@redmaynebentley tweets today: “Rangers FC suspended after nominated advisor quits” (http://is.gd/4QEWDP):
WH Ireland “does not believe that it can satisfy the London Stock Exchange in relation to its Nomad obligations in respect of the appropriateness of the company’s securities to be admitted to Aim”.
I translate that as saying “this company is a crock, and we no longer want our name associated with it”.
The company has a Stockopedia quality rank of 9, so investors could have easily have avoided buying into this disaster. This is not to mention the fact that it’s a footie club, and therefore not a proper business, and completely univenstable. No ifs, buts, or maybes about this.
The accounts to year-end 30 Jun 2014 showed a net loss of £8.65m, and it has never generated any free cashflow over its short floatation period. I’m not surprised. Scanning down the history of RNSs, I see a few mentions of credit facilities, resignations, and other stuff that doesn’t look good.
In the prelims issued on 27 Nov 2014, the chariman commented:
Following a successful 2013/14 season on the pitch in which the Club comfortably achieved its priority target of a second successive, and unbeaten, league promotion, I am pleased to report that much progress has also been made at an operational level within the Group. This includes increased revenues and incomes across the business and a significantly reducing cost base. However challenges still remain and despite additional financing having been secured over the year, further funding is necessary to ensure the Club’s ability to move forward successfully to achieve the goals we all seek and expect of Rangers Football Club.
ADVFN poster “wipo1” summarised this so well in Feb 2014:
I can’t believe anyone invested into this,shareholders lost the lot the last time, looks like history will repeat itself.
Bulletin board posters had very little positive to say about the company, so I’m pleased that people didn’t get sucked into this. I’m actually a little annoyed that this kind of junk gets floated at all.
Stay safe out there!
