Sky Takes Majority Stake In At The Races Manohar Persuaded To Stay At ICC Helm Portsmouth CEO Warns Fans ECB Asks Counties To Vote For Change Australian Rugby Faces Cash Crunch Executive Transactions Emma Lax Creates We Are Disrupt Everton's New Stadium Could Host CWG Top Premier League Clubs Plot Reform Ritchie Backs Condensed Six Nations
SBD Global/October 5, 2012/FinancePrint All
Australian Football League club Brisbane Lions are set to post a loss of more than A$2M ($2.1M) in '12, as the club "continues to battle the impact of on-field results and a tough market," according to Jake Niall of THE AGE. The Lions, who lost nearly $1.9M in '11, will announce a deficit greater than $2M for this year when they reveal their final result to members later this month. Brisbane CEO Malcolm Holmes would not specify the size of the club's loss this year, but said that it would "continue to take a long-term outlook in decisions to position itself as a sustainable force in the future." Holmes said that the tough market in Queensland, the impact of the floods on the economy and the fixture had "all played a role in the Lions' financial loss." He added that on-field results were "paramount in a developing market." Holmes: ''In this market, it [on field results] drives it. It's everything. An emerging market, it drives it. We're aware of that" (THE AGE, 10/4).
Surfwear company Billabong "hosed down rumors that U.S. private equity fund TPG was ready to walk away from talks on a proposed A$694M ($710M) takeover after a heavy share sell-off slashed its market value by almost a quarter," according to Blair Speedy of THE AUSTRALIAN. However, more than six weeks after commencing due diligence scrutiny of Billabong's accounts, TPG "still has unresolved concerns that could scuttle the takeover." The announcement came after Billabong shares had plunged as much as A$0.3, or 23%, to a three-month low of A$1.01 as rumours of TPG's possible withdrawal circulated in the market. They were trading at A$1.07 when trading was halted, meaning A$150M "had been wiped off the market capitalization." While the source of the rumors was uncertain, analysts said that "the biggest beneficiary was TPG, with the share price fall demonstrating the company's fate if a deal cannot be agreed to" (THE AUSTRALIAN, 10/5).