Day 432522. No sign of Newcastle’s takeover being completed.
It is a saga that refuses to end, with the Magpies still owned by Mike Ashley despite a deal being in place for his departure.
PCP Capital Partners are close to completing a deal worth around £300million to buy the club, with the Premier League conducting their tests before approving the deal.
This has been the biggest stumbling block, with multiple complaints coming from all angles to try and block the takeover.
Timing has been one of the reasons for the delay, but it is also a reason why the deal has got this far. The timing of PCP Capital Partner’s takeover attempt has been both a blessing and a curse.
The fact that the one time Newcastle need something from the Premier League they’re extremely busy with one of their biggest challenges ever is very ‘Newcastle’.
The takeover saga has coincided with the Premier League’s postponement due to the global health crisis. Football stopped. Workers all over the country were sent home to do their job or furloughed.
By the time the deal was at the owners’ and directors’ test, the Premier League were trying to figure out what to do with the 2019/20 season.
Known as ‘project restart’, the Premier League have been working on plans to get football back underway in England, which is by no means easy.
From testing to training, TV rights to venues, ‘project restart’ has been and still is a lengthy process.
All the while, Newcastle’s owners’ and directors’ test has been going on in the background, where sadly it isn’t a priority.
While it’s the only thing that matters to Toon fans, the Premier League have bigger things going on.
The complaints surrounding the takeover have been pretty much daily, but I don’t think the timing of the deal makes any difference.
Regardless of when PCP Capital Partners tried to buy Newcastle, there would have been outrage due to the Saudi Arabian involvement.
While there isn’t a lot else to talk about in the world of football, this deal still would have been heavily scrutinised by the media. Their scrutiny just seems to be heightened due to nothing much else going on.
But the timing of the deal isn’t all bad.
In fact, without the current circumstances, the deal might not have got this far.
The club was initially valued at around £350million, but with the financial implications of Covid-19, the deal is now closer to £300million.
Share prices for Ashley’s Fraser Group dropped dramatically in March due to the ongoing situation, meaning the Sports Direct man could do with a cash injection. That’s where the takeover comes in.
Had all this not happened, the takeover may not be this close to completion.
And with the Premier League postponement, it will hopefully allow Newcastle’s new owners to be in place for the summer transfer window.
If the Premier League had continued, the deal might not have picked up pace until the season had reached its conclusion. Then we would have to wait for the owners’ and directors’ test to be completed, eating into the new owners’ time to invest before the new season.
Providing everything goes as planned for PCP, they will be in place long before the new season starts. They’ll be able to assess the situation, take their time and not make any rushed decisions.
In that sense, the current Newcastle takeover talk couldn’t have come at a better time. But fingers crossed it reaches a conclusion soon.