Saturday 29 August 2009

'Leveraged' takeover by Al Fahim

Regular readers will have noticed a distinct lack of updates recently. Sorry about this absence but we have been away from access to the internet and technology for the best part of two weeks (yes such a place does exist). We would very much have liked to have kept you updated with the astonishing events of the past week. However judging by my emails it looks like this saga has still got plenty of life in it.

We will provide an update on the financials of the takeover the early part of next week. However we are advised that Al Fahim is seeking to conduct a 'leveraged' takeover of the club. This means that a significant portion the club's future income will be mortgaged in order to provide the funds required to purchase the club.

Al Fahim is now the sole owner of Portsmouth and is keenly looking forward to the game against Manchester City. He has stated that, for him, this is the game he wants to win more than any other. The game sees the two UAE owned Premiership teams compete in a tie that will be the focus of the UAE sporting world. It will give Al Fahim the opportunity to host his compatriots and former employers and help re-establish his status which was hit by recent events at Hydra and Portsmouth.

For Al Fahim, it is very important that this game and and the hospitality arrangements all go well.

4 comments:

  1. seems the wind has gone out of your sail of late

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  2. I have to say the following:
    1) Apparently, Standard bank allowed the takeover with a guarantee from Sulaiman Al Fahim to take on Gaydmak's debt to the bank of £27 million, so he didn't have to pay any money up-front..
    As I understand, the total price for the purchase to Gaydamak was approximately £35 million to £37 million (including the above).
    It can be assumed then, that the only monies Al_Fahim had to pay up front is around £8 million to £10 million to Gaydamak (and maybe even that wsa not cash up front).
    Despite the announcement, I also understand that the deal has not yet been ratified and signed off by the premier league.
    Reports in the Guardian suggest that the premier league have yet to be satisfied with the sources of his finance.
    (http://www.guardian.co.uk/football/2009/aug/27/portsmouth-sulaiman-al-fahim-premier-league )
    They also say that The league has requested documentation to back this up and can employ forensic accountants if it deems that necessary. That is standard practice before it signs off a takeover.
    2) Fahim has not paid for any transfers yet as all purchases have been covered by sale of Distin.
    3) His 'talk' about Zaki being one of his favourites and that we were trying to sign him under Fahim's instruction came to nothing because ?? (he didn't front any cash)
    4) 3 months has been far too long for the matter to be settled and the club have suffered by having to sell players to survive.
    5) All in all, he has talked the talk for a long time. No leadership, nothing.. We are waiting..
    If he passes the premier league test on the financial front, then I will be grateful to him that we have finally avoided adminstration, but I wait for action.

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  3. Surprised no-one else has posted, because your blog always brought a viewpoint I enjoyed reading and a greater understanding of Fahim, the man, his money (or lack of) and his takeover.
    I see that Lssana Diarra is echoing what I think about Fahim and his protracted takeover. I have posted a quote below

    Real Madrid midfielder Lassana Diarra blames Sulaiman Al Fahim for Portsmouth's problems.

    The former Pompey star told the People: "Portsmouth have not started the season well with three defeats in three games.

    "It is not normal but for me the most worrying is the poor play that we have seen. I hope things change from now. The exit of Harry Redknapp has affected the team. Also the doubts about the sale of the club were not positive and have affected the players because they did not know what was going to happen to them.

    "I was the first to go in January but mine was a different story perhaps because an offer from Real Madrid is hard to turn down. I remain in contact with some players at Pompey and I know that morale has not been high there.

    "Who is to blame? Perhaps the sale of the club dragging on for so long has not helped. If that had been closed sooner then there would have been time to sign players.

    "With the arrival of Al Fahim things can change but first it is important to get back the good image and start getting some points.

    "The new owners will sign players I hear but there is not much time so they must act fast."

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  4. "For Al Fahim, it is very important that this game and and the hospitality arrangements all go well".

    You clearly have never seen Fratton Park. hospitality is not the done thing there. They do not even have proper corporate boxes.

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