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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Andrew67
16:51 on
11 January, 2013
Monaghan1900
Or why he hasn’t extended that morality to The formers supporters/shareholders of the Oldco ,whose shares in Oldco are now worthless.
Shareholders,some of whom ,have personally asked him to do so ,and were told to go forth and multiply.
——
Andrew, I suspect it’s because it has nothing to do with morality and more to do with the fact that he’s obliged to in terms of the elusive five-way agreement. No mention of the small traders either to whom it might mean survival or extinction.
M
Paul
In the hope I’m blissfully ignorant, can I just say I didn’t understand any of that article. Shares and stuff and dividends etc – whoooooosh….
U
Congrats Lenny on the Magners of the Month Award for December
prestonpanbhoy
Are you in the pub yet?
JJ
Threatening UEFA with an EU court action? Nice one.
This is what happens when the local FA (SFA) allow a member club to challenge them in the courts, they think they can pull that trick every time.
Anyone who challenges UEFA in a civil court is not a friend of football, just ask Jean Marc Bosman.
WeeMan..
Sure Dukes,pal..
It is NEVAH the Gun.f
It is ALWAYS .. the Frame o’ Mind ..o’ the SHOOTER.
Ah believe that… Drugs.. The Kind the Doctor ordered.. no.. the Recreational Types..
are… Absolutely.. No doing a Good Joab.. o’ … Helping the Patients who
are Swaalying Them.
Oan the Contrary..
Ah Believe these Drugs ..only Mask.. the Ailment.. They Dinna Cure …the MENTAL Problem
frum which the Patient is suffering
and .. if those Patients who are taking them.. happen MISS a few Doses..
Well..
That’s when it is.. “Katy Bar the Door” time..
In the City.
Thur ur No knowing How those Patients wull react tae Their.
Missed Dosages.
Those Crazy Hollywood.. Violent. ..and Off the WALL.. Movies.. Definitely hiv something
tae dae wi.. these Bizarre OOtbursts of Violence and Mayem,whit we are witnessing..
And .Those equally.. Savage and Brutal .. Shoot em up. Video Games.. also add a further Source that is ..in Ma Opinion, and ithers.. tae this Unbelievable outbreak
of
Insane.. And .. Incomprehensible School..and Public Gun Violence
Kojo
JJ
Nope The Chase has some good players but will be in 37 mins :-)
well apart from the last player who thinks every answer is “pass”!!
That statement about sevco having settled the footballing debt is well timed, he’s had six months to settle it but the announcement comes after the share issue.
Has he used the funds raised by the share issue to pay this off, rather than his original shareholders money?
It might, just might, have a teeny weeny bit of an outside chance of being related to a lax standard for selling guns to people who cannot manage their emotions.
But let’s not stand in the way of trade. Not with so many armed angry people around.
Today’s MSM coverage of chuck shows categorically that the old routine is now firmly in place again. Not one outlet has challenged chuck on any of his claims. Indeed Talks**** are actively pushing his agenda. Dick Keys today believes that chuck wouldn’t have spouted such guff, if he didn’t have a planned exit route!!!
Both Talks**** & shortbread have trailed with 2 EPL managers seeking sevco entry into their set up. However, if you read/watch both Redknapp and Wengers’ statements, they are speaking about sevco and the only scottish team in the last 16 of the Champions League.
The goat is spreading his seed all over in the name of disgrace.
That’s me done
Feck I’ve broke the blog.
A gun debate.
Where is Piers?
A67
Can I Have Raspberry On That Champions League Ice Cream
17:33 on
11 January, 2013
Very impressed…..
TFPLG and Cheecko green getting ready to move to a new league!
http://www.cartoonito.co.uk/tv-show/bananas-in-pyjamas/videos/moving-furniture
Heres the latest pash from the best manager in the world .
STV website.
Ally McCoist believes Rangers will be denied promotion under plans to restructure the Scottish football league which he says “lack sporting integrity”.
The Ibrox boss believes the “small minded” proposal, which would see the current four-tier format change to three leagues, would unfairly penalise his side and render the current season meaningless.
