Date: 7th June 2006 at 7:53pm
Written by:

Following the sale of the land, do we now assume that we are being sold for £7million less?

It may be good news that the Serpentine land has been sold, despite the fact it has gone far far cheaper than Doug said it was worth (someone finally convinced him that luxury houses and apartments wouldn’t be appropriate for that part of Aston with the M5 running above it?), especially for Doug and the board as it will help ease the shock of the interim report.

But now we have sold part of the land bank that Doug has valued so highly over the years (and credit where credit is due, buying and selling the land at a profit is good business) does that now mean that Villa are no longer being pitched at £64million but that they will be available to potential suitors (if indeed anyone ever comes forward) for £57million?

Or is that not how Dougeconomics work?

 

11 Replies to “Villa For Sale For Less?”

  • M5? That’s some car park! As the M5 is several miles away surely we should have got more than £7m for a piece of land that big?! ;o)

  • It’s not how any economics works! When the sale price for this land is received it goes into the company and will be used to reduce bank overdraft or buy other assets, maybe even players! So if the sale price for 100% of the shares had built into it that

  • strange the sale valuation is based on an expected valuation of the clubs assets.
    If the assets about to be sold were valued at 7 million you are right otherwise what you say is pure *********, especially if as it seems the land was valued much higher in

  • Not sure I agree with your assesment there moonstone, the value of AV Plc includes the land, if that land is sold, it will no longer be part of the assets. Of course the asset will still be there but in terms of cash rather than land, and therefore the

  • Just a little footnote. If the board decide to disperse funds by way of dividends, to the shareholders (highly unlikely, but possible) the value of the club for sale in one way decreases, due to the club having fewer assets, but in another way increases

  • Lads you are looking at this the wrong way, he sold it for 7m so he could give the dreary one some buying power, he heard Damian Duff might leave Russia and as he is going to sell Barry to Spurs wants to show he still has ambition????

  • The crux of the matter is the “potential” value of the land. It was valued at only 100k on the balance sheet, but was clearly worth more than that. The same could be said about Aston Villa plc. If the total share issue was only valued at (for example)

  • Personally I don’t think that this is good news for the Corner’s bid. Remember that property development is their business. Do you honestly beleive that Doug would get a better deal or make better use of the land than a familiy that has made over £1 bil

  • Still £10m over the market cap, u got to be mad to buy it for that price. Hardly a lucrative club at the moment are we!

  • In theory the money from the sale goes into the club so the overall value of the club would be the same. If the land was valued at 100k then the value of the club should go up by 7m. However the money won’t go to the club. Where’s all the money gone Doug?

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