At the time of writing the Celtic ordinary share price is sitting at 68p. For more than a year before the Rangers International share price was announced last month the price of Celtic shares never left the thirties. There has been considerably conjecture on why this is, which is probably worth some comment.
Rangers International’s (RI) opening share price of 70p valued the company at around £50m. By contrast, Celtic, who are and always have been, a top flight club, and who are in the financially rewarding Champions League, were valued at around £34m. On an initial pass, Celtic looked undervalued.
There are a few caveats to this story worth telling before you empty your holiday fund on the latest batch of Dutch tulips. Since Fergus McCann took over in 1994 Celtic have only paid dividends on preference shares, which the FSA require the club to regard as debt, not equity. No dividends have ever been paid on the ordinary shares and there appears to be no appetite among shareholders for this to change.
Celtic shares are also particularly illiquid – very few are available for sale at any point in time. When even a small surge of new buyers enter an illiquid market, without a corresponding rise in the number of sellers, a share price can be bid up considerably. Consider a stable average of 10 buyers and 10 sellers each day of a stock with 29,000 shareholders suddenly changing to 20 buyers and 10 sellers. The price would rocket despite no change in the fundamentals.
The possibility of Celtic playing in a domestic league beyond Scotland has again been on the agenda. Such an outcome would radically change the financial prospects of the club and is likely to have a considerable impact on the share price, but this remains no more than a talking point at the moment. Investors should regard this potential outcome as speculative.
Rangers International attracted considerable investment from organisations seeking a level of financial return which supports that £50m valuation. We can speculate what percentage return they will expect but the RI board have been explicit on their intention to produce a financial return.
I’ll not be investing in either company at the moment. Celtic will not pay a dividend on equity shares (which in years to come will evidently be a really good thing) and although I am sure Rangers International’s board will deliver an on-target return for investors (which in years to come will evidently be a really good thing), they appear negatively surprised by recent news on structural change in the Scottish game. Always take professional advice before investing more than you can afford to lose.
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!!Bada Bing!!
14:36 on 12 January, 2013
Tom English & Jim Spence saying they were. Longmuir has been keeping them briefed all through meetings.
Chuckles full of his usual bluster. Facts are irrelevant when you are whipping zombies into a frenzy.
Bada…,
It’s no the lack of consultation that bothers them, it’s because no one asked their permission :oD)))
Fud Yorkston gives it the dont do walking away line on Shortbread,hope they go bust asap.
Ten Men Won The League
14:38 on 12 January, 2013
No structure is perfect and has problems, this one however is ludicrous. Plus anything that has the hands of Doncaster, Longmuir, Ogilvie and Regan on it will be treated with suspicion and the contempt it deserves.
Guys,
I think i’ve got it! A revised set up that would be acceptable to sevcovians. Now, this wasn’t easy as they are currently the 33rd ranked team in Scotland and that’s where they’ll end the season.
So, the only thing that will work, and be acceptable to The Them, Sky, MSM etc is…….
SPL1 – 32 teams
SPL2 – 10 teams
Of course, sevco would need to be allowed promotion at the end of this season to even make this viable.
Just amazed BFDJ didn’t suggest this last night!
Thomthetim
The original obitua,Ryan was indeed a disgrace and The Herald should be ashamed that they printed it. They should at least have contacted Mr. Adam’s family to run it past them to see if they found any part of it to be offensive.
I’m glad the daughter has had her say. She did not get involved in a slinging match but paid tribute to her father and how he led his life but did not miss his detractors. Fairly comprehensive and very well written in my view.
T B B
Got a thread for that?
Kayal 33-yep,we know who shouts the loudest.
Oops ‘obitua’ =obituary. Bloody iPad.
Ten Men Won The League 14:22 on 12 January, 2013
Further confirmation that SevCo will indeed start in the league of 18
From Jim Spence on BBC
Current top flight rules requiring 6000 covered seats and under-soil heating are to be scrapped under the proposed new set-up for Scottish football.
Do you think that’s what Laurel & Hardy are so angry about? The actual sizes of the leagues make no difference to their “return” to the top league.
Hell’s teeth – just retread my post which has been mangled between typing and submitting.
‘Obitua.Ryan’ = obituary written
Fingers crossed.
Hoppy birthday to
Awe naw
Bmcuwp’s
ACGR junior
The new set up could be a set up.Version 1-Universally panned as huns not included,cue MSM driven rubbishing of proposal.
Version 2- Sevco fast tracked in to SPL 2 or similar,cue genius and foresight from Doncaster,Regan etc,lets all go for it for the good of Scottish Football blah blah blah.
Doh……bmcuwp’s da.
