Cain Hoy say 'No'.

[davidmatzdorf]

This is, of course, rubbish. Enic are clearly struggling to fund the new stadium build, to get the CPO through or to attract the right sponsors, despite all of Levy's canny dealings. The club is of course worth more to Cain than to Enic since they have the firepower to fund the development of the stadium and hence grow the business. If Cain offer a sensible premium Enic will accept and walk away. Think about it in a VC framework, Enic has taken a mid-sized company and grown it, but they are unable to take it to a dominant position where it can list for a massive premium. Cain are the guys who can make it happen. In your terms, you speak about the value-add project that Enic are undertaking...clearly ENIC don't have the finance to pursue said project hence seeking outside monies. Cain have been approached and have thought "Hey, why should we provide the stadium money and let ENIC reap a the equity benefit in terms of value add to the business whilst we get loan-like returns on our money, why don't we just buy the equity, finance the the build and take all the equity upside". I'm not speaking from direct knowledge of the parties intentions, just thinking through the situation logically. The fact that a Bidco, Cain Hoy has been set up, means that this will be very far down the line by now.

I'm not seeing anything in your post that disagrees with what I wrote. Different tone, consistent conclusions. Read my posts again.

If ENIC get a silly-money offer, they'd be daft not to sell up. But they aren't looking for a sale, they're looking for stadium finance. They've said it repeatedly, because their business model is to add value before they sell and they haven't done that yet.

But there's no news here to merit the explosion of wild speculation on SC. There's even a post above that concludes (about the 10th time this cliché has been aired on the same topic) 'no smoke without fire', based on the amount of fuss being made here, on SC, which is pure internet solipsism. In reality, there is scarcely any smoke and no fire, just a load of people ramping up a furore based on other people ramping up a furore.

I'm getting quite a few responses from people who are half-reading what I've written and assuming that I'm saying that ENIC won't sell and shouldn't sell. I'm not saying that. I'm saying that there is no story here to merit the fuss and the hundreds of bold claims and fantasies from ignorant fans.

 

[LexingtonSpurs]

Were anything to come of this I just hope any new regime will fully understand the quality in our current group of young players and youth system, I love having this at the heart of the club.

It would be horrible if this group and future ones suddenly found their paths blocked by any statement signings or anything silly.

Most overrated aspect of the club is the Academy/youth system. Its nostalgic, but does not play a significant role in developing top-4 caliber players. Its too hard for a team to compete in the league, Europe, cups and find enough time to properly integrate youth players. Mid-table teams, with lower expectations, are better suited to building a lasting youth system.

 

[tottenmal]

An investment company commences trading on the same day that they are linked to buying a high profile football club which is gaining them significant headlines throughout numerous countries..... I'm sure it's just a coincidence

My thinking is pretty much in line with yours, only I have this voice in the back of my mind, and it can't help wonder that if this company really has just started up and are looking for some quick marketing.
Why would spurs admit to at least having been in conversation with them for some time, even if it is only about financing the stadium?

 

[cockeral]

An investment company commences trading on the same day that they are linked to buying a high profile football club which is gaining them significant headlines throughout numerous countries..... I'm sure it's just a coincidence

These guys don't need marketing. They are minority owned by one of the biggest and smartest investment companies in the US and the world. More likely started the investment company for the purpose of a transaction potentially. Although a long way to go

 

[LexingtonSpurs]

I'm not seeing anything in your post that disagrees with what I wrote. Different tone, consistent conclusions. Read my posts again.

If ENIC get a silly-money offer, they'd be daft not to sell up. But they aren't looking for a sale, they're looking for stadium finance. They've said it repeatedly, because their business model is to add value before they sell and they haven't done that yet.

But there's no news here to merit the explosion of wild speculation on SC. There's even a post above that concludes (about the 10th time this cliché has been aired on the same topic) 'no smoke without fire', based on the amount of fuss being made here, on SC, which is pure internet solipsism. In reality, there is scarcely any smoke and no fire, just a load of people ramping up a furore based on other people ramping up a furore.

I'm getting quite a few responses from people who are half-reading what I've written and assuming that I'm saying that ENIC won't sell and shouldn't sell. I'm not saying that. I'm saying that there is no story here to merit the fuss and the hundreds of bold claims and fantasies from ignorant fans.

There is smoke - the question is whether it is from a smoke screen or from a fire.

Cain Hoy has announced an interest in acquiring Spurs - the smoke. At this point, we don't know how real the interest, but we do know they have the financial wherewithal to complete the transaction. We know a related group recently bought an American baseball team, and also tried to buy an American basketball team - so buying sports franchises are within their investment scope.

