Fosun Looking For New Investors

[Noweimannnocry]

Fosun seeking new investors

Wolves owners Fosun are looking to raise around £80million to boost investment in the club.

www.shropshirestar.com

Is this the beginning of the end or just looking to use someone else's money?

 

[Mile End Wanderer]

Fosun seeking new investors

Wolves owners Fosun are looking to raise around £80million to boost investment in the club.

www.shropshirestar.com

Is this the beginning of the end or just looking to use someone else's money?

Fosun have wanted partial investment for a long time. Nothing new. Not the big deal you want it to be. We are now self sufficient. The club wants other streams of income to help us progress

 

[Golden_Wolf]

Seems like it's barely anything to do with us & to a point, nothing we don't already know.

Also love how that article is behind a paywall on E&S but readable on that Shropshire Star link

 

[Northampton_wolf]

This coincides with the bloomberg news they are raising 100m dollars capital hence £80 million GBP to invest in wolves and esports, its positive

 

[SA Wolf]

This coincides with the bloomberg news they are raising 100m dollars capital hence £80 million GBP to invest in wolves and esports, its positive

£80m!!!! It's just 4/5 of a Caicedo.

 

[Sedgley Gold N Black]

Presumably to take advantage of us being more flexible with FFP next summer.

 

[Oh When the Wolves]

Presumably to take advantage of us being more flexible with FFP next summer.

Says it’s for e-sports

 

[glorybox]

Says it’s for e-sports

No. Also for E-sports.

 

[Black Country Wanderer]

£80m!!!! It's just 4/5 of a Caicedo.

Of which we would probably get a third but any investment is good investment no matter the amount

 

[Sussex Wolf]

I doubt this is intended as money to invest in the team. I think it more likely partner investment for the stadium improvements they talked about in one of the video chats just over a year ago. Not the 50k Molineux, but the modest enhancements to the Steve Bull, and the expansion of the South Bank, they described. People may remember they had a job posting not long after for someone to help them work business cases. If so, it would be good news if there is more interest now that investment seems to be flowing more readily into the city.

 

[tonto]

I doubt this is intended as money to invest in the team. I think it more likely partner investment for the stadium improvements they talked about in one of the video chats just over a year ago. Not the 50k Molineux, but the modest enhancements to the Steve Bull, and the expansion of the South Bank, they described. People may remember they had a job posting not long after for someone to help them work business cases. If so, it would be good news if there is more interest now that investment seems to be flowing more readily into the city.

Now you know why they aye bothered with that pot of paint

 

[Mile End Wanderer]

Come on Steve Morgan £10 for 5% if you invest 30m again lol

 

[hollo]

Now you know why they aye bothered with that pot of paint

38,000 capacity is better than 30k.

 

[purplepault69]

Just wondering what would someone expect in return for £80million investment ?

 

[Wisdomwolf]

Just wondering what would someone expect in return for £80million investment ?

You’re buying into the brand and wider sports group. Wolves on its own isn’t sufficiently attractive to raise large sums without diluting owenership interest significantly. They don’t want to do this which explains why it’s taken longer than expected to get the right co-investment. Fans will hate to hear this but Fosun has huge leverage in esports not only in China, but also South Korea, USA, France and of special interest more recently Saudi.

 

[Mile End Wanderer]

Just wondering what would someone expect in return for £80million investment ?

25% of the club? It’s hard to see what’s in it for any investor. Anyone wrote to Elon Musk?

Joking aside maybe we should employ Moxey to get us this investment? He found us Fosun. He can find us further investors? MOXEY is a good businessman just keep him away from the football side of things.

 

[wwbug]

In the ups and downs of football business, we are in a bit of an up.
We have reduced our cost base and improved our product.
Strike while the irons are hot .

 

[Sussex Wolf]

Just wondering what would someone expect in return for £80million investment ?

Perhaps 50% of a new stadium company, which would own the stadium and surrounding land that Fosun acquired from Morgan, with Wolves owning the rest? Wolves don’t own the freehold of Molineux, but they have over a 900 year lease and they do own the land Morgan acquired while he was at Wolves. It might not be 50%, but some substantial %.

