CONFRIMED: Latest rumours Confrimed as Unconfrimed

[morganb]

Reading FC takeover being brought to High Court to try and force Dai Yongge sale

Prospective buyer Rob Couhig is ‘baffled’ at how a deal has not yet gone through and will use the courts to try and force the unpopular Yongge into selling the club
...
Sources state Couhig is pressing ahead with a claim in the High Court, to attempt to force through the sale at the previously agreed terms.
...

https://www.independent.co.uk/sport/foo ... 54580.html

[Uke]

Re: Couhig. Obviously none of us know what was really going on with him. But he clearly wasn't a 'chancer' or some joker looking to use this to increase his publicity. He put £5m into the club, was working from Bearwood and was taking key decisions. He's still got the picture from outside the training ground as his profile pic. He clearly thought that the deal was going to go through. Maybe he misjudged the situation and thought he could get away with a low-ball offer, that's business at the end of the day and if he thinks he can't buy the club at a price he can make a profit from in the future then can we really blame him? Ultimately the only way he could make money would be leaving us in a better situation than he found us.

I suggested in an earlier post that maybe Dai has found a new revenue source and decided to hang on to the club for a better price in the future. That didn't go down too well here. But I did say that an indication of this would be if he paid off his EFL fines. . . . .

I think that Dai pulled as the paperwork would have been drawn up over months. He would have been well aware of payment schedules and conditions.

I would suggest waiting a few months (January?) and then “miraculously” Couhig and Dai will have resolved their differences and the same deal is back on again…

Still think this is the most likely outcome...

The "other consortium" if they exist will need to sign quick and that doesn't happen with any Chinese companies I've worked with...

This is Dai's shit negotiation skills up against Couhig's hardball

[Sutekh]

Really hope something gives before the new year. Anything’s better than the current limbo under the current (insert word of your choice).

[Clyde1998]

Going to the High Court will almost certainly bring out a lot more things we weren't aware of.

A lot of the things covered by the NDAs may become public. I don't know whether that will help with the sale going forward or not.

[Crusader Royal]

Going to the High Court will almost certainly bring out a lot more things we weren't aware of.

A lot of the things covered by the NDAs may become public. I don't know whether that will help with the sale going forward or not.

I would suggest it will probably scare off any other potential bidders, and as a lawyer Couhig wouldn’t be wasting time and money (given it’s his own not a client’s) without having a fairly high level of confidence that he will succeed. What success looks like in his eyes might be interesting - is he looking to recoup costs or actually force the sale through ? Will he seek an injunction preventing Dai flogging off assets ?
K

[Snowflake Royal]

Going to the High Court will almost certainly bring out a lot more things we weren't aware of.

A lot of the things covered by the NDAs may become public. I don't know whether that will help with the sale going forward or not.

I would suggest it will probably scare off any other potential bidders, and as a lawyer Couhig wouldn’t be wasting time and money (given it’s his own not a client’s) without having a fairly high level of confidence that he will succeed. What success looks like in his eyes might be interesting - is he looking to recoup costs or actually force the sale through ? Will he seek an injunction preventing Dai flogging off assets ?
K

Given his £5m loan got paid back promptly, I expect its a suit to help force a settlement of his costs being refunded.

I'd seriously question whether the club can survive as long as this would take to go through the High Court and result in a forced sale to Couhig, without a takeover.

Whilst I'd love Couhig to succeed and end up in charge, this feels like bad news for us, as it's got to put off a sale to anyone else, and who is going to put money in for the meantime with it hanging over the club.

[Mr Sitter]

On that subject, is it Friday that the wages are due and when would payment to HMRC become overdue if not paid ?

[Clyde1998]

On that subject, is it Friday that the wages are due and when would payment to HMRC become overdue if not paid ?

According to the government website: "22nd of the next tax month, assuming the players are paid monthly". I take that to mean if the players are paid on Friday, we'd have until the 22nd December to pay HMRC.

[Mid Sussex Royal]

On that subject, is it Friday that the wages are due and when would payment to HMRC become overdue if not paid ?

According to the government website: "22nd of the next tax month, assuming the players are paid monthly". I take that to mean if the players are paid on Friday, we'd have until the 22nd December to pay HMRC.

Yep so we can probably assume the November HMRC payment, due last Friday, was paid as we'd be on the EFL embargo list otherwise.

