Cain Hoy say 'No'.

[spursfan77]

I will say this - Spurs, from an acquisition standpoint, are likely the most attractive property in the PL.

And, assuming that a purchaser pays a premium of the club, that is generally a good thing for the welfare of the club itself. First, and foremost, this is a financial transaction, where the investors are looking for a substantial return on their investment. They will be looking to see how they can make money, short and long-term. On the football side, there are three primary revenue drivers (and perhaps a 4th minor driver): Broadcast revenue, match day revenue, CL/Europa revenue, and merchandising revenue.

Now, I think broadcast revenue is going to see another spike here shortly - growth in the US seems inevitable, and I expect significant competition when the NBC TV contract is up - from at least ESPN and FOX, in addition to NBC wanting to keep the property. Despite the games being on early in mornings, ratings are very good, and NBC shows every game - so there is interest, and it seems to be climbing.

Match day revenue - obviously tied to the new stadium, but also to the London location. On a plus note, I think their revenue forecasts will include a ticket price increase, paid in part by luxury boxes, but also premium seats - and to justify a price increase, there will be an expectation of top-4 caliber team, and champions league football. People who buy luxury boxes and premium seats want to be associated with a winner - so I do think every effort will be made to push the club in this direction.

Going with that, I think new owners will expect CL, and the attendant bump in revenue. Also, while the London location is key for these buyers - they are not interested in taking clients to 2nd-rate cities, I think they would really like to entertain clients in cities like Paris, Munich, Madrid, etc. i.e. CL

Merchandising revenue - we have seen reports that Cain Hoy may have been speaking with Levy for months, and Levy, being astute may well have been aware of interest in an acquisition. Certainly, over the past several months, the team has taken steps to grow the brand - notably with AIA in asia, and the recent US pre-season tour. And, as these things come to light, I don't think it was a coincidence that we signed Yedlin, even though he was not ready to come over here - Yedlin has a definite chance to be the next marquee player for the US National Team. If that happens, and he is playing for Spurs, Spurs will spike in popularity in the US - where merchandise sales can be a real boon.

Up to this point everything looks good, from the club's perspective - the biggest bump in revenue will come if/when Spurs are consistent top-4 contenders, and that means spending some money wisely to upgrade the roster, to make that happen. Even under FFP, owners are allowed to provide an influx of cash up to a point - I expect we will see a small splash of cash early, and then more later, as we build revenue.

The one caveat to all of this is the real estate development. At their heart, that looks like the strength of this particular group. SO, they may be eyeing this transaction as less about the club, and more about the real estate development opportunities in the surrounding area. If that is the case - they see the club as ancillary to the profits around the real estate, they may be less willing to invest heavily in the club, willing to let it continue along the same path - top-6/7 - enough to fill a 55,000 all-seater, and draw people into the re-developed area, but not willing to make the next investment necessary to push it into the same level as Chelsea, Arsenal, ManUtd, Man City, Liverpool.

From a property standpoint I wonder if Cain Hoy are looking to invest in the stadium development for a cut of future income going forward.

Originally when interest broke last week it was thought that it was all to do with stadium funding by some people. I still think it might be. Maybe they've made an offer for some of enic's shares and this is where the story has come from?

 

[Bobbins]

WTF!!!!! So as a Spurs fans, who has not become frustrated with the points they made. Surely no-one. The article hits the nail on the fucking head. Its the truth. its what many of us feel. Its not just a throw away line its actually the feeling you would get actually talking to fans at WHL every other weekend.

No, it's how YOU feel. Maybe it's also how your mates feel, or how some of the fans who sit near you feel.

But that doesn't make it 'the truth' and it doesn't mean the majority of fans feel that way.

Is it really so hard to believe that a very large number of Spurs fans don't agree with you? Surely the reaction you see on SC is a pretty obvious indicator?

