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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My young fella is just back from City centre where he gave me a rundown on the characteristics of the fleg waving protesters !! Have the feeling that there is a growing undercurrent of mischievous individuals who are using this opportunity to cause disharmony in the country . I’m a great believer in free speech irrespective of my perspective but fear there may be another agenda at hand here ! I hope and pray that I am wrong
Loving the adverts for: the Life of Pi – popping up during the sevconian-greet-a-thon!
Paradise: http://youtu.be/1G4isv_Fylg
Was on the road for about seven hours today , caught all the regular sport bulletins
This Sevco to another league is an embarrassing waste of time
They are a Div 3 club with a crumbling stadium and a guff playing squad
Not to mention their totally unacceptable unwanted support
midfield maestro
19:23 on 11 January, 2013
So Charlie Green threatens sex discrimination, all because he was called a pr*ck, when he is actually a fa*ny.
___________________________________________________
Quality. What a team we had there at the Oscar day. We should all do it again soon, foritsagrand ole team to play for.
Celtic isn’t really about winning, aye ok it is, it is all about helping others realise they have been indoctrinated with utter guff. As we become the Kings we must make sure we don’t become like the ones before us, the Celtic Song is almost Biblical in that regard. ;))
Remember all those years we were being accused of being paranoid? Seems like that word has dropped out of the dictionary. I note the protesting Orcs are not being so labelled,
valentines day
right mate seen the post,looks like its a bit of a damp squib ,not a soul there
Burghbhoy……………wether Billy McNeil is the greatest living Celt and beyond reproach is not the issue. His comments in a rag today , if true, are shocking
Now why should i hold my head in shame ?
Slapped in the coupon said Sally,what about Oldco shareholders ,bondholders and dozens of companies(most of their own type) which went to the wall,that’s slapped in the coupon.
Fat sally & chuckles SQUEALING since the restructuring announcment tells me they are in a very very bad situation that they did not forsee,
STUPID STUPID VOTELESS ASSOCIATE MEMBERS
Till later off to a meeting
HAIL HAIL
The raven
What did Billy say ?
Ha ha ha.
I’m slow, I know. I’ve just realised what’s wrong with the proposed reconstruction of the leagues to 12, 12, 18.
The winners of division 2 aren’t guaranteed promotion. They need to play against four of the big boys.
Ha ha ha ha………..
Somehow I doubt that the punters reputed to have ponied up 22 million to the Sevco Raffle envisaged investing in a team in the Conference.
Estadio Nacional
19:28 on 11 January, 2013
Thanks for the detailed reply.
I sense your real feeling about Juan, I agree with everything you say. Celtic dinnae have the technical ability all over the park that allows us a JR, YET, imo.
If JR is announced, I will be delighted because the Boss thinks he will be that missing link that Everyone seems to looking for. ;))
This wee daft division 3 club are desperate for publicity.
The Celtic support are taking their charitable ethos too far in supporting the wee daft minnows in publicising their bewildered attention seeking.
Who is charles white?
Who will rid me of this turbulent mynah bird?
Kojo
I tried googling the features of the incident whereby your dug-shooting pal became a civic hero but I could not track down a news report on this famed incident.
Nearest I got to was this:-
Officer shoots dog called Colonel
You sure you are not having Reagan moments where you remember a film script or newspaper article and mistake it for real life whilst getting the details muddled?
seems to be
anyone want to buy a world record ?
fut fut fut
http://www.ebay.co.uk/itm/Celtic-FC-Celtic-Celtic-7-single-record-1965-Scottish-Football-Cup-Final-/181056604314
Ouch!
keith wyness
@ retsub12 8m
Rangers route out of Scotland part4 I am sure the manchester police will write a letter of support to welcome them back to england.
PFayr ……….. what was allegedlly said , a few quotes
It was a desperate blow when I heard the news there wouldn’t be another league meeting between the teams for at least three years.
But it doesn’t stop me from wishing Rangers were still a part of the top fight.
But it doesn’t stop me from wishing Rangers were still a part of the top fight.
I stopped laughing at Green and McCoist a long time ago. They are hell bent in pandering to the worst elements of thon deid team’s “support”. Their mouthings could well result in serious injury or (God forbid) even worse. They are not buffoons, copyright G. Spiers, but very dangerous individuals.
corkcelt 19:25 on 11 January, 2013
How would SS know what is going on at Celtic? They are too busy spinning Sevco news.
Not having a go at you by the way, but I’d take anything they state about our club with a large pinch of salt.
