“The remaining £5million or so came via the public offering, which, one could assume, was mainly from fans. On this basis, you could say that Green’s consortium’s initial investment of £5.5million is now worth £23million on paper at the point of float.“But to actually realise that value would mean selling the shares and, if you started selling a lot of shares, the share price will go down.“Of the existing Rangers company, Green owns approximately eight per cent, worth, on paper, around £3.5million. What we can say is that Rangers were worth £45million yesterday at the point of float. Thereafter, the share price will reflect the market demand.“I would say Green has done very well, having bought Rangers some six months ago for £5.5million and having now floated it with a market capitalisation of £45million.”Michael Jarman, chief equity strategist with H20 Markets in London, added: “First of all, this was an oversubscribed placing. They achieved £22million and this was more than initially forecast. And the owners of the club, Green and his associates, seem to have good corporate governance over it now.“I think the investors see potential. If you look at the likes of Mike Ashley, who is a shrewd businessman, you have to look at the fact that the club do offer value.“You are talking about 26 Rangers to buy one Manchester United.“Rangers are a club who offer a lot of growth, with the shares probably trading at a ‘discount’ as the club are not yet in the SPL.“They’ve got to have two or three seasons’ worth of growth. I think business people are looking at it and saying Ibrox Stadium itself must be worth maybe between £10million and £20million.“So a club valued at around £50million with no debt look like a good business to be investing in. They are a growth company. This is about growth and Rangers becoming a ‘recovery’ football club who will one day eventually play in the SPL again.”Green said the listing was an important step to ensuring the future of the club.He said: “We are delighted to see our plans for bringing Rangers back to its glory days coming to fruition – a key part of which is its listing on AIM today.“The response from investors and fans alike has been tremendous and we are very proud to have such loyal supporters.”http://www.dailyreco...ox-club-1498096 Quote Link to post Share on other sites More sharing options...
wearethemighty 186 Posted December 20, 2012 Share Posted December 20, 2012 3rd division club worth more than most of the top division combined Quote Link to post Share on other sites More sharing options...
bombaybadboy08 15,660 Posted December 20, 2012 Author Share Posted December 20, 2012 Just shows you what type of profit can be made if you just pay for the item you want rather than kicking tyres and mumbling excuses. Quote Link to post Share on other sites More sharing options...
Smile 26,624 Posted December 20, 2012 Share Posted December 20, 2012 Good post great wee read. Quote Link to post Share on other sites More sharing options...
BRITNEY IS NOT FEELING IT 8,293 Posted December 20, 2012 Share Posted December 20, 2012 Hope CG stays here for a long long time , he is doing a fantastic job for us ,long may it continue ( good read ) Quote Link to post Share on other sites More sharing options...
Kai_Johansen 978 Posted December 20, 2012 Share Posted December 20, 2012 There are some things money can't buy. Like a heart that beats true blue, 'priceless'. For everything else, there's money. Quote Link to post Share on other sites More sharing options...
SwallowsHisOwnSpunk 8,009 Posted December 20, 2012 Share Posted December 20, 2012 Here is some unbiased experts view on Rangers and where we standhttp://www.proactive...-ipo--1605.htmlskip to 8.30 Quote Link to post Share on other sites More sharing options...
Brian Fantana 28,894 Posted December 20, 2012 Share Posted December 20, 2012 if true and Green has a 15% stake in the club that'll be a 1.25 million profit on his investment.not bad for what has been an honest years work. Quote Link to post Share on other sites More sharing options...
El Carpintero 546 Posted December 20, 2012 Share Posted December 20, 2012 What a really nice guy. The tarriers will be gunning or him now. Quote Link to post Share on other sites More sharing options...
elephants stoned 2,994 Posted December 20, 2012 Share Posted December 20, 2012 Good to read positive financial news on Rangers, after the year from hell, it seems hell has lost some of its heat Quote Link to post Share on other sites More sharing options...
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