 

[Lo Amo Speroni]

Actually this is so refreshing. The last paragraph actually sums up the state of play perfectly. A takeover bid would be
"WELCOMED BY A LARGE NUMBER OF TOTTENHAM FANS, WHO HAVE GROWN FRUSTRATED WITH LEVY`S FOOTBALL DECISIONS AND NEGOTIATIONS, AND DELAYS TO THE NEW STADIUM" Allej-fucking-luhla. The words NAIL and HEAD most definately spring to mind.

Your surname is appropriate.

 

[LexingtonSpurs]

From a property standpoint I wonder if Cain Hoy are looking to invest in the stadium development for a cut of future income going forward.

Originally when interest broke last week it was thought that it was all to do with stadium funding by some people. I still think it might be. Maybe they've made an offer for some of enic's shares and this is where the story has come from?

I would be surprised if they want a minority share of ENIC. These are not guys who are typically willing to take a back seat to anyone. They would be looking for control - where they can make their own decisions, rather than be subject to the whims of a majority owner like Lewis/Levy. I am sure they think, probably rightfully so, that they can handle the real-estate development better than ENIC.

Now, this may have started with Cain Hoy going in and asking to buy the real-estate from ENIC to handle the development, and Lewis/Levy saying they will not split the real-estate from the club - meaning that if Cain Hoy wants the real estate, they have to buy the club at the same time - all or nothing. (I would bet this is more likely, than not).

 

[Mister Jez]

I think what is really striking about this is what it shows about SC itself...

This is a site that has pipe-fitters, masons, carpenters, estate agents, bank tellers, check-out clerks, social media managers, call centre managers, call centre agents, architects, lawyers, doctors, nurses, football coaches and web-developers.

We have people involved in local politics, students of law, medicine and history from around the world

We have several incredibly talented musicians and even more musicians who are absolute shit. We have numerous artists of varying talent.

We have people who can recite lines from the Jaws, Caddy Shack, the Simpsons, Archer, Dr. Who and Star Trek at the blink of an eye. We have people who can site the specific episode or moment in the movie those quotes come from without blinking.

We have people who can recall every single match Spurs have played since 1960 onward in excruciating detail, we have people who lived next to various players of varying talent throughout the years. We can get reports on the most secretive player dealings within the club. If we are looking at a player in some obscure league well no worry we have someone who actually lives there and goes to the matches to give us a report on the player.

We have all of this....but we don't have an expert on M&A to walk us all through every excruciating detail of this? What the hell?

Check that....knowing our luck we do have someone who is an expert on M&A, no doubt they have done dozens of them, they post on the site under a ridiculous name but they haven't posted on this.

The reason they haven't posted on this is because when they are away from their computer they are known as Jonathon Goldstein and he is busy with his involvement in buying the damn team at the moment.....

For the uneducated amongst us, could you please explain what M&A stands for, my guess would be merges and aquicitions. ... but that does not seem to make sense...

 

[Dirty Ewok]

I will say this - Spurs, from an acquisition standpoint, are likely the most attractive property in the PL.

And, assuming that a purchaser pays a premium of the club, that is generally a good thing for the welfare of the club itself. First, and foremost, this is a financial transaction, where the investors are looking for a substantial return on their investment. They will be looking to see how they can make money, short and long-term. On the football side, there are three primary revenue drivers (and perhaps a 4th minor driver): Broadcast revenue, match day revenue, CL/Europa revenue, and merchandising revenue.

Now, I think broadcast revenue is going to see another spike here shortly - growth in the US seems inevitable, and I expect significant competition when the NBC TV contract is up - from at least ESPN and FOX, in addition to NBC wanting to keep the property. Despite the games being on early in mornings, ratings are very good, and NBC shows every game - so there is interest, and it seems to be climbing.

Match day revenue - obviously tied to the new stadium, but also to the London location. On a plus note, I think their revenue forecasts will include a ticket price increase, paid in part by luxury boxes, but also premium seats - and to justify a price increase, there will be an expectation of top-4 caliber team, and champions league football. People who buy luxury boxes and premium seats want to be associated with a winner - so I do think every effort will be made to push the club in this direction.