Ratcliffe is said to be considering something along these lines for Old Trafford to bring in other investors for a 1.5bn plan to rebuild or replace the stadium. Man Utd would pay a lease on the new Old Trafford, and eventually would acquire full ownership - basically like a commercial mortgage. The investors get their return through the lease payments.

 

[BlahBlah]

Ratcliffe is said to be considering something along these lines for Old Trafford to bring in other investors for a 1.5bn plan to rebuild or replace the stadium. Man Utd would pay a lease on the new Old Trafford, and eventually would acquire full ownership - basically like a commercial mortgage. The investors get their return through the lease payments.

Old Trafford is amazing now, it was once the dirtiest scummiest stadium in a dreary wasteland and there was no other reason to go anywhere near it except for a football match.
I remember my dad walking me through Salford where he was from thinking "what a dump, I'll feel safe when we get inside".
Having driven a lot of the investment into Salford Quays it's ironic that the stadium is now seen as not maximising its potential for the area it's situated in.

It was also the cheapest ground in the top league and one of the cheapest in the country to get admission to....I remember a seat ticket at Old Trafford was far cheaper than an equivalent seat at Wolves, so compared to the London clubs it must have seemed as cheap as chips.
I can clearly remember my Dad getting me a seat in the Main Stand for 1.40 when Wolves fans were paying that to stand on the South/North Bank, and the ticket situation was totally corrupt with thousands going missing every match, and families hanging onto season tickets in the names of people who were long dead and buried....the whole club was run like a giant corner shop.
The Glazers did pick a brilliant investment to make money from, but their time is coming to an end and I guess Ratcliffe is now looking at the next era with a completely fresh perspective.

 

[Axle]

£80m!!!! It's just 4/5 of a Caicedo.

And how many Tommy Doyles?

It’s not how much it’s what you do with it that counts

 

[HowfenWolf]

Thought esports was on its **** around the world?

 

[fleck1]

Been known for a while they want outside investors to come onboard, I guess with us seemingly on the up with a sniff at Europe they are getting the word back out there. More of an inviting investment than when we were sat bottom last Christmas.

 

[Bill McCai]

I was looking at some stuff on the Fosun website and it seems that Fosun Sports is 92.01% owned by Fosun. So I guess the Peak6 investment (2021) equated to 7.99%?

As mentioned on other threads, Fosun have been divesting assets for the best part of two years now (and are actively looking to sell stakes in Peak Re and Ageas) yet the share price is down 41% year on year and 63% over 5 years. The markets dont seem to have a great deal of confidence in the strategy? Maybe the market is wrong.

As for additional investors, I assume it will be along the lines of the Peak6 partnership. Though I'm not really sure it is that attractive to be honest (esports stuff included) - nobody has bitten yet since Peak6 came onboard.

 

[Sussex Wolf]

I was looking at some stuff on the Fosun website and it seems that Fosun Sports is 92.01% owned by Fosun. So I guess the Peak6 investment (2021) equated to 7.99%?

As mentioned on other threads, Fosun have been divesting assets for the best part of two years now (and are actively looking to sell stakes in Peak Re and Ageas) yet the share price is down 41% year on year and 63% over 5 years. The markets dont seem to have a great deal of confidence in the strategy? Maybe the market is wrong.

As for additional investors, I assume it will be along the lines of the Peak6 partnership. Though I'm not really sure it is that attractive to be honest (esports stuff included) - nobody has bitten yet since Peak6 came onboard.

Over the past year, the Chinese market as a whole is down 11%, while Fosun is down 45%. Doesn’t look like investors have great confidence in them at the moment.

 

[Bill McCai]

They offloaded £5bn worth of assets in 2022 alone, and more last year. But the market doesnt seem to have responded.

Fosun divestments near $5bn as debt pressure mounts

Chair Guo Guangchang negotiating $2bn loan from Chinese banks

www.ft.com

 

[Mile End Wanderer]

Over the past year, the Chinese market as a whole is down 11%, while Fosun is down 45%. Doesn’t look like investors have great confidence in them at the moment.

