> > By Phil Hay > Published on *Saturday 25 August 2012 08:00* > > The laborious takeover of Leeds United spawned a supporter-led protest on > Thursday, under the banner #Pen4Ken. > > The campaign is derived from Ten4Ken, a short-lived movement which in > 2010 sought answers to 10 questions about the club’s policies and ownership > structure. It consists of nothing more militant or aggressive than posting > pens to Ken Bates care of > Leeds<http://www.yorkshireeveningpost.co.uk/sport/leeds-united/latest-whites-news/leeds-united-takeover-patience-starting-to-run-out-hay-1-4866903#> > United > and Elland Road. > > All scepticism about strategy and impact aside, the sentiment of #Pen4Ken > is genuinely conceived. This takeover needs signing off and patience is > wearing thin. There is rising clamour for Bates, United’s chairman and > majority shareholder, to put his name to a deal which passes the club to > new owners. The generous public are making sure he has something to write > with. > > If the demand for completion – or if not that, some clarity beyond the > meaningless insistence that “talks are on-going” – strikes you as premature > then consider the following: 88 days have passed since > Leeds<http://www.yorkshireeveningpost.co.uk/sport/leeds-united/latest-whites-news/leeds-united-takeover-patience-starting-to-run-out-hay-1-4866903#>stated > on May 29 that they were talking to investors with serious intent. Exactly > 60 have passed since the club entered into an exclusivity period with a > group of buyers from the Middle East, allowing them to pick through the > financial details of United’s accounts. Solicitors who specialise in > corporate law find the timeline surprising and unusually long. > > A week ago, two members of the management team at Dubai-based private > equity firm GFH Capital Limited attended United’s game against Wolves. GFH > Capital Limited are widely believed to be the go-between in this sale – the > firm acting as brokers on behalf of the buyers – and their public > appearance at Elland Road was no bad sign. But in the days that followed > the silence has been almost total. Even whispers of back-and-forward > negotiations began to dry up. > > A lawyer contacted by the YEP yesterday, someone who has dealt with > takeovers at other English clubs, said the duration of a typical sale was > rarely more than “a couple of months.” Occasionally they are completed in a > matter of days, like the purchase of Leeds by Bates and the Forward Sports > Fund from Gerald Krasner’s board in 2005 but due diligence sees to it that > most buy-outs take longer. Few which ultimately end in a deal are as > drawn-out as the latest attempt to acquire control at Elland Road. > > So the view of those who know the landscape is that this deal has strayed > into the realms of the ridiculous and was heading that way for several > weeks, not helped by the confidentiality agreement which smothers the full > story. Bates said last week that in the absence of official comment, > “rumours abound” and “pub speculation” runs wild. He is not wrong. The very > reason why #Pen4Ken began consuming Twitter was because credence has been > given to the idea that a signature from him is all that stands between > Leeds and investment from the Middle East. > > Certain legal sources believe that suggestion is not so far from the > truth. The talk in the past few weeks has been about disagreements over an > indemnity clause – the protection given to a buyer in the event that > liabilities appear after a sale is complete – and arguments over cash paid > to the club by the Middle Eastern consortium during the summer. One contact > on the seller’s side claimed scheduled payments owed to Leeds had been > missed. Another connected to the buyers said they were unwilling to release > any more money until final agreement on the transfer of Bates 72.85 per > cent stake was reached. And so it continues with no official confirmation > either way. > > The YEP contacted Leeds and GFH Capital Limited after Saturday’s game > against Wolves in an attempt to discuss the appearance of GFH executives > Salem Patel and David Patel at Elland Road and clarify several rumours > concerning the sale of United. Predictably there was no response. Both > sides have stuck fast to their confidentiality clause and for many weeks > there was no argument with that. People craved news and looked for > developments but appreciated the complex nature of a takeover. In the past > month, the commitment to confidentiality has felt more like a useful > defence against valid questions, masking a confusing situation. > > The only certainty almost 90 days on is that the takeover is not dead. > Warnock stated as much on Thursday and it is plain from his recent comments > in the press that he is not in the mood to deceive anyone, least of all the > club’s supporters. It is safe to assume that he wants this buy-out agreed, > for the good of himself and his team. It is hard to imagine the scale of > frustration in fearing the August transfer deadline will pass without any > more signings. > > That, above all else, is a reason why Bates should understand the wall of > noise telling him to hand the baton on. It is reckless for anyone to > endorse this bid from the Middle East without any firm details about who > the bidders are, how much money they have, how much they plan to invest and > what their long-term strategy will be but the lack of information does not > alter the debate about where Leeds are heading without serious investment. > > The message from Warnock at his press conference on Thursday was that he > has nothing left in the way of funds and no expectation of any coming his > way without a takeover. Even his mention of the emergency loan window was > tempered by the admission that any signings from that particular market > would be dependent on finances. That is not only a warning for the fate of > this season but a warning for future seasons too. It gives the impression > of a regime that has run out of steam – a regime who should be pleased that > an offer to buy the club arrived when it did. > > Back when takeover fever first took hold of Leeds, it was convenient to > think that their meagre transfer fund was an inevitable feature of a > business about to change hands. It appears now that Leeds simply had no > money to give Warnock. The well is dry again and their manager is helpless. > When he enquired speculatively about a player on Wednesday, he was blown > out the water by an offer from another Championship club. > > Bates cannot or should not be oblivious to this. He cannot hear a manager > like Warnock claim that his existing squad have “not a cat in hell’s > chance” of seeing through a full Championship season and fail to see the > problem. Supporters and journalists who offer that view are easy to ignore > but not a 63-year-old with seven promotions behind him. The air smells of > stagnation. > > Sixty days ago, when United announced that due diligence was underway, > they said in black and white that the buyers in question “have the > financial resources to support the club and will have no issues in > satisfying the requirements of the Football League’s Owners and Directors > Test, unlike many of the previous approaches we have had to endure.” It was > a fundamental admission, accepting the consortium as fit, financed and > responsible purchasers. If that is so then this deal should be ratified > without delay, in the best interests of Leeds > United<http://www.yorkshireeveningpost.co.uk/sport/leeds-united/latest-whites-news/leeds-united-takeover-patience-starting-to-run-out-hay-1-4866903#>. > Those interests are not being served by the bizarre status quo. > Dr Michael Benjamin, Community Psychiatrist ------------------------------- myRay: On-line Self-Help CBT http://www.myRay.com http://www.myRay.org ------------------------------ Mental Health: http//www.MyDoctorExplains.com -------------------------------- Auditing || Quality Control http://www.MyDoctorExplains.com/alamo/ -------------------------------- Blog: http://www.DrMichaelBenjamin.com _______________________________________________ Leedslist mailing list Info and options: http://mailman.greennet.org.uk/mailman/listinfo/leedslist To unsubscribe, email [email protected]
PETE CASS (1962 - 2011) Rest In Peace Mate