ENIC is looking for a particular return - presumably based on the value add of the stadium - but if they can see a quicker return without incurring the risk that comes with stadium construction, and area development, they will take a look. Recently in America, sports franchises have been selling for much more than they are "valued" suggesting that investors are looking for this type of investment to hold (not necessarily to flip for a quick buck). PL is primed for an upswing in valuations - worldwide broadcast rights are likely to continue to rise significantly with the expansion into the American market. Of all the teams in the PL - Spurs are likely the most attractive, based on location, proximity to the top of the table, and future revenue bump with the new stadium.

A buyer does not need to completely pay off the returns to ENIC, just has to meet them in the middle, based on assuming the risks of construction. The time is ripe for a sale - which does not mean it will happen, but ENIC does not need to wait 3-4 years to realize a substantial profit on their investment.

 

[amathews3416]

It's not out of the realm of possibilities that Cain Hoy (being backed by Guggenheim) would pay over the odds for ownership. Their dealings when they bought the Los Angeles Dodgers in 2012 show they are willing to pay over the odds if they see opportunity for growth.

Major League Baseball put the Dodgers put for sale with a bidding process. The Guggenheim group won the bid at $2.15 billion. The next highest bid was a bit over $800 million. People mocked them here in the States as the Dodgers were no where near valued at that amount (Forbes valued at $1.4 billion). The reason they did it was the opportunity they saw with an expiring television deal in 2013. The deal was expected to bring in a little over $3 billion over it's lifetime, the new ownership group got $7 billion over 25 years.

I've linked a good article from ESPN in the States regarding their spending once they bought the Dodgers. Their payroll jumped from $90.75 million a year to $181 million in one year's time after they bought the team.

Here is a quote from the General Manager of the Dodgers (similar to Baldini's/Levy's role with Spurs) -
"Everything is totally different now," said general manager Ned Colletti, who was hired by McCourt, back in rosier times, in November 2005. "Now we can think bold thoughts. Now we can do bold things. We can think progressively and aggressively. Obviously, we've got to be wise with our choices. We can't be reckless. But now we're encouraged to think big, to think global -- if we see a toothpick, to think redwood tree.

"That's how [Guggenheim CEO] Mark Walter, Stan Kasten and Magic Johnson think. That's how they became successful in their lives. And that's how they've encouraged us to think. So it's totally different now than the first seven seasons I was here. Now we can have discussions on players we could never discuss before."http://espn.go.com/mlb/hotstove12/story/_/id/8605165/los-angeles-dodgers-spending-new-york-yankees

 

[arunspurs]

Two weeks away from world of internet, private investment firm is trying to make a cash offer for our club ?

 

[BehindEnemyLines]

My thinking is pretty much in line with yours, only I have this voice in the back of my mind, and it can't help wonder that if this company really has just started up and are looking for some quick marketing.
Why would spurs admit to at least having been in conversation with them for some time, even if it is only about financing the stadium?

It's called a special purpose vehicle (or SPV), and is quite normal for a corporation to create a separate legal entity for a single sole purpose (i.e. the purchase of a football club) as it means they are able to totally separate it and any liabilities that might arise from the rest of their operations.

 

[Francis Gibbs]

No, it's a damning indictment of clubs like Chelsea and City being bought by a criminal and some Arabs before FFP came in.

How many times does it have to be said that if it wasn't for those two receiving free power-ups, we'd have been a top 4 fixture for years along with United, Arsenal and Liverpool?

They won the lottery, and there's nothing we could've or can do about it.

Yep and if my Aunt had a dick ....

 

[THFCSPURS19]

http://www.telegraph.co.uk/sport/fo...-founded-group-weighing-up-bid-for-Spurs.html

New article from Telegraph saying that Todd Boehly is involved.

Interestingly, they reiterate that Guggenheim is not behind this interest.

Then who is? There must be a massive financial backer behind the scenes that we don't know about- at least that's what Lyall Thomas suggested.


Any ideas?

 

[Spurger King]

Any ideas?

 

[arunspurs]

Here's my view....

Is Tottenham a 1billion club ? No, not now. But potentially a better than 1 billion.
We got to to be the only PL club who have 0 debts, make reasonable profit with good position in league but vastly untapped potential.And have a great club structure to allow growth.

Our sponsor deals suck and is paltry compared to United and Liverpool.

If the interest is real I would think 800m should wrap this up. 400m for Joe , 400m for stadium and give a small percentage stock to ENIC and keep them on board.

 

[THFCSPURS19]

Here's my view....