Going with that, I think new owners will expect CL, and the attendant bump in revenue. Also, while the London location is key for these buyers - they are not interested in taking clients to 2nd-rate cities, I think they would really like to entertain clients in cities like Paris, Munich, Madrid, etc. i.e. CL

Merchandising revenue - we have seen reports that Cain Hoy may have been speaking with Levy for months, and Levy, being astute may well have been aware of interest in an acquisition. Certainly, over the past several months, the team has taken steps to grow the brand - notably with AIA in asia, and the recent US pre-season tour. And, as these things come to light, I don't think it was a coincidence that we signed Yedlin, even though he was not ready to come over here - Yedlin has a definite chance to be the next marquee player for the US National Team. If that happens, and he is playing for Spurs, Spurs will spike in popularity in the US - where merchandise sales can be a real boon.

Up to this point everything looks good, from the club's perspective - the biggest bump in revenue will come if/when Spurs are consistent top-4 contenders, and that means spending some money wisely to upgrade the roster, to make that happen. Even under FFP, owners are allowed to provide an influx of cash up to a point - I expect we will see a small splash of cash early, and then more later, as we build revenue.

The one caveat to all of this is the real estate development. At their heart, that looks like the strength of this particular group. SO, they may be eyeing this transaction as less about the club, and more about the real estate development opportunities in the surrounding area. If that is the case - they see the club as ancillary to the profits around the real estate, they may be less willing to invest heavily in the club, willing to let it continue along the same path - top-6/7 - enough to fill a 55,000 all-seater, and draw people into the re-developed area, but not willing to make the next investment necessary to push it into the same level as Chelsea, Arsenal, ManUtd, Man City, Liverpool.

Well said.....i said before that if you are someone who is looking to buy into the PL in many ways Spurs are a form of "wet-dream". Everything you would want is available and in a solid state....effectively Spurs would be one of the few "plug-and-play" clubs that may be available for purchase no matter how many people rant about Levy/Lewis running the club into the ground. For an investor they would be a very attractive investment.

If you just want a PL team...Villa is available at a much lower cost and you could probably make a solid run at teams like Hull or Burnley and get yourself a PL team without breaking the bank. Hell, there were reports that Villa would run you £150m - £250m....you would figure a bid for Spurs will run at least double that.

So this wouldn't be just a group trying to get into the PL for the sake of getting into the PL, you wouldn't pursue Spurs if you just wanted a PL team. You chase Spurs because you believe that it would be a very strong investment.

 

[Mister Jez]

Your surname is appropriate.

Haha, I've been waiting for that one for so long..........

 

[Dirty Ewok]

For the uneducated amongst us, could you please explain what M&A stands for, my guess would be merges and aquicitions. ... but that does not seem to make sense...

M&A stands for Mergers and Acquisitions

 

[LexingtonSpurs]

For the uneducated amongst us, could you please explain what M&A stands for, my guess would be merges and aquicitions. ... but that does not seem to make sense...

M&A is shorthand for mergers and acquisitions - really covers all kinds of transactions related to the sale of businesses.

 

[sloth]

I will say this - Spurs, from an acquisition standpoint, are likely the most attractive property in the PL.

And, assuming that a purchaser pays a premium of the club, that is generally a good thing for the welfare of the club itself. First, and foremost, this is a financial transaction, where the investors are looking for a substantial return on their investment. They will be looking to see how they can make money, short and long-term. On the football side, there are three primary revenue drivers (and perhaps a 4th minor driver): Broadcast revenue, match day revenue, CL/Europa revenue, and merchandising revenue.

Now, I think broadcast revenue is going to see another spike here shortly - growth in the US seems inevitable, and I expect significant competition when the NBC TV contract is up - from at least ESPN and FOX, in addition to NBC wanting to keep the property. Despite the games being on early in mornings, ratings are very good, and NBC shows every game - so there is interest, and it seems to be climbing.