Sipsini
I think he was a man who delivered big time for his employers. He also invested in their club and had the right to criticise the mismanagement of the club by David Murray. He doesnt come across as having been a bigot, and was quick to praise Fergus McCann’s stewardship of Celtic.
I hope the Herald was subject to complaints from his family and from decent people. I suspect that to be the case, because had any ordinary Celtic fan complained, they would rather have written a negative story about us.
Hail Hail!
Bada bing, chill out mate, sevco are where they are and are happy to be there remember;-))
!!Bada Bing!!
14:47 on 12 January, 2013
That’s what I’ve been saying since proposals announced. Champions of Div 3 will play a play-off game with runners up of Div 2 for the 24th spot in the 12-12. This will be the compromise over the next few weeks and will be heralded as sporting integrity.
tom kite withoot the fitbaw. prob be lashing next week tae. gawn tae parkheid since late 70s, last year wiz fav. 2001s in there and this year will be up there. 88 tae. just looking at zombies they know, meep meep
He is doing a Fletcher. Signing for a diddy team like Norwich, then score a few goals and move to another diddy team. All about the wage packet methinks. Shows zero ambition.
.
Warning..Rare Football Post..:-(
Had a Look at Celtic’s Top Scorer Charts..
Tony Watt and Victor Joint Second from Top..
It Breaks My Wee Marsupial Heart to Say this But: Have We failed to Replace The Moaning Marsupial..
Summa of SkippyssMilesBetterCSC *Sings: Isn’t it Ironic don’t-cha think*
Kayal33, do you honestly expect the teams in division 2 agreeing to such a proposal
Bada Bing
Any club that has Masterton, Yorkston and Jefferies in its structure, is impossible to like.
Mon the Partick
GB64-if you think they are happy there,and wouldn’t want to skip a season i think you’re wrong mate.HH
Noticed a Groupon deal for a hotel in a town we were planning to visit. Phoned the hotel and got the same deal for the dates required but got upgraded to one of the best rooms in the hotel. Wow.
Commons and Samaras are joint 2nd top scorers. 8 a piece
gordybhoy64
14:58 on 12 January, 2013
depends how much they are being offered
To further illustrate my earlier point. Ex player John Ronerstson calls for the return of the league cup mini sections.
Ex players havent a clue..fact
gordybhoy64
14:58 on 12 January, 2013
and the alloa chairman said on the radio that they have been told that 2nd place in Div 2 (currently alloa) won’t automatically get into the 2nd 12, they would have to play in a play-off(s)
.
overseasbhoy
14:55 on
12 January, 2013
He is doing a Fletcher. Signing for a diddy team like Norwich, then score a few goals and move to another diddy team. All about the wage packet methinks. Shows zero ambition.
..
Personally l don’t think he has ever Settled-Been Happy in Glasgow..IMO..
Summa
Liked this from THE AGE sports paper in Oz, re. the potential move for Tom Rogic.
“Mariners coach Graham Arnold endorsed Rogic’s imminent move to Celtic, who are the most successful club in Scottish history and preparing for a Champions League knockout tie with Italian heavyweights Juventus next month.”
Bada bing, wee smiley face at the end of my post, of course they would take any help they could to jump up the league, personally I dont see them getting any help, although I am not convinced the current proposals will be voted through
notthebus
15:03 on 12 January, 2013
You can’t give away league cup tickets, can’t get a sponsor either, so what attraction is a return to the old sections of 4 teams? 6 games per team in front of empty stadiums?
Scrap the league cup.
My CQN Nap stoats at 12/1!!!!
Much as I tried discretely to influence my children toward Ross County, somehow the two oldest have become Celtic fans……
Anyway, my almost-sixteen year old daughter is asking me to take her to a game at Celtic Park.
I see you are at home to Hearts next Saturday.
So, question: how do I go about getting 2 tickets for next Saturday – preferably near the Green Brigade??!!
Pope scores come on the Vale
Kayal33, never heard the comment you refer to, but I don’t see the div2 teams agreeing to this, plus the bold chuck green wouldn’t be having such a berky if this was on the cards
HOOOOOOOOOOOOOOOOOOOPY BIRTHDAY TO Awe Naw and anyone else I have missed, especially Miss TALLYBHOY on her 18th birthday party night, Ye canny forget the boss of the house :)).
Ps some good winners on the CQN tipsters today, none of them mine of course :((
.
OverseasBhoy..
Should have Probably Said..Top Scorers in SPL..
As You Probably Ken..If it was Top Scorers in Champions League..it Would be Messi 2nd Behind Sammi..:-)))))))
Summa of ProlificPendanticPostersCSC