Finance expert: ‘Disastrous’ West Brom turn of events on the cards as owner Guochuan Lai secures new loan
Martin Calladine has reacted to reports stating Chinese owner Guochuan Lai has secured a new £20million loan, insisting it could have “disastrous” consequences for the long-term future of West Brom football club.
Reports in The Times [3 January] have indicated that Lai has taken out a new high-interest £20 million loan, having missed the repayment deadline for the money he had borrowed for one of his other companies.
This comes after the Chinese owner had promised that the £4.95million loan, plus interest, will be paid back early in 2023. Thousands of fans have made their voices known on Monday night outside The Hawthorns as part of a planned demonstration [2 January] organised by Action for Albion.
And now latest reports emerging of a new £20 million loan could have further damaging repercussions for the club, and finance expert and football author Calladine expressed his dismay at the development, tweeting: “None of this is in the best interests of WBA. The owner has mortgaged the ground in the desperate hope the club gets promoted and, presumably, he can then sell the club and recoup his investment. If this irresponsible gamble doesn’t come off, the consequences will be disastrous.”
Where does the club go from here?
If the latest developments are to be believed, it could certainly be yet another slap in the face of the Albion faithful. In the midst of all the protests and unrest, it seems as if Lai isn’t taking any of it into consideration.
It almost feels like a game to him, that he can gamble away with the club finances and hope and pray he gets to recoup his investment with interest.
Where is the transparency? What kind of scheme is Lai running? Does he not care about the club or the supporters who continually pour money into the business? These fans deserve answers as to where their money is going.
It is no wonder they are in complete disarray, and more crucially, much of the good work being done on the pitch in recent weeks has been undermined by Lai’s continued incompetence. How the club moves on from here is incredibly uncertain, because there may not be any future left at the club if Lai continues to gamble with these excessive loans.
It makes Carlos Corberan’s job at the helm that much harder with promotion back to the Premier League an increasing expectation in order to keep the club afloat.
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