Chinese market is always up and down. Unfortunately

 

[Sussex Wolf]

Chinese market is always up and down. Unfortunately

It is, but my point is that Fosun are consistently underperforming the market in recent years.

 

[Mighty Thor]

Old Trafford is amazing now, it was once the dirtiest scummiest stadium in a dreary wasteland and there was no other reason to go anywhere near it except for a football match.
I remember my dad walking me through Salford where he was from thinking "what a dump, I'll feel safe when we get inside".
Having driven a lot of the investment into Salford Quays it's ironic that the stadium is now seen as not maximising its potential for the area it's situated in.

It was also the cheapest ground in the top league and one of the cheapest in the country to get admission to....I remember a seat ticket at Old Trafford was far cheaper than an equivalent seat at Wolves, so compared to the London clubs it must have seemed as cheap as chips.
I can clearly remember my Dad getting me a seat in the Main Stand for 1.40 when Wolves fans were paying that to stand on the South/North Bank, and the ticket situation was totally corrupt with thousands going missing every match, and families hanging onto season tickets in the names of people who were long dead and buried....the whole club was run like a giant corner shop.
The Glazers did pick a brilliant investment to make money from, but their time is coming to an end and I guess Ratcliffe is now looking at the next era with a completely fresh perspective.

Wembley is the same. Around the stadium is really nice now. Good job all round.

 

[Sussex Wolf]

The authorities have approved Radcliffe’s takeover at Utd.

Sir Jim Ratcliffe gains Premier League approval over Manchester United sale

Exclusive: Ratcliffe deal is now all-but-done after extraordinary saga which saw the Glazers first start exploring a sale in November 2022

www.telegraph.co.uk

 

[Scallywolf]

The authorities have approved Radcliffe’s takeover at Utd.

Sir Jim Ratcliffe gains Premier League approval over Manchester United sale

Exclusive: Ratcliffe deal is now all-but-done after extraordinary saga which saw the Glazers first start exploring a sale in November 2022

www.telegraph.co.uk

Don’t really understand what that has got to do with Wolves.

Unless there is a billionaire waiting in the wings somewhere, who will be accepted by Fosun.

It would be helpful if we had board members who have got money to invest and not people who turn up and just sit behind a table.

Who have we got in our board room? I understand we have Jeff, Robert Plant, John Gough, John Bowater, some people named John Makowiec and Christy Gu. What is the chance of them investing any serious money? Absolutely none!

To take us forward, we obviously need some serious investment and I just hope Fosun get it. We seem to be in a rut atm, with a small, over achieving squad in need of several additions.

It looks like we will still have to sell to buy, which will involve losing our best players and surviving only in the Premier League.

Fosun have took us to another level since they took over and I want them to take us to the next level. I know it costs serious money and I may be a bit over ambitious.

After being a life long supporter of our great club, I am allowed to dream ay I!

 

[Sussex Wolf]

Don’t really understand what that has got to do with Wolves.

Unless there is a billionaire waiting in the wings somewhere, who will be accepted by Fosun.

It would be helpful if we had board members who have got money to invest and not people who turn up and just sit behind a table.

Who have we got in our board room? I understand we have Jeff, Robert Plant, John Gough, John Bowater, some people named John Makowiec and Christy Gu. What is the chance of them investing any serious money? Absolutely none!

To take us forward, we obviously need some serious investment and I just hope Fosun get it. We seem to be in a rut atm, with a small, over achieving squad in need of several additions.

It looks like we will still have to sell to buy, which will involve losing our best players and surviving only in the Premier League.

Fosun have took us to another level since they took over and I want them to take us to the next level. I know it costs serious money and I may be a bit over ambitious.

After being a life long supporter of our great club, I am allowed to dream ay I!

Yeah. I only posted it there as there had been discussion on Ratcliffe’s plans for OT on that thread, I gusss as a counterpoint to Fosun still seeking involvement for us.

As it stands, we’re owned by Fosun, with a tiny amount by Peak6. Our board, like many, has members who have no ownership interest but are there to provide some different views and insights to Jeff and his team. Plenty of people take on non-exec positions at companies for the same reason.