Match day revenue - obviously tied to the new stadium, but also to the London location. On a plus note, I think their revenue forecasts will include a ticket price increase, paid in part by luxury boxes, but also premium seats - and to justify a price increase, there will be an expectation of top-4 caliber team, and champions league football. People who buy luxury boxes and premium seats want to be associated with a winner - so I do think every effort will be made to push the club in this direction.

Going with that, I think new owners will expect CL, and the attendant bump in revenue. Also, while the London location is key for these buyers - they are not interested in taking clients to 2nd-rate cities, I think they would really like to entertain clients in cities like Paris, Munich, Madrid, etc. i.e. CL

Merchandising revenue - we have seen reports that Cain Hoy may have been speaking with Levy for months, and Levy, being astute may well have been aware of interest in an acquisition. Certainly, over the past several months, the team has taken steps to grow the brand - notably with AIA in asia, and the recent US pre-season tour. And, as these things come to light, I don't think it was a coincidence that we signed Yedlin, even though he was not ready to come over here - Yedlin has a definite chance to be the next marquee player for the US National Team. If that happens, and he is playing for Spurs, Spurs will spike in popularity in the US - where merchandise sales can be a real boon.

Up to this point everything looks good, from the club's perspective - the biggest bump in revenue will come if/when Spurs are consistent top-4 contenders, and that means spending some money wisely to upgrade the roster, to make that happen. Even under FFP, owners are allowed to provide an influx of cash up to a point - I expect we will see a small splash of cash early, and then more later, as we build revenue.

The one caveat to all of this is the real estate development. At their heart, that looks like the strength of this particular group. SO, they may be eyeing this transaction as less about the club, and more about the real estate development opportunities in the surrounding area. If that is the case - they see the club as ancillary to the profits around the real estate, they may be less willing to invest heavily in the club, willing to let it continue along the same path - top-6/7 - enough to fill a 55,000 all-seater, and draw people into the re-developed area, but not willing to make the next investment necessary to push it into the same level as Chelsea, Arsenal, ManUtd, Man City, Liverpool.

Interesting post, but I think you can tell you've never been to Tottenham!

 

[weststandvoice]

How long is a piece of string?

Ignoring the fact it's just a random claim made by a nobody hack, who cannot possibly know how many Spurs fans would welcome a chance - he might just mean, like, 50. Or a billion. I don't know. Because it's a throwaway line designed to cause controversy and get website hits.

You mean you disagree with it, and now your pants are on too tight.
The line that annoyed you was in the foot of the piece ans so anyone reading it had already clicked.

 

[LexingtonSpurs]

Interesting post, but I think you can tell you've never been to Tottenham!

hence, the development potential

My sister was recently in London, and I had her head out to WHL to take pictures of the surrounding area - so I feel like I have been there

 

[Dirty Ewok]

Interesting post, but I think you can tell you've never been to Tottenham!

To be fair....yes, Tottenham can seem reminiscent of Beruit during the civil war.

But, they are developing a new stadium and all sorts of other goodies around there including improving the WHL station.

Given the pricing of London real estate i am sure there are plenty of real estate developers who would love to go in and work on the area because you could get property cheaper and potentially sell it for more than if you were to say go buy some land in Chelsea.

It would be a bet placed that the stadium and surrounding area development kicks off a more significant gentrification of the area and raise the value.

 

[millsey]

Well said.....i said before that if you are someone who is looking to buy into the PL in many ways Spurs are a form of "wet-dream". Everything you would want is available and in a solid state....effectively Spurs would be one of the few "plug-and-play" clubs that may be available for purchase no matter how many people rant about Levy/Lewis running the club into the ground. For an investor they would be a very attractive investment.

If you just want a PL team...Villa is available at a much lower cost and you could probably make a solid run at teams like Hull or Burnley and get yourself a PL team without breaking the bank. Hell, there were reports that Villa would run you £150m - £250m....you would figure a bid for Spurs will run at least double that.

So this wouldn't be just a group trying to get into the PL for the sake of getting into the PL, you wouldn't pursue Spurs if you just wanted a PL team. You chase Spurs because you believe that it would be a very strong investment.