We were le to believe, by Howe I think, that we had enough money from Olise, or wherever, until mid November so the real acid test of where things are will be the wages payment on Friday.

[Clyde1998]

On that subject, is it Friday that the wages are due and when would payment to HMRC become overdue if not paid ?

According to the government website: "22nd of the next tax month, assuming the players are paid monthly". I take that to mean if the players are paid on Friday, we'd have until the 22nd December to pay HMRC.

Yep so we can probably assume the November HMRC payment, due last Friday, was paid as we'd be on the EFL embargo list otherwise.

We were le to believe, by Howe I think, that we had enough money from Olise, or wherever, until mid November so the real acid test of where things are will be the wages payment on Friday.

I believe Howe's statement was based on there being no outside funding of the club.

Given the club are under exclusivity with another buyer, it's possible there's no current monetary issues - although that exclusivity falling through could quite quickly cause problems.

[WestYorksRoyal]

One thing to note is that the Club haven't even tried to tell their side of the story and counter Couhig's narrative. I know they don't communicate much, but often they say something when pushed.

[traff]

Hope I am wrong but really can't envisage any outcome other than administration.

[WestYorksRoyal]

Hope I am wrong but really can't envisage any outcome other than administration.

It does seem to be the case. From statements and reputable reports we know:

- Dai's business in China is collapsing, he owes shit loads of money and is basically under house arrest. This isn't hearsay; the Chronicle are reporting it.

- Couhig has the liens over the SCL and Bearwood and can block any sale unless he releases them. Presumably he would do say if he's paid for all the legal fees he sunk into the deal.

- An unknown buyer has exclusivity.

- The club claims funding is in place.

- No payments have been missed yet. The team had a hotel in Barnsley.

It doesn't look like we're going to run out of money this week; let's see on Friday. But it seems like the fundamentals don't lend themself to a deal being completed. Dai's financial mess at home and Couhig's liens seem to be intractable problems.

[Mid Sussex Royal]

My guess is Pang has to sign off any club comms on the transaction and we know he views this as a pure business transaction and has no interest in the fans or staff whatsoever.

[Sutekh]

Perhaps time to dust off the old football chant - “get the *** out for the lads” - at future games.

[Clyde1998]

https://www.readingfc.co.uk/news/2024/n ... club-sale/

Reading Football Club would like to provide an update following the club's last formal communication on 7th October 2024.

In the previous statement it was confirmed negotiations had begun with a party looking to purchase the club, this process remains ongoing. The transaction has proved to be a complicated and lengthy process, however despite these obstacles, both the selling and buying parties remain committed to complete at the earliest opportunity.

While discussions remain ongoing, the day-to-day operations remain in place with the club navigating cashflow challenges to meet its obligations. Full focus will remain on operating as prudently as possible until the sale is completed to new investors who can take the club forward.

The club understands our supporters' eagerness for a resolution to the ongoing sales process. We are committed to providing updates when substantive information is available, or at least monthly until the sales process is complete.

[Clyde1998]

“[T]he club navigating cashflow challenges to meet its obligations” is concerning and suggests the prospective buyer isn’t providing any funds at this stage, like Couhig was.

[Mid Sussex Royal]

“[T]he club navigating cashflow challenges to meet its obligations” is concerning and suggests the prospective buyer isn’t providing any funds at this stage, like Couhig was.

That's how I read it too. No mention of exclusivity either.

Very likely a fire sale in January...luckily we're way better off points wise this time.

[Sutekh]

“[T]he club navigating cashflow challenges to meet its obligations” is concerning and suggests the prospective buyer isn’t providing any funds at this stage, like Couhig was.

That's how I read it too. No mention of exclusivity either.

Very likely a fire sale in January...luckily we're way better off points wise this time.

Yep, Bindon and Garcia will definitely be gone by end of January.

[Snowflake Royal]

According to the government website: "22nd of the next tax month, assuming the players are paid monthly". I take that to mean if the players are paid on Friday, we'd have until the 22nd December to pay HMRC.

Yep so we can probably assume the November HMRC payment, due last Friday, was paid as we'd be on the EFL embargo list otherwise.

We were le to believe, by Howe I think, that we had enough money from Olise, or wherever, until mid November so the real acid test of where things are will be the wages payment on Friday.

I believe Howe's statement was based on there being no outside funding of the club.

Given the club are under exclusivity with another buyer, it's possible there's no current monetary issues - although that exclusivity falling through could quite quickly cause problems.

Are they really though?