Fundamentally, it would make little difference to the spend on the team in the near term whether Fosun opened their pockets again or not. We’re more constrained by FFP than owner investment when it comes to squad spending. Where it would make a difference, is in the stadium and infrastructure, where owners can spend without FFP limits, and which in the longer term, would help the team by growing revenue and hence lifting FFP constraints. That appears to have been the focus of Fosun’s search for investors for some time.

Man Utd are in a very different position. They make money hand over fist, all of which could be invested in their squad without breaking FFP rules. But the Glazers have used them as an ATM since they bought them, sucking out over a billion pounds over the years to pay for the loans they used to buy Man Utd, and in turn, fund their other investments. Having Ratcliffe come in will bring that to an end, and so not only will Man Utd now have all their revenue available to reinvest, but also will be able to go up to the 115m debt limit if needed - since the Glazers refused to invest, they were capped at the lower 15m debt limit. Hence why Ratcliffe poached the guy from Man City to oversee how they spend this extra money, because clearly he can see how much they’ve wasted in the past.

 

[Scallywolf]

Yeah. I only posted it there as there had been discussion on Ratcliffe’s plans for OT on that thread, I gusss as a counterpoint to Fosun still seeking involvement for us.

As it stands, we’re owned by Fosun, with a tiny amount by Peak6. Our board, like many, has members who have no ownership interest but are there to provide some different views and insights to Jeff and his team. Plenty of people take on non-exec positions at companies for the same reason.

Fundamentally, it would make little difference to the spend on the team in the near term whether Fosun opened their pockets again or not. We’re more constrained by FFP than owner investment when it comes to squad spending. Where it would make a difference, is in the stadium and infrastructure, where owners can spend without FFP limits, and which in the longer term, would help the team by growing revenue and hence lifting FFP constraints. That appears to have been the focus of Fosun’s search for investors for some time.

Man Utd are in a very different position. They make money hand over fist, all of which could be invested in their squad without breaking FFP rules. But the Glazers have used them as an ATM since they bought them, sucking out over a billion pounds over the years to pay for the loans they used to buy Man Utd, and in turn, fund their other investments. Having Ratcliffe come in will bring that to an end, and so not only will Man Utd now have all their revenue available to reinvest, but also will be able to go up to the 115m debt limit if needed - since the Glazers refused to invest, they were capped at the lower 15m debt limit. Hence why Ratcliffe poached the guy from Man City to oversee how they spend this extra money, because clearly he can see how much they’ve wasted in the past.

Thanks Sussex.

I’m probably a bit envious, but it’s good to dream after all these years.

 

[WickedWolfie]

Yeah. I only posted it there as there had been discussion on Ratcliffe’s plans for OT on that thread, I gusss as a counterpoint to Fosun still seeking involvement for us.

As it stands, we’re owned by Fosun, with a tiny amount by Peak6. Our board, like many, has members who have no ownership interest but are there to provide some different views and insights to Jeff and his team. Plenty of people take on non-exec positions at companies for the same reason.

Fundamentally, it would make little difference to the spend on the team in the near term whether Fosun opened their pockets again or not. We’re more constrained by FFP than owner investment when it comes to squad spending. Where it would make a difference, is in the stadium and infrastructure, where owners can spend without FFP limits, and which in the longer term, would help the team by growing revenue and hence lifting FFP constraints. That appears to have been the focus of Fosun’s search for investors for some time.

Man Utd are in a very different position. They make money hand over fist, all of which could be invested in their squad without breaking FFP rules. But the Glazers have used them as an ATM since they bought them, sucking out over a billion pounds over the years to pay for the loans they used to buy Man Utd, and in turn, fund their other investments. Having Ratcliffe come in will bring that to an end, and so not only will Man Utd now have all their revenue available to reinvest, but also will be able to go up to the 115m debt limit if needed - since the Glazers refused to invest, they were capped at the lower 15m debt limit. Hence why Ratcliffe poached the guy from Man City to oversee how they spend this extra money, because clearly he can see how much they’ve wasted in the past.

