NEWCASTLE HIT TROUBLE

Credit crunch is wrecking Mike Ashley's plans to sell

11/10/2008

MIKE ASHLEY - problems

NEWCASTLE are directly affected by the credit crunch as controversial owner Mike Ashley desperately tries to find a buyer for the club.

The club is valued at around £300million but carries debt of £68m.

PROBLEM: Billionaire Ashley wants out after the Toon Army revolted in the wake of the exit of Kevin Keegan.

London-based Ashley has cleared much of the club's debt but wasn't prepared to plough more of his own fortune into the club to finance big money signings in the summer. He later claimed Keegan's transfer targets had been completely unrealistic.

SOLUTION: Ashley has hired investment banker and former Football League chairman Keith Harris to arrange the sale of the club.

So far there has been firm interest from consortia in South Africa and Nigeria but both have missed the deadline to make their bids.

It means Ashley may have to wait until next summer before he can find a suitable buyer. And in the meantime he may be forced to try and reduce the wage bill by offloading high earners like Alan Smith and Joey Barton.

Your comments

This article has 4 comments

Time to get real chaps. Why should Mike Ashley have to "face the fans"? Clearly he is going but why should he take a sizeable loss?

Selling a car today is very different from selling it two months ago. The sort of buyers required (with big money) just don't exist, their wealth is "tied up" in assets they would borrow against. Assets are looking shakey just now so time to accept Ashley will be with us for a while and get behind Joe Kinnear and the team.

By Barcode 2.. Posted October 12 2008 at 9:26 AM.

Ashley had better of sold up as promised by November are he will have the fans to deal with again, Ashley has promised alot and delived little at Newcastle united and yes the debt he cleared was for the rebuilding of the stadium, he just wants to stay untill the summer to start taking next season tickets direct debits in Jan.Ashley sell up at what you have spent, NOW,Andy.

By Andrew.. Posted October 12 2008 at 8:14 AM.

i've paid this season for my season ticket but it will be my last under ashley how many more will be thinking the same .ashley out and take the poison dwafth with you

By tony cottiss.. Posted October 12 2008 at 7:06 AM.

Ashley has recieved 2yrs sky tv money, shirt sales, 3yr season ticket plan money (on a promise of wow signings) countless sponsorship and corporate deals(on false promises) and so has spent Sweet FA (the debt ashley paid off was the mortgage on the ground which was against season ticket sales, he was lining us up for a debt free sale - going under my horse 16th richest club in the world)
Arabs have said (talk sport) if he drops his price he will sell nufc in two hours.
Ashley Out!

By Kev.. Posted October 12 2008 at 1:33 AM.

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