Do Rangers need to be on the stock exchange?


Pre-EGM now-ex CEO Derek Llambias
famously barked the following command to the Scottish press regarding his
‘opponent’ Dave King:
“Where’s your money Mr King, who is
your Nomad?”
The NOMAD, or ‘Nominated Advisor’
is essentially the PLC’s link to the stock market, in this case the London
Stock Exchange, otherwise known as the ‘Alternative Investment Market’.

When King’s group won the EGM,
one of the most pressing issues was the appointment of a new NOMAD given the
resignation of the existing one, WH Ireland.
Ireland was opposed to King, and
quit pre-EGM leaving Rangers frozen on the stock market.
In other words – Rangers could
not trade. For every minute Rangers were suspended from the AIM, and no shares
could pass hands, nor could any plans for a new share issue, as proposed recently
by the Three Bears, proceed.
Almost three weeks later, a new
NOMAD still has not been appointed. And Rangers remain isolated on the LSE, but
the curiosity is King himself is on record as saying this is ideal:
“In a perfect world, my personal preference for
the rebuilding of Rangers my choice would be not listed. But it is listed. And
I’m going to say that unfortunately
it’s listed.”
The regulations of the stock
market dictate 30 days to appoint a new NOMAD otherwise the company is removed
from the LSE altogether, and King stated a period of up to 28 days, or ‘four
weeks’ for negotiations with a new NOMAD to take place.
In other words, if King is truly
intending to get Rangers unfrozen from the LSE, he is cutting it very thin indeed. The SFA still have
their Fit & Proper Person diligence upon King to carry out, and naturally he
has no board power till that concludes, but the existing board still have leeway
to negotiate and get a NOMAD appointed subject to King’s approval.
The problem is there are exactly
12 days left till said NOMAD must be appointed, or Rangers are delisted,
meanwhile only 9 days left till the 28 days King proclaimed for the NOMAD
negotiation to conclude.
This is very, very close.
It is unclear if King is gambling
on the company being delisted, but if it is, all the fan ownership schemes will
have to slightly rethink their approach.
do not have to be quoted on the stock market to issue shares. When businesses
start out, many of them raise money from outside investors, who are given a
share of the company in return. These investors tend to be friends, family or
benefactors and their shares are known as unquoted because the companies are
not listed on any stockmarket.”
The difference without being on
the LSE is the company does not have to answer to the rules and regulations
being on the LSE dictate.
As King himself said, being on
the LSE costs, and you have to gain the approval of a suit in London before changes are approved. For
example, the recent board appointments and resignations had to be verified with
the LSE before they could be announced on it.
Delisting means that is not an
issue. But it also makes the company slightly less accountable, given it
essentially answers to no one outwith its private shareholders.
It remains to be seen how this
curious little period in Rangers’ regime change transpires.


    • The paper they're writen on.

      'the London Stock Exchange, otherwise known as the Alternative Investment Market'.


      I'm glad you know what you're talking about. lol

  1. Llambias' Nomad calls were simply desperate politics and meant nothing. Rangers don't need to be listed. It was likely used as a way to expand the investor base but the investor mix will be more of the long term variety now so there is no need for the short term investors that the exchange attracts.

    • Squint has been desperately trying to get ANY NOMAD to join us. Nobody interested. Word is he had big hopes for Allenby Capital, but they didn't like the glib abd shameless stuff or the fact that he and the bears might be done by the Sock Exchange for acting in cahoots without launching a formal bid to take us over.

  2. I will try and break this gently:
    The shares are worth whatever someone will pay for them.
    Since there is no access to the stock market, they can't be sold easily. (To use the technical term, they lack 'liquidity')

    Someone wishing to sell shares will have to locate a buyer for them themselves and agree a price mutually.
    They could e.g. place an ad in the newspaper, or post a card in the newsagent and see if there are any takers?
    But bearing in mind that anyone who buys them will also struggle to sell them in turn, I doubt they will be making any stellar offers!

    … they are probably – for now at least – to all intents and purposes completely worthless and will remain so, unless a new NOMAD is appointed and a relisting occurs, or unless a company takeover (by e.g. Sarver) were to be agreed. Sorry if I am the bearer of unwelcome news.

  3. I think we should also class Sarver as "pie in the sky". I doubt he will buy mine or anybody else's shares at the 32p value just as W H IRELAND broke contact. (at their choice"
    Where is King?

  4. I have a few 1000 shares. Not that I ever expect to see a return that's not the point.

    Do I care if Gers are on reinstated on AIM?
    Not a jot. No interest whatsoever.

