Update this evening from The Celtic Trust who report that their share proposal to the Celtic Board has been rejected. The Celtic Trust state that Celtic believe added value has been delivered by way of streaming 2 additional live matches, 1 live cup match, 2 delayed UEFA matches & virtual programmes.
The Trust had argued that a providing shares to season ticket holders instead of offering rebates on last season. This they believed would have allowed Celtic to bring all the supporters back onside for next season without taking any money out of the club.
What it would have done however is dilute the current shareholders stakes in the club, something that the likes of Dermot Desmond would not have been keen on.
While we can see both sides in this, and frankly like many supporters, agree with neither but recognise that both have a point, then surely there should be some kind of compromise in the interests of the greater good and ‘tooling up’ for next season’s battle?
“The Celtic Trust does not agree that any value has been provided which would meet the terms of the commitments made in June 2020 and we are also clear that no meaningful consultation with fans has taken place,” the Trust stated.
UPDATE: The Celtic Board have rejected the share proposal put to them by The Celtic Trust.
The Club believe added value has been delivered by way of streaming 2 additional live matches, 1 live cup match, 2 delayed UEFA matches & virtual programmes. https://t.co/udtX1S3bxe pic.twitter.com/UuDCNp0XWa
— Celtic Trust (@TheCelticTrust) May 25, 2021
Here is the Update from The Celtic Trust…
The Celtic Trust – Shares for value proposal update
The Celtic PLC Board, in the form of the Company Secretary, has responded to the formal proposal put by the Celtic Trust to them to offer shares to 2020-21 season ticket holders by way of meeting their obligation to provide added value as per their statement dated 23/6/2020 [23 June Celtic statement]. The letter acknowledged receipt of a copy of the advice provided to the SFA regarding the contractual issues around season tickets during the pandemic from the Society of Chief Officers of Trading Standards in Scotland [ST contract advice from Trading Standards].
The letter contained a rejection of the proposal and the reason given was that the Trust had proposed a value for the issue which would not be possible under the existing authority (derived from a 2020 PLC AGM resolution) to issue shares on a non-preemptive rights basis. Moreover, they indicated that they had taken advice and that the cost of the management of this process would be in excess of £1,000,000. The entire premise of the rejection however, is false, given that there was no value indicated by the Trust in the formal proposal. Had they discussed the matter with us in February or March (something they explicitly refused to do) this could have been discussed and a more modest but meaningful value could have been agreed.
The Trust has written to the PLC expressing our disappointment at their refusal to consider the proposal in a genuine and meaningful way and the extremely discourteous way they have treated the Celtic Trust (and, by extension, all of its’ members and the members of other organisations which supported this proposal) by refusing to meet with us to discuss this proposal at any time between February and late May before rejecting it outright.
In the letter, the Company Secretary, expressed the position of the PLC Board that they had already provided added value and were continuing to discuss ways to provide additional value. The added value they say they have provided consists of a stream for a league cup game, two friendlies, two delayed European games (after they’d finished) and online programmes. The Celtic Trust does not agree that any value has been provided which would meet the terms of the commitments made in June 2020 and we are also clear that no meaningful consultation has taken place given that no alternative proposals have been put to anyone by the PLC Board.
We are extremely disappointed that the PLC Board has behaved in such a disrespectful and uncooperative way and we await their decision on how they will meet their obligations under the June 2020 statement. We believe the Board have adopted an incredibly risky strategy which could have serious repercussions for the financial health of the club. However, it remains to be seen whether this gamble will pay off in terms of season ticket renewals or not.
Some Supporter Reaction…
“This board ain’t fit for purpose,they don’t get Celtic,they’ve been hiding for years now,they don’t think they’ve done anything wrong this season and with McKay in the door over 4 weeks now,is he just another puppet or has Lawwell brainwashed him, this ain’t gonna end well,” JungleLion.
“Celtic PLC board are all about self interest. Supporters are only an income stream to them, nothing more! Just look at the emails we all get about merchandise. I’ve had 3 this week about flaming Gin!” S Millar.
“Wow @CelticFC @CelticFCSLO. if this is really what the board of our club believe to be value then I genuinely fear for the future of our club,” Brian McLaughlin., who added: “And so should every paying customer. It’s time the club woke up to its “customer base” needs and wants. We have seen what happens to season ticket sales when trophies aren’t being won or the football isn’t good enough…be warned.”
“They’ve such contempt for the fans but l am sure that no one is surprised to see this coming,” LouMun67
“Pathetic from the board regarding added value, no surprises from them on share proposal, beyond a joke,” Unrepentant.
“Absolute rats, every single last one on the board,” Celtic Overall 1887.
Dear Fans
Love
The Board pic.twitter.com/bLCPUXMpDn— Electronic Tims (@ETimsNet) May 25, 2021
Hi guys I am not surprised by the board reaction to the Celtic trust as I have been saying for as long as I can remember they have no real interest in our support only their money. I have been a pools agent 32 years and I have never met any of the board and that tells me everything about them. I am expecting a big drop in season book prices after what we have endured but won’t hold my breath
If the Board think that screening a league Cup tie , a couple of meaningless friendlies and two delayed transmission European games amounts to ”added value” and compensates ST holders , then it is no surprise that they thought that Ajeti and Laxalt and Kenny were ”added value ” to the squad .
Past time for them to go – but there response to the Celtic Trust proposal indicates that the Kelly/White approach to change is hard-wired into the boardroom at Parkhead .
It clearly is going to take something dramatic to shift these Luddites !
As I said yesterday the board lived up to expectations they just don’t care and no reduction on season books is shocking and once again they treat us like mugs and we will be a laughing stock for the sevco fans.