Finance expert baffled as West Brom inform shareholders of yet another new loan
West Brom are set to take out a loan from MSD Holdings although the specific details of the loan are yet to be disclosed.
As reported by Chris Lepkowski on Thursday morning (22 December), a letter has been sent to Albion shareholders stating the club’s intention to take out the loan from Michael Dell’s MSD Holdings.
Football finance expert Kieran Maguire is baffled by the news when so much money is already owed to the Black Country club by majority shareholding and chairman Guochuan Lai.
“West Brom look set to borrow from Michael Dell’s MSD Holdings. Amount and interest rate unknown,” Maguire wrote via his personal Twitter account Thursday morning (22 December).
“Seems odd the club is borrowing money when it recently lent millions to the club owner which is due for repayment at end of month.
This is bad
Lai already owes the infamous Jeremy Peace loan he inherited while he should also be set to repay £5million to the club after taking out a £4.95million last year.
He’s already missed one repayment date with that so you can understand why supporters aren’t optimistic about the Chinese businessman meeting the current 31 December deadline.
Ron Gourlay has continually said that the loan will be repaid in time – so why this new loan from MSD Holdings?
If Lai is going to put £5million back into the Albion by the end of next week, why does this new loan need to be taken out?
Are they planning a massive January splurge on new players? Or is Lai already planning for the fact he’s not going to repay this loan but is weirdly taking out a new one to cover for it?
Either way, it stinks.
Maguire never had to tweet that much about West Brom.
He’s someone who has large followings of supporters at Bury, Macclesfield, Portsmouth, Charlton, Derby and so on.
Sorry, Kieran. But the increase in West Brom fans following you isn’t a good thing for our once-great club.
In other West Brom news, a finance podcaster has sent a message to lawyers about Albion’s latest financial statement.