by Franchise FC »
14 Dec 2023 16:31
Greatwesternline WestYorksRoyal Anybody else starting to get seriously concerned that Dai's not going this season?
If there are 4 parties interested in buying Reading, there will be 4 sets of du diligence, 4 sets of negotiations.
The owner will be playing these offers against one another, its an auction of sorts.
Depending on who the winner is, it could be a number of weeks until they meet the Fit n Propa test, due to the number of parties involved and their source of funds, especially if they live abroad.
I would expect were a deal to be done before Xmas that if its a foreign consortium we might see fit n propa passed by late Feb?
If it was Mike Ashley for real, it might be quicker, given his source of wealth is very public and very well known.
Tbh i dont think Mike Ashley would see us as a venture he'd be interested in, he's more interest in buying assets with no other buyers interested, and picking them up for close to zero so that there is almost no down side risk. If he's having to compete with 3 other buyers he isn't getting it for next to nothing and it represents significant risk.
I've never been involved in any deal where due diligence was performed BEFORE becoming the preferred bidder
DD is extremely expensive and to do it 'on spec' is ridiculously unlikely
Besides, it would mean opening up the books for more than one entity at a time. More likely now than it used to be because of the use of technology but still pretty unlikely
Maybe some of the other Nobbers that remain in the industry can update my experience if this isn't the case