Rangers look set for a fresh injection of funds after chairman Dave King announced a share issue which is hoped will provide the Ibrox giants worth around £6million.
King, as quoted by the Daily Record, hopes raise the new funds through selling shares to existing investors and it is another step in the right direction for the Gers.
After the appointment of Steven Gerrard as the club’s new manager, some Rangers get a little carried away with talk of foreign investment and huge sums of money simply being handed over to the club but the share issue, on the face of it at least, seems a shrewd move.
With a number of loans outstanding to shareholders that are expected to be converted into shares – as well as the outstanding mandatory offer from King to buy the outstanding shares in the club – the Ibrox giants are severely limited in what they could do at the minute and this will be the first step in clearing the decks of existing obligations.
There will need to be new sources of income found in the future – extended exposure to European football should help that – but this at least helps the club get some new money in as Steven Gerrard prepares to take the reins as manager.