    We have Gers men directing the club with more wisdom than I. Quite happy to let the suits take that lead and let punters like me concentrate on matters fitba.

    Quite frankly I find the chat of shares and corporate governance and law, tax laws etc tedious ad nausium.

    Fitba. Team, manager, players games, trophies cups, subs, tactics, signings……aw day long. The off field shite… thanks, had enough of that for 1 lifetime….and ramblings of the ignorant pretending to know

  5. Well said Slinky as you said lets trust the lads that have taken control after all we put them their . Its Fitba we should be talking about lets get behind the team onwards and upwards. I am sick of reading about politics on ifs and but's about the Rangers

  6. The real question is who would trust chaps with track records like King and Murray's, delisting will devalue everyone's shares, wonder how Ashley would react to that scenario, if at all.

  7. The club needs heavy investment, not just £1.5m loaned recently by the 3 bears, remember this is just a loan, we were all led to believe Dave King and the 3 bears had millions to invest and so far only this loan.
    Who else will invest if these men don't stand up to the mark, the club needs money with the high operating costs and Ally still getting his wages equates to half of the loan total there about, not being listed on the stock exchange may be a detractor for possible investors.

  8. Dave King only holds 16% of the shares. Why does he think he can call the shots as he does not have proxies as per the Easdales. Paul Murray does not have many, if any shares. Seems nothing has changed. These guys want the top seats but don't want to put their money in. Thats why it is important we retain our listing to keep these guys under correct fiduciary control,same as King was accusing the previous regime of failing to do

  9. I can't understand the easy ride the new board are getting. Forget all the deflection that they are just in the door blah, blah, blah. They have had years to plan this.
    It's already clear that there is a liquidity issue…….cobbling a 1.5 million package together as another loan, without any mention as to when Ashley's 5m is going to be repaid, tells it's own story.
    King's Nomad/delisting blethering is exactly that. Either the plan is to delist or not…..which is it? If it's the latter then the clock is ticking. I'm not a shareholder but if I was I would be livid at the prospect of being left with shares that are worthless or significantly lower in value than the price paid.
    Where's King and Murray's money?
    How long will it be before the court decide on King's F&P status, next week, next month, next year? Will Murray still be using that as a smokescreen to cover King's reluctance to pony up?
    Where's the money coming from for April and May payroll, running costs etc?

    Just when things look much brighter on the park, the complete lack of clarity, transparency and planning from the new board does not augur well.

    • Please don't take this as a personal attack, I like you have a concern about the financial position of the club, but the way I see things at the moment, is the current board at Rangers, have had very little time to actually look at the financial stramash left by the previous incumbents at Ibrox.
      I can only assume, the 1.5 million package is to ensure, wages, tax and bills are paid to keep the club solvent at this time.
      I like you would like to see Rangers shares on AIM, with a NOMAD appointed, as it is a good guide to see the current value, ups and downs, on the market, which gives a good indication how the club is doing financially.
      The April payroll, I am sure, will hopefully be bolstered by bigger attendances at Ibrox, May could also be supplemented by the play-off attendances and the Season Tickets issue will be around the end of May, but the price won't be determined until we see if Rangers get promotion. I think any money taken in from Season Ticket sales will be used to pay off Ashleys 5 million pound loan, with hopefully around another 5million going into the club.
      Money from King and Murray? Who knows, but the one thing I am sure of, there are proper Rangers people, with money to invest should the club creep towards adminstration again.
      On thing we do need is investment and agree that King needs to put up or bugger-off and the sooner he knows if he is a 'fit and proper person' to run the club the better.
      One footnote, the SFA found Craig Whyte a fit and proper person, and we all know how much support the SFA have given us over the part three traumatic years, so they will be doing all in their power to delay decisions on Dave King.

  10. The Money for April, May, June, July etc. wages will be from the sale of season tickets that will be expected to be in the 45,000 or so range. If the club is delisted from the AIM stock exchange then raising funds outside of the people you know will be impossible and on top of that the lack of Bank Loans means the club can only operate on a money in account or in hand basis. A fans shareholder issue to raise funds may happen in July/August but just like this year another share issue dilluting each and every issue before it will be needed to keep the club going until the next season ticket issue. All of this is for simple Working Capital or Club Running costs and NOT for buying in players.

  11. The Scottish media have always had easy access to King for quotes. Why can't they ask him one simple question.. Is the plan to de-list? Actually maybe the question is. Is there a plan?

    As King is on record as stating he had a NOMAD and now clearly does not and is also on record as saying de-listing might be a good option, do those who have tied up investment funds in shares have any comeback? Sounds to me like legally they may have.. I feel the need to use the work 'DUPED'.

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