Idea: Buying a football (soccer) team

[Purple]

Who knows how this can be done. Discuss

[versas]

You mean a professional franchise?

[Purple]

Yes like Manchester United and Real Madrid

[chopper]

You can't just buy them, becuase they have issued shares. If you want to buy shares then hire a broker to go to the stock exchange for you.

[Young Spark]

Hmmmmmmmmmm, good questions... wouldn't you talk to the team manager? I'm just taking a guess, but you could talk to the team manager (like the person who is CEO of the team.) I honestly am not sure but that's what I'd say.

[MjMarti85]

Buying a sports team here in the US is complicated. You need to come up with a certain amount of Millions, as of now it could be billion + depending on the team. You need to have enough to support pay-roll and also monthly expendatures. Good Luck though, b/c it would be an awesome opportunity!

[syia]

why do you want to buy a sport team anyway?

[Young Spark]

I'd love to honestly make a basketball franchise for Baltimore... love it here. I've been used to Baltimore when I used to visit my brother in the Baltimore area when I was 13-14... since then he moved to South Carolina so yeah, I would like to start a basketball franchise (basically revive the old school... keep the same name and everything... Baltimore Bullets, etc.) Who knows if I ever did bring it back... Michael Jordan would be right back with Baltimore

[tbeer22]

you r trippin....

[Young Spark]

^^ About the Baltimore Bullets revival... nah ... about Michael Jordan... yeah, who am I kiddin'... IDK if Jordan still got it (then again, he owns two NBA teams... I don't think it'd be smart to let him play his own teams that he has some ownership in... I'd be kicking my own teeth down my throat.)

[akula]

Who knows how this can be done. Discuss

Good question

In the past 2 weeks the kaupthing bank has advised Mike Ashley on the purchase of Newcastle United

basically..these acquisitions are done with intermediaries

there's any number of ways to structure the transaction...

http://theaustralian.news.com.au/sto...rom=public_rss

[Young Spark]

^^ What's the most resourceful way of conducting the transaction cause honestly thinking about it, I am slightly interested in such a transaction now myself.

[akula]

^^ What's the most resourceful way of conducting the transaction cause honestly thinking about it, I am slightly interested in such a transaction now myself.

Well...the objective for the acquirer is to pay with the least WACC possible

For these reasons, the consideration offered will usually be financed with debt, although, today's record valuations make it attractive for companies to finance transactions with equity.

Overall, I'd suspect the owners of Newcastle are gonna get a mixture of cash, equity and options for their securities - plus a bunch of earn out provisions

The structure really just depends on the wacc, the acquirere's exit expectations and the degree of control the acquirer is looking to exert in the management of the business

[update] it looks like LSE's rules oblige Ashley's SJHL to pay cash for the remaining shares...but this cash may be financed in any number of ways, such as a rights issue

[crackah]

sure it can be, want to do it? good luck. http://en.wikipedia.org/wiki/Roman_Abramovich

got competition

[Purple]

some of you guys may not like the idea but just think about it, then it will grow on you.