Rangers ‘investment plans’ revealed after new multi-million twist at Ibrox
Rangers have reasons to be positive after a new multi-million development behind the scenes at Ibrox, Dan Plumley has said.
There has been a lot of talk about a takeover at Rangers in recent days after it emerged that a consortium including Paraag Marathe of the 49ers Enterprises is in advanced talks over acquiring control of the club.
In another update that perhaps went under the radar, Kieran Maguire revealed last Wednesday (19 February) that the Ibrox outfit have issued 18,000,000 shares worth 20p each, injecting another £3.6m into the club.
Dan Plumley shares potential Rangers plans
Sharing a Companies House document issued, Maguire initially claimed that Rangers have issued new shares worth a whopping £18m.
However, it then emerged that there was an error, with Rangers issuing another one that clarified they in fact raised £3.6m from 18 million shares.
Nevertheless, Plumley has explained that the issuing of new shares is a good thing for the Scottish Premiership heavyweights, although there are multiple ways they could use the money.
“I think for any club there are a few purposes. You don’t always know, but typically these things are done for a few reasons”, the finance expert exclusively told Ibrox News.
“One is for actual working capital, so it’s money put in to do the day-to-day stuff if you need to do that.
“It could be for future investment plans, it could be more of a longer-term project, it could be infrastructure, academy, youth development-related, it could be linked to the women’s set-up.
“It could also be to convert some loans into equity or things like that as well, so it could be kind of on the balance sheet side of things.
Gers need new investment
“We never know, but principally speaking, issuing new shares is a good thing, and hopefully, then you’re looking at what the purpose of it is for.
“Is it either for the day-to-day or for the longer term, but generally speaking, it’s a good thing to see a share issue.”
While the news of £3.6m being injected into the club is a good thing, there is no denying that Rangers need much more than that to start financially competing with Celtic again.
That is why it is imperative that the proposed takeover by 49ers Enterprises goes through as soon as possible.