Tin Helmet on……I’m entertained by Chuckles’ creative and imaginative challenge to UEFA. He forced them to issue a rather defensive statement regarding Women’s football’s trial of cross-border leagues. It reminded me of Fergus’s pursuit of a transfer fee from Monaco for the services of John Collins. The original Bunnet’s argument, correct in my view, was that the principality exists outside of the European Union and, consequently, the Bosman ruling didn’t apply. Slam dunk, you would have thought. The Scottish MSM, in the shape of the late Ken Gallagher, was outraged. Not in support of Celtic, no, KG slammed FMcC for shaming Scottish football. Of course, Chuckles won’t have to worry about a bitter, biased disgraceful press….. but he does have a very good point.
The raven…
I have no idea what Big Billy said coz I do not read the rags.
TBH I don’t care what he said. He is as you say beyond reproach.The reason I said u should hang your head in shame is because u said big Billy should hang his head in shame.
I am just getting a bit fed up of people criticising my heroes, Big Billy, Packie Murdo , et al.
Normally their only crime is to say they miss Rankers or they acknowledge their existence.
Big Billy is the greatest living Celt.Again , I say, he can say what he wants .
He speaks for me , he speaks for all of us!!
No offence intended though mate!
The Raven
Appalling statement …I wonder if Billy really enjoyed the religious bigotry and sectarianism which accompanied each of their visits …not to mention he regular honest mistakes
Listening to RS tonight ..Jackie MacNamara…said virtually the same thing
Why do these ex players consider it necessary to agree with the media line
Burghbhoy
Billy disnae speak for coming out with bollox like that
PeteC 19:43
Theres a view that the manager wouldnt risk a starting with a Lubo/Riquelme/Naka type and I would agree, I dont think he would have the guts to try that but Kris Commons started v Barcelona. A luxury player, a more effective player would make the difference. Commons is not much of a creator, Id be delighted if he just looked up for a pass now and again.
When we beat Juventus last time we had two defensive midfielders and Lubo, the manager obviously copies a lot of MON tactics, would be good if he copies them for the next Juventus game.
EN
Rubicon
19:48 on 11 January, 2013
I think Celtic are using Rangers like the toy they really are.
Biggest Club in Scotland. Everyone realises that.
Catholic Schools have to be dealt with by the BIGOTSD.
It disnae matter how, or how deep the deception goes.
petec
Cheers Amigo
Rubicon 19:48 on 11 January, 2013
Ken Gallagher…
Arch Hun. Crap journalist. He must have written that shortly after he fell out of Davie Murray’s backside.
EN, he also played Miku against Barca and he had a decent game.
Do we know if he’s with the team in Marbella or has he left the building?
Burghboy………. i dont read the rags either m8 , am with you on that one .
article was sent to me via email .
No offence taken m8 ” but he speaks for me he speaks for all of us ” i dont agree
with but i respect your point .
Agree to disagree ……………..hail haiil
PF
“Why do these ex players consider it necessary to agree with the media line”
Because their media careers will be as long as those of Tosh McKinley and Tom Boyd, if they did not.
They want pet Tims on their Panel to feed the pet Tims who phone in and listen to it.
Estadio Nacional
19:53 on 11 January, 2013
Kris Commons was awesome in the CL this year. His workrate helping the defence was very GOOD for HIS own game, we have a Magical Manager.
I think Neil KNOWS how amazing Gordon and Martin are as persons, FFS both those guys knowledge is unbelievable. I’m sure the fact MARTIN is struggling is a sign that Neilinho should NEVER leave Celtic. ;)) And that is just my opinion.
http://www.youtube.com/watch?v=cLgbPJciIsU
SFTB
quite so…
Cannae imagine Billy needs the money that badly
So let it be …. According to some posters tonight, Big Billy is to be excommunicated.
The man who lifted the European Cup for us.. The man who sweated blood for our club, the man whose very being and fibre oozes Celtic!
I despair for us and some of the Celtic support at times.
We booed Fergus as well and criticise Peter Lawwell and Dermot Desmond.
These people are the very fabric of our club.
….PFayr
19:52 on 11 January, 2013
The Raven
Appalling statement …I wonder if Billy really enjoyed the religious bigotry and sectarianism which accompanied each of their visits …not to mention he regular honest mistakes
Listening to RS tonight ..Jackie MacNamara…said virtually the same thing
Why do these ex players consider it necessary to agree with the media line
——————————————————————————————————
well said m8 , seems as if its the chairman of ( cant remember the club) smaller club allegedly said , rangers we dont talk about them its to dangerous ! ! ! wtf is that about
ElDiegoBhoy 19:56
Good point, Miku was good in that game but not played as a creator, seemed to be the man up front with Samaras doing his majic behind him.
I suspect he has played his last game for us, part of how loan deals go, trial and error. He played his part but not in the managers thinking I guess.
EN