Under the plans, Rangers would take up a place in the third tier of the league, a step up from their current position in tier four.
Although they would move up if they can clinch the Third Division title this campaign, they would be joined by every other team currently plying their trade in the bottom tier.
McCoist instead believes a way should be found for his team to be advanced out of the proposed new bottom tier.
“I don’t think reconstruction can go through,” he said. “It lacks sporting integrity. I don’t think you can change during a season.
“All we are looking for is continued fair play. If we win the league then we should be promoted, in my opinion.”
Speaking at his traditional Friday news conference, McCoist said he believed a combination of “time, legality and sporting integrity” should hamper plans to push through the planned change for the start of the 2013/14 campaign.
The manager also expressed his unhappiness at Rangers having no vote on the proposals, a circumstance of their admission to the Scottish Football League as associate members in the summer, saying it was a “slap in the coupon” to supporters.
Chief executive Charles Green had spoken earlier in the week of finding a way out of the Scottish league structure if reconstruction plans went ahead.
“Ideally the top league in this country would perfect,” added McCoist. “There has been a lot of information coming out in the last week or so but all we want to do is get back to the top league in this country.
“I know Rangers and Celtic have explored avenues to play in different leagues and I would think they would continue to do that.
“But where I’m sitting at the moment, I’d settle for the top league in Scotland.
“Charles is doing his job in the respect that he’s exploring avenues for other leagues.
“I can totally understand his dislike for the potential new set-up. If it goes ahead, I would imagine the biggest sufferers again, in my opinion, would be the Rangers supporters.”
They just don’t get it , do they .
First bevvy of 2013 ………and its a MAGNERS !!:0))
HH.
A poster called easyJambo has put up circulation figures for Scottish newspapers on TSFM, dearie me, they are in a well deserved mess.
Would love to hear confirmation from Rapid Vienna that they have received their M£1.1 from them. Can we expect even one intrepid Scottish reporter to have asked this most basic of questions of the Austrians? No, me neither. They will just churn out what he wants them to write.
Ah am in Favor o the American Gun Laws .. as they are at the Present Time.
Ah hiv bought a Few Guns ,in Ma Time..
And.. Ah wiz impressed.. by the the Regulations which govern the selling of a firearm..
They are Stringent.
When Obama..and Michael Moore.. Gie up..
Thur… Heavily ARMED BODYGUARDS..
Then..
Ah may be more inclined tae Listen tae Whit They Hiv tae SAY.
oan matters …pertaining tae Gun Ownership.
They ur only .. Two of the Hypocrites ,who are Mouthing AFF. ABOOT..
reining in .. the Guns fae the People..
Kojo
Still, Laughing.
Celt55 17.46
That is one of the reasons Jabba jumped ship , to another sinking ship.
A67
Celt 55-copy and paste ? Hh
celt55
I couldn`t find that. The page I was on had something about Lichtenstein followed by a post by Auldheid. Where do I go from there?
JJ
Andrew67
17:50 on 11 January, 2013
Yep, Jabba probably thought it was a good move, I wonder what he thinks now?
Kojo
Sorry , I’m in The Piers Morgan camp.
If you don’t have a gun ,you can’t shoot anybody.
A67
easyJambo says:
The latest monthly national newspaer circulation figures for December came out today. It’s no surprise that the downward trend continues:
http://www.pressgazette.co.uk/uk-national-newspaper-sales-guardian-ft-and-daily-telegraph-end-2012-high-note
Daily Record 250,096 down 8.89% YoY
Scotsman 32,463 down 16% YoY
Sunday Mail 285,028 down 21.96% YoY
Sunday Post 245,727 down 18.59% YOY
Scotland on Sunday 37,252 down 18.4% YOY
The last figures for the Herald (Jun-12) , before they deemed themselves a regional paper, were:
Herald 44,445 down 8.29% YoY
Sunday Herald 26,187 down 10.42%
I can’t see The Scotsman or The Herald lasting much longer in their present form.
