Southend United - Shares

[SS3]

Hi.

I have been doing a little thinking and wanted to understand what 'Shares' of Southend United are actually in circulation and what the Shareholder actually owns a Share of. I know that may seem a little daft, and it may be as simple as the Shares are to own a piece (of capital) of Southend United Football Club. But I just wanted to fully understand this.

If im correct there was a share offer in 2008 and there was also one before that as well. Does anyone have any of these and if so, what capital does this actually entitle you to what do you actually own? Are they ordinary shares or preference shares etc, any information you can provide would be useful.

Thanks

 

[chapperzUK]

I think they are ordinary shares, not 100% sure on that. Also believe that they were sold at around £50 a pop and people were limited to 1 each IIRC.

 

[SS3]

Thanks Chapperz - This must have been prior to 2008 as the offer was £6 per (25p ordianry) share and a minimum of 20 per person.

Anyone else with more infomation? it would be appreciated.

 

[chapperzUK]

Wouldn't be surprised if the figures I quotes were wrong, 5 years is a long time for my awful memory!

 

[THE SEVENTIES NORTH BANK]

This is taken from the Echo 5/2/2008.

SOUTHEND United boss Ron Martin is offering fans a financial stake in the club - by issuing almost 300,000 shares in a bid to raise £1.7million.

The Blues chairman has promised the fans' cash injection will "build a club of which the town will be rightly proud".

In a letter to supporters on United's mailing list, Mr Martin is offering 296,666 ordinary 25p shares for £6 each - enough to raise just under £1.7m, after expenses.

Fans will be asked to buy them, partly in the hope they will eventually be worth more than the asking price - and partly in order to feel they have a tangible stake in the club.


The money will be reinvested in club facilities and strengthening its squad.

Mr Martin declined to speak to the Echo about the scheme, but talks directly to fans in the letter, which accompanies his glossy full-colour share prospectus brochure.

The letter says: "Since taking day-to-day control of the club in 2002, I have consistently said there would not be an issue of further shares until such time as real benefits could be seen both on and off the pitch.

"Over the past five years, Southend United Football Club has made considerable progress. Throughout this period, the club's business plan has centred around a new stadium which I'm convinced will act as a springboard to take us to the next level and maintain a position in the Champion-ship from which to grow."
A little more than 626,000 ordinary shares in the club have already been issued - with Mr Martin owning more than 76 per cent of these.

Fans and club officials are still eagerly awaiting the Government's decision on a new 22,000-seater stadium. This is now expected in the next few weeks.

A two-week hearing was held in October to examine the club's plans to move from Roots Hall to a new site at Fossetts Farm.

As well as a new stadium and training facilities, the proposals include flats, shops and a hotel.

Southend fans have welcomed the opportunity to buy into their beloved club.

Paul Yeomanson, 46, is on the board of supporters group, the Shrimpers Trust.

He said: "I'm not speaking for the trust, but personally, I think it's a great idea.

"I'll be buying some - not as a way of making money but just to invest in the team.

"I think it's really good for the fans and as a shareholder it will mean you have the chance to attend the annual general meeting and things like that."

 

[tottenham541]

the shares are worth jack shoot, as i have some, just gives you the right to have first dibs on tickets along with season card holders:sad:

 

[chapperzUK]

Fans will be asked to buy them, partly in the hope they will eventually be worth more than the asking price - and partly in order to feel they have a tangible stake in the club.

:hilarious:

Oh that is brilliant!

 

[THE SEVENTIES NORTH BANK]

This is taken from the Echo 5/2/2008.

SOUTHEND United boss Ron Martin is offering fans a financial stake in the club - by issuing almost 300,000 shares in a bid to raise £1.7million.

The Blues chairman has promised the fans' cash injection will "build a club of which the town will be rightly proud".

In a letter to supporters on United's mailing list, Mr Martin is offering 296,666 ordinary 25p shares for £6 each - enough to raise just under £1.7m, after expenses.

Fans will be asked to buy them, partly in the hope they will eventually be worth more than the asking price - and partly in order to feel they have a tangible stake in the club.


The money will be reinvested in club facilities and strengthening its squad.

Mr Martin declined to speak to the Echo about the scheme, but talks directly to fans in the letter, which accompanies his glossy full-colour share prospectus brochure.

