October 6 – Burnley’s owner ALK Capital has offered to buy the remaining shares owned by the club’s supporters.
The American investment group, led by former Wall St financier Alan Pace, acquired the club last December, but about 6% of the club is still owned by individual shareholders who at the time were not given the opportunity to sell their shares.
ALK has now moved to get full ownership of the Turf Moor club, but says there is no obligation for shareholders to sell.
The offer entails a 50-50 split between cash and club credit. Valued at £1,699 per share, the split is between £849.50 cash and the same in club credit, which can be spent on tickets, hospitality, merchandise, or food and drink at the club’s Turf Moor stadium.
Pace said: “We wanted to do the right thing by our fans and shareholders by putting together this offer. It would be a shame to not provide a considered offer to the group.
“It has been an incredibly busy period since we became custodians of Burnley FC, but we feel it is now worthwhile to proceed in this manner and to make an offer to purchase fan-owned shares should the holders wish to sell.
“I want to stress, however, that this offer is purely an option for the shareholders. They are not required to sell and should not feel obliged to do so. We welcome and are happy for them to continue their support for Burnley FC and remain part of the club shareholder group.”
ALK’s December takeover has been controversial, spending £170 million on acquiring shares from then chairman Mike Garlick, who owned 49.24%, and John Banaszkiewicz, who had 28.2% in shares, but loading the club with debt. The payments to Garlick and Banaszkiewicz were reportedly financed with a loan from MSD UK Holdings, staked against revenue generated by the club.
Pace and ALK have always said they want a sustainable club and to build Burnley’s international brand.
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