I had a look at the Record’s performance over the last 12 months.
Dec-11….. 275k
Jan-12….. 276k
Feb-12….. 292k – good increase – I wonder what newsworthy story happened in Feb
Mar-12….. 294k
Apr-12….. 282k – drifting down again
May-12….. 281k
Jun-12….. 279k
Jul-12….. 276k
Aug-12….. 276k – holding up (Olympics factor, or a new club joining the SFL)
Sep-12….. 273k – drifting down again
Oct-12….. 269k
Nov-12….. 254k – ouch!
Dec-12….. 250k
Right time for a pint :)
It just came to me. An epiphany. CG IS Foghorn Leghorn made real, made man.
“Ah say, ah say , ah say…”
I love this
“The manager also expressed his unhappiness at Rangers having no vote on the proposals, a circumstance of their admission to the Scottish Football League as associate members in the summer, saying it was a “slap in the coupon” to supporters.”
stupid huns
jimmci
I have emailed Rapid and asked. I will post if I receive a reply,
JJ
1st time poster ,caught some of the keys,grey and green show this morning and have promised myself never again.3 belters,but 1 thing that he was bummin about was an invite to join europes elite clubs at a conference in feb as an associate member as recognition of their prev european success (celtic are ordinary members along with man u ,barca ,etc).This is now gettin plugged on hun media but whit they urny tellin them is that other associate members include the likes of euro giants bangor city and the new saints from wales along with minnows from everywhere else in europe.
fourgreenfields
17:43 on
11 January, 2013
My point exactly…….who will challenge these fools? Not the MSM clowns.
My dear,dear,dear,friend.. Andree67
Hiya, pally.. ??
Heck.. Nae need tae Apologize, Kiddo..
You are mair than entitled tae disagree ,wi Me… in…well.. Any ..THING..
Ah hiv hid a Concealed Gun Permit.. fur years.. here in the States..
and
Ah hivnae Shot .. Anybuddy… Yet..
Although..there hiv bin a few times.. Ah hiv . Hid Fleetin’ thoughts aboot daeing That!
Kojo
Yer pal..who likes ye ,aloater..
Still, Laughin’
Canamalar
This is a serious point.
I think that McMoist has actually been advised to speak in a more local vernacular ,as someone believes that it will further endear him to the Hun hordes.
rick-tic
Good info from a first timer. Are you…..?
JJ
Usual Leftard Drivel On Gun-Crime From Setting Free The Bull****
Quelle Suprise..!
Over The Past Decade,An Increasing Number Of American States Have Permitted Their Citizens To Carry Concealed Weapons….
In Each Of These States,The Incidence Of Gun Crime Declined….
In The Colorado Shooting,At The Batman Premier, The Gunman Chose The Only Cinema,Out Of Seventeen,Within 15 Min Travel From His Home,Which DID NOT Permit The Carrying Of Concealed Weapons…
The Rate Of Burglaries On Homes Where The Owners Are Present In The Building At The Time Of The Crime..24% (USA)
Compared To 64%(UK)…
In The US Criminals Take More Care To Case The Joint,Reluctant To Face An Occupant With A Possible Concealed Weapon….
Most Schools Do Not Permit Concealedd Weapons On The Premises…
However,The Schools Favoured By The Leftie Luvvies Like The Leadership Of The Demon Party,And Mayor Bloomberg..
For Their Pampered Offspring..
Tend To Employ Retired Cops To Provide Security On Campus…Armed,Of Course..
One Rule For The Children Of The Common People…
Another For The Little Darlings Of The Marxist Elite….
Two Legs Good,Four Legs Baaaad…
http://spectator.org/archives/2012/12/19/fewer-guns-more-crime?nomobile=1
Ally McCoist believes the earth is flat.
Because he’s been advised to believe it.
As it flies in the face of common held belief.
And because Charles Green told him to.
There’s an air of Protestant stupidity about that club, you can smell it, read it, hear it, watch it…
neil canamalar lennon hunskelper extrordinaire
Having seen some of their coupons I think they’ve had more than a slap .
:-))