The letter says: "Since taking day-to-day control of the club in 2002, I have consistently said there would not be an issue of further shares until such time as real benefits could be seen both on and off the pitch.

"Over the past five years, Southend United Football Club has made considerable progress. Throughout this period, the club's business plan has centred around a new stadium which I'm convinced will act as a springboard to take us to the next level and maintain a position in the Champion-ship from which to grow."
A little more than 626,000 ordinary shares in the club have already been issued - with Mr Martin owning more than 76 per cent of these.

Fans and club officials are still eagerly awaiting the Government's decision on a new 22,000-seater stadium. This is now expected in the next few weeks.

A two-week hearing was held in October to examine the club's plans to move from Roots Hall to a new site at Fossetts Farm.

As well as a new stadium and training facilities, the proposals include flats, shops and a hotel.

Southend fans have welcomed the opportunity to buy into their beloved club.

Paul Yeomanson, 46, is on the board of supporters group, the Shrimpers Trust.

He said: "I'm not speaking for the trust, but personally, I think it's a great idea.

"I'll be buying some - not as a way of making money but just to invest in the team.

"I think it's really good for the fans and as a shareholder it will mean you have the chance to attend the annual general meeting and things like that."

Haha. Laughable looking back. Another 1.7 Million that went into the Black hole.

 

[Up the Shrimpers]

Haha. Laughable looking back. Another 1.7 Million that went into the Black hole.

The share issue never raised anywhere near 1.7m I think it was nearer £300k it was just before we heard about the first lot of financial troubles and there was still a lot of feel good factor about the club.

 

[londonblue]

Fans will be asked to buy them, partly in the hope they will eventually be worth more than the asking price - and partly in order to feel they have a tangible stake in the club.

:hilarious:

Oh that is brilliant!

In fairness that seems to be The Echo talking. The prospectus made it very clear you were unlikely to see the money again.

 

[chapperzUK]

In fairness that seems to be The Echo talking. The prospectus made it very clear you were unlikely to see the money again.

Ron being truthful? Never! :winking:

 

[londonblue]

Ron being truthful? Never! :winking:

Not Ron, just the prospectus.

 

[Razam]

This is taken from the Echo 5/2/2008.

SOUTHEND United boss Ron Martin is offering fans a financial stake in the club......

In a letter to supporters on United's mailing list, Mr Martin is offering 296,666 ordinary 25p shares for £6 each - enough to raise just under £1.7m, after expenses.......

A little more than 626,000 ordinary shares in the club have already been issued - with Mr Martin owning more than 76 per cent of these......

I have little to no knowledge of how companies are valued based on shares, (or stocks & shares generally). Please correct me if I have worked this out wrong...

Total number of shares sold: 296,666 + 626,000 = 922,666.
Total value: 922,666 shares x ordinary value fo 25p = £230,666.50p
Total value: 922,666 shares x sale value fo £6 = £5,535,996

So does this mean that in in Feb 2008 the club was worth £231k, but Ron placed a value of £5.5m on it?
Or have I got it completely wrong?

 

[DTS]

I have got some as has Dad. I think I paid £250 each (x2) - may as well have ****ed the money up the wall.

 

[Yorkshire Blue]

I have little to no knowledge of how companies are valued based on shares, (or stocks & shares generally). Please correct me if I have worked this out wrong...

Total number of shares sold: 296,666 + 626,000 = 922,666.
Total value: 922,666 shares x ordinary value fo 25p = £230,666.50p
Total value: 922,666 shares x sale value fo £6 = £5,535,996

So does this mean that in in Feb 2008 the club was worth £231k, but Ron placed a value of £5.5m on it?
Or have I got it completely wrong?

The 25p is a nominal value. It doesn't mean they were worth 25p each. It could of easily been 1p or £1 each.

I think the Royal Mail shares were given a nominal value of 1p but the government sold them at £3.30 each.

It does mean that Ron valued SUFC at £5.5m though. I don't think that offer was as well taken up as Royal Mail.

I have got some as has Dad. I think I paid £250 each (x2) - may as well have ****ed the money up the wall.

That reminds me, I need to book an appointment with you to get some financial advice.