As l understood it the Glazers will still own 75%. Certainly the debt that they loaded on the club will still be there. As such what's to stop them, unless Ratcliffe has disproportionate voting rights, simply carrying right on in the same old way? Ratcliffe may well, when you look at some of what he's done in Ineos in terms of workforce T&C's etc, merely wish to get his own nose in the trough.

 

[WolfLing]

As l understood it the Glaziers will still own 75%. Certainly the dent that they loaded on the club will still be there. As such what's to stop them, unless Radcliffe has disproportionate voting rights, simply carrying right on in the same old way? Ratcliffe may well, when you look at some of what he's done in Ineos in terms of workforce T&C's etc, merely wish to get his own nose in the trough.

I think the whole reason they've brought him in is to improve the football side of their business. They've tried their way, it hasn't worked, so they are effectively outsourcing that part to Ineos, who have experience on that side of things.

 

[Sussex Wolf]

As l understood it the Glaziers will still own 75%. Certainly the debt that they loaded on the club will still be there. As such what's to stop them, unless Radcliffe has disproportionate voting rights, simply carrying right on in the same old way? Ratcliffe may well, when you look at some of what he's done in Ineos in terms of workforce T&C's etc, merely wish to get his own nose in the trough.

I think under the agreement, Ratcliffe has responsibility for football related activities, and it was also extended to some of the commercial side too, as he has agreed to inject another 300m+ into the rebuilding of OT. Reports yesterday that Ratcliffe will poach Ashworth from Newcastle to become their director of football.

You’re right that by still owning 75%, the Glazers could continue to milk the club. But Ratcliffe is no idiot, and so I assume part of the agreement he made to buy 25% and takeover the football side, the Glazers will have agreed to stop tapping United’s revenue. In principle, Ratcliffe’s purchase should be enough to pay off those original loans the Glazers used, leaving them debt free with 75% of what should be an increasingly valuable club.

 

[Sussex Wolf]

I think the whole reason they've brought him in is to improve the football side of their business. They've tried their way, it hasn't worked, so they are effectively outsourcing that part to Ineos, who have experience on that side of things.

I think even wider than that. Looks like the Glazers will essentially step back from management of the club as a whole, while retaining ultimate control as the majority owners. However I also expect this will be more a transitional step, with Ratcliffe / Ineos ultimately buying more of the club as time progresses, and ultimately becoming the majority owner. It’s reported there are parts to the agreement to cover scenarios where Ratcliffe buys more of the club, or if the Glazers decide to sell the club in its entirety to another buyer.

Manchester United inform staff of changes to Sir Jim Ratcliffe’s responsibilities as minority stakeholder

Read this news on OneFootball.

onefootball.com

 

[WickedWolfie]

I think even wider than that. Looks like the Glazers will essentially step back from management of the club as a whole, while retaining ultimate control as the majority owners. However I also expect this will be more a transitional step, with Ratcliffe / Ineos ultimately buying more of the club as time progresses, and ultimately becoming the majority owner. It’s reported there are parts to the agreement to cover scenarios where Ratcliffe buys more of the club, or if the Glazers decide to sell the club in its entirety to another buyer.

Manchester United inform staff of changes to Sir Jim Ratcliffe’s responsibilities as minority stakeholder

Read this news on OneFootball.

onefootball.com

That makes sense. For sure Ratcliffe will have taken steps to protect his interests.

 

[Starsky]

Investment needed asap.

Felt sorry for the manager/players today. Crunch game and our financial mis-management has left them with no support whatsoever, despite an excellent season from all of them.

Really hoping for news before the season end. Fosun are now a hindrance to us.

 

[Perton Wolf]

Can't come soon enough.

Actually surprised we're still part of FOSUN's portfolio. Obviously got no ambition to invest in the stadium or progress the club any further. Wouldn't it make sense to sell now? If the right offer came along. They'd surely fetch a lot more than what they paid and even the investment since.

 

[WorcesterWanderer]

Anybody who wants to step in and get GON the players he needs- and deserves- will be given a heroes' welcome by our supporters.