Is Tottenham a 1billion club ? No, not now. But potentially a better than 1 billion.
We got to to be the only PL club who have 0 debts, make reasonable profit with good position in league but vastly untapped potential.And have a great club structure to allow growth.

Our sponsor deals suck and is paltry compared to United and Liverpool.

If the interest is real I would think 800m should wrap this up. 400m for Joe , 400m for stadium and give a small percentage stock to ENIC and keep them on board.

Remember, Levy also owns 29.4% of ENIC but they apparently only want to buy Lewis's part.


So I think Levy would stay.

I really have no idea.

 

[Bus-Conductor]

Do any of our financial whizzes think it's possible that ENIC may be looking to offload not all, but maybe a substantial share in order to help finance the Stadium development ?

 

[JerryGarcia]

Levy is going to buy the club from Lewis?

 

[THFCSPURS19]

Do any of our financial whizzes think it's possible that ENIC may be looking to offload not all, but maybe a substantial share in order to help finance the Stadium development ?

If it's true that they only want Lewis's share then I think that means that Levy/ENIC would still own a bit...



I'm not a financial whizz whatsoever so see what other people say

 

[DCSpurs]

For those concerned that the new owners would be tight fisted, the buyers of the Los Angeles Dodgers invested heavily in players. For comparison, they currently have 14 players making over £100,000 a week. 5 of those earn over £200,000 a week. 1 is over £300,000 a week.

 

[Mustard]

Sugar must be so hard now.

So fucking hard.

 

[Dirty Ewok]

An investment company commences trading on the same day that they are linked to buying a high profile football club which is gaining them significant headlines throughout numerous countries..... I'm sure it's just a coincidence

Thing is.....these guys don't need to advertise.

Guggenheim capital has 2,500 employees world wide and over £200 Billion in investment capital. Their chairman is Alan Schwartz was the CEO of Bear Stearns. Peter Comisar is the head of their west coast Investment banking, he had been a partner at Goldman Sachs. They founded a branch to deal with ecomm/internet investment and hired Ross Levinsohn to run it, he had been CEO of Yahoo. When Verizon was buying out Vodaphone's stake in Verizon Wireless (a £100 Billion merger) it was Guggenheim that was named the advisory group.

You are talking about a group that announced 3 names....Todd Boehly who is the current President of Guggenheim, Henry Silverman who is one of the chairmen of Guggenheim (and had been a director at Apollo Global Management a firm that has £140 Billion in investment capital in its own right) and Jonathon Goldstein who had led the European Investments for Guggenheim.

IF Cain Hoy was looking to advertise simply announcing that Boehly and Silverman were breaking off to form their own group would be more than enough to attract the type of clients they would want. No media stunt needed....just a simple press release, they would have people kicking down their door to work with them.

As it stands it doesn't look like Boehly, Silverman or Goldstein would be leaving their current posts with Guggenheim. Their press release to the market yesterday stated that Guggenheim Capital supported the group and had made investment in them.

The fact that these guys have announced that they intend to bid on Spurs means exactly that, they are intent on bidding for Spurs. Cain Hoy was created to do just that and nothing else.

 

[THFCSPURS19]

Thing is.....these guys don't need to advertise.

Guggenheim capital has 2,500 employees world wide and over £200 Billion in investment capital. Their chairman is Alan Schwartz was the CEO of Bear Stearns. Peter Comisar is the head of their west coast Investment banking, he had been a partner at Goldman Sachs. They founded a branch to deal with ecomm/internet investment and hired Ross Levinsohn to run it, he had been CEO of Yahoo. When Verizon was buying out Vodaphone's stake in Verizon Wireless (a £100 Billion merger) it was Guggenheim that was named the advisory group.

You are talking about a group that announced 3 names....Todd Boehly who is the current President of Guggenheim, Henry Silverman who is one of the chairmen of Guggenheim (and had been a director at Apollo Global Management a firm that has £140 Billion in investment capital in its own right) and Jonathon Goldstein who had led the European Investments for Guggenheim.

IF Cain Hoy was looking to advertise simply announcing that Boehly and Silverman were breaking off to form their own group would be more than enough to attract the type of clients they would want. No media stunt needed....just a simple press release, they would have people kicking down their door to work with them.

As it stands it doesn't look like Boehly, Silverman or Goldstein would be leaving their current posts with Guggenheim. Their press release to the market yesterday stated that Guggenheim Capital supported the group and had made investment in them.

The fact that these guys have announced that they intend to bid on Spurs means exactly that, they are intent on bidding for Spurs. Cain Hoy was created to do just that and nothing else.

Yet the Telegraph (who broke the story) say that Guggenheim aren't behind it.