Any further penalties will be applied against Rangers 2 when Rangers 3 is created and admitted to the SPL

What is hard to understand, if the newco is run as a proper buisness entity then it should be able to keep alive the old Rangers intact with trickle funds!

Way things are going will need more movies than Harry Potter to cover the whole story

Celtic fans pretending to be Dun U fans

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Its actually very simple.

He is buying Rangers the Club (all the assets) from the debt ridden company.

The administrators are using their powers to state that the £11.2m on offer is fair price for the assets. The creditors cannot overrule the admins on this, so the OldCo now has £11.2m but no Rangers. This is a play on the basic pre-pack scenario.

Many people will believe that this is some kind of stitch up by the admins, but its not. The administrators have been in charge for months, and during this period, they will have had to entertain offers for assets. If someone had come in at this stage and offered say £20m for Ibrox, they would have had to accept it. No bids have come in.

The true price of the assets is £11.2m, as no-one else is willing to pay any more.

Rangers are now contained in a new company with all the assets and history. There will be an agreement either to get the league share moved from the OldCo to the NewCo, and remain in the SPL, for which we will be sanctioned, or we will get a new one and start in the 3rd division.

The creditors can either then choose a CVA, and get a share of £11.2m, or push for liquidation of the oldco, which will just eat into the £11.2m and give them a lesser return.

I doubt they will ever agree a CVA, but who knows.

End result, we will probably end up in the SPL without a CVA, but with a penalty, probably less than the one first proposed by the SPL.

Supported DU for the last 27 years. Why is when someone asks a legitimate question which teh rangers supportes do not agree with we are considered to be Celtic fans. remember, without the other teams in the league the SPL is nothing so you need us as well

Ginger,

Not quite sunshine.

The history is moving with the club to the NewCo.

Its what Leeds did to keep their history.

"I am not a intelligent man, but Rangers will be in the SPL next season"

Keny Shiels 05/05/2012

Thanks Mitre, for a sensible answer explaining it to a numpty like me

No worries mate,

Your not a numpty at all, just not wasted nearly as much time as me researching insolvency laws due to this wole period!

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Kenny
Life is like a box of chocolates

Ginger,

Aye, but im right and you know it. You just dont want to admit it.

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Ginger,

You think im stupid? If im wrong, ill be harder to track down than Maddie McCann!

Mitre - added to that pot, according to D&P are the proceeds of any successful court action against Whyte's lawyers.

So the total "pot" for a CVA to be agreed from could vary, as of course could the debt, subject to the result of the BTC.

We could be looking at:

Pot of £11.2m to settle either £55m or £134m
Pot of £36.2m to settle either £55m or £134m

or somewhere in between all that.

But yes, the explanation of oldco holding all the receipts from the sale of the club plus any monies from court actions is basically what the CVA proposal would be made from.

Yea DC,

Your spot on, thats how the pot will be constructed.

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