Only if bought at the right price, which is going to Be difficult with levy and Lewis. If buying us makes the stadium move quicker and better than I'm all for it, because once you double your revenue as a club like spurs in London we will be going places

 

[sloth]

To be fair....yes, Tottenham can seem reminiscent of Beruit during the civil war.

But, they are developing a new stadium and all sorts of other goodies around there including improving the WHL station.

Given the pricing of London real estate i am sure there are plenty of real estate developers who would love to go in and work on the area because you could get property cheaper and potentially sell it for more than if you were to say go buy some land in Chelsea.

It would be a bet placed that the stadium and surrounding area development kicks off a more significant gentrification of the area and raise the value.

Maybe, I think that Tottenham's just a bit to far out to really plug-in to the London Zeitgeist. There's loads of underdeveloped places in East and South London, closer to the centre, I'd expect to be exploited first.

 

[cornelius knob]

Your surname is appropriate.

WOW ! guess what. Your the first person to come out with that jibe .

 

[cornelius knob]

No, it's how YOU feel. Maybe it's also how your mates feel, or how some of the fans who sit near you feel.

But that doesn't make it 'the truth' and it doesn't mean the majority of fans feel that way.

Is it really so hard to believe that a very large number of Spurs fans don't agree with you? Surely the reaction you see on SC is a pretty obvious indicator?

Part of your comment rings true, but it depends on the context in which you view it. I would say the majority of WHL regulars ARE dissilusioned with ENIC. The majority of posters on here are not. However, I would reckon that the majority of fans who post on this forum are NOT WHL regulars. See what I mean. In our own way, we`re both correct

 

[Dirty Ewok]

Only if bought at the right price, which is going to Be difficult with levy and Lewis. If buying us makes the stadium move quicker and better than I'm all for it, because once you double your revenue as a club like spurs in London we will be going places

Couple things to keep in mind with the pricing.

First, these guys have already bought a baseball team, they tried to buy a basketball team. If you are buying sports teams as an investment then the next logical steps would be PL and NFL. I would wager that these guys have a fair amount of research and information available to them telling them the way the revenues of these leagues are trending and where they could end up.

Second, if ENIC engaged Guggenheim/Cain Hoy in search of stadium financing then these guys have probably seen the books. These aren't the type of people you walk in and say "Oi! we need a loan. Trust us we are good for it." You would have to turn over a fair amount of information for these guys to analyse if you are actually a viable option to help finance.

Given just those two things (and on an incredibly simplified scale) these guys would turn all this information over to their teams of analysts who would work their dark arts of financial nijitsu and spit out some information.

A group like Cain Hoy (who seem interested into buying into a PL team) would at a very minimum have something along the lines of...."based on current holdings and projections ENIC have a club that they value at or near "A", our projections show that the actual value of the club should be closer to "B"."

Now Levy/Lewis may put a monster pricetag on the club, but these guys would have enough information and the ability to get financing to force ENIC to make a tough decision with a fairly sizeable offer if they deem it a worthwhile investment.

 

[Dirty Ewok]

Maybe, I think that Tottenham's just a bit to far out, to really plug-in to the London Zeitgeist. There's loads of underdeveloped places in East and South London, closer to the centre, I'd expect to be exploited first.

I would actually agree...there are other areas in the city that lay closer to the middle that could be exploited. But given the city is still growing and there is government backed development slated to begin Tottenham does represent an interesting investment option. There may be places in the city that you could turn around an investment quicker, but there aren't many places in the city that are being primed for gentrification which would allow for a guaranteed rise in pricing.

While i wouldn't necessarily throw my whopping £50 fortune at investing in Tottenham as a first choice i am also not a high end investor so who knows....

 

[jurgen]

hence, the development potential

My sister was recently in London, and I had her head out to WHL to take pictures of the surrounding area - so I feel like I have been there

You sent a female family member out to Tottenham by herself to loiter around with an expensive bit of electronic equipment hanging around her neck ..