Warwickshire businessman Michael Byng claims Ricoh Arena delays in enabling Coventry City to exit administration are preventing possible Chinese investment in the club and Ricoh Arena. He spoke out after yesterday’s Coventry City Football Club Limited creditors’ meeting ended in another adjournment until Friday – on the request of part-council owned Arena Coventry Limited (ACL).
Warwickshire businessman Michael Byng claims Ricoh Arena delays in enabling Coventry City to exit administration are preventing possible Chinese investment in the club and Ricoh Arena. He spoke out after yesterday’s Coventry City Football Club Limited creditors’ meeting ended in another adjournment until Friday – on the request of part-council owned Arena Coventry Limited (ACL).
Mr Byng believes the best hope of the stadium and club being united and sustainable – with new investment – rests in ACL signing a Creditor Voluntary Arrangement (CVA), which would end the ‘messy’ administration and enable the club’s assets to be united in one company.
He said: ‘Chinese investors remain interested and have been in position for some months. But they are confused by the approach adopted by Coventry City Football Club’s owners and Coventry City Council to resolving the club’s problems.’
‘It seems clear the Ricoh Arena can only survive and prosper with a financially healthy football club, and potential investors are at a loss to understand how continued adjournments can help the situation in any way.
‘What’s very unclear is what the Football League’s attitude will be over participation in the League this season and whether there will be further sanctions which further damage the image of the club. An adjournment until Friday just before the start of the new season suggests a motive.’
My view of the Football League’s stance in that it has been one of resigned acceptance. It doesn’t like what is going on, but has relatively few options.
ACL claims it is a sustainable business with or without a football club. But the last ACL accounts 2011/12 recorded a £1million profit at a time when the club paid full £1.3million rent.