A “transformational” meeting of key Caley Thistle shareholders on Wednesday has left renewed hope the troubled club will avoid liquidation.
Major shareholders – 10 in total – responded to an invitation from respected retired corporate lawyer and ex-Inverness vice chairman Allan Mackenzie, with the aim the summit would “reignite” the process of selling the club.
Mackenzie chaired the meeting, which was attended by David Cameron, Ross Morrison, Allan Munro, David Sutherland, Graham Rae, Roddy Ross, Alan Savage, Graeme Bennett and George Moodie (representing the ICT Supporters’ Trust), with Craig Maclean (minuting). Apologies were intimated from Dougie McGilvray (Weldex) and Richard Smith (ICT Trust).
On Monday, ICT joint administrators BDO warned the financially-embattled Highlanders were at “significant risk”, with no buyers in place for the League One outfit by their March 6 deadline.
Three big obstacles were outlined.
The first was the scale of the loans from shareholders/former directors and need to get a formal CVA (company voluntary arrangement) agreement in place, with regards how these will be paid back.
The other two were a buyer/buyers being unable to easily gain control of ICT due to the club’s “disparate shareholding”, and ongoing complications surrounding car park land beside the Caledonian Stadium.
Hours after Monday’s bombshell BDO statement, former Caley Jags chairman Savage – who has worked a consultant for the club since last summer – held a press conference, stating his concern for the future of the 2015 Scottish Cup winners and former top-flight side, and revealing Mackenzie’s plan to hold last-ditch talks with the major shareholders.
Many of the specifics of today’s meeting will remain under wraps, but Mackenzie has told The Press and Journal the response from shareholders was “very positive” and offers “reason for optimism”.
All three key areas of concern were discussed, and he sees “a way through” these issues.
He was, on Wednesday afternoon, speaking to BDO to “expedite” the CVA process in order to best secure a buyer.
While positive, he said the advancement will still require “goodwill” and “hard work by everyone over a very short period of time now”.
Savage: Reasons for optimism after meeting
Savage has confirmed, on the back of today’s positive talks, he will now advance discussions with a number of businesses in order to try to secure key funding.
For ICT to compete in the SPFL until the end of next term, it will cost £1.8million.
By the end of this season, Orion Group chief Savage will have put in £1m, and he’s committed to putting in 25 per cent next season – but had already called on assistance from the Highland community at large to cover the shortfall.
Savage added that, in terms of the sale process for the club, the “fog has lifted” and any moves to secure prospective buyer can “now be rekindled”.
Meanwhile, Mackenzie pointed to the ongoing efforts of interim CEO and former player and boss Charlie Christie, who is working on relationships with the Scottish FA and SPFL regarding licensing.
Mackenzie, who was ICT vice chair from 2017 to 2019, managed the team of external lawyers, who provided legal advice to the club, particularly over the proposed transfer of the lease of the stadium and North/South Stands from Tulloch Homes to the club.
BDO should now have better ‘sales pitch’ for potential buyers – Mackenzie
He issued the following further update to fans in an official statement.
He said: “I am pleased to report, that after long, commercially focused and collaborative debate, all parties agreed to sensible proposals to address all three matters, subject, of course, to getting appropriate assurances from BDO on each matter.
“For my part, I undertook to engage with BDO, as a matter of urgency, to ask that they capitalise on this tremendous goodwill and to assiduously advance the administration with a view to securing a successful CVA, securing a buyer and exiting the process by the end of the current season.
“BDO should now have a very much better ‘sales pitch’ for the people who have expressed interest in buying the club and, needless to say, the parties today and the staff at the club will use best endeavours to assist them in that enterprise.
“Much needs to be done in a very short space of time, but I am now very much more optimistic that this exercise, which has been necessary, albeit painful for all, can advance to an early conclusion.
“We owe it to the loyal and dedicated staff at the club and to Scott Kellacher and the team, (all of whom have done their best from their perspective) to demonstrate the same commitment and focus.
“Inevitably in a commercial deal, such as this, there will follow a period of ‘purdah’ whilst detailed negotiations take place. Please do not treat this as stasis. Rest assured everyone is working diligently to secure the positive outcome mentioned above and as soon as is possible, a further update(s) will be issued publicly.
“Meantime, thank you all for your patience and commitment to the ICT cause.”
Inverness just above the drop-zone
On the pitch, head coach Kellacher’s team are eighth in League One and have seven fixtures remaining to stay safe.
They are two points in front of Annan Athletic, and host Alloa Athletic this weekend.
When administration kicked in last October, Caley Thistle were docked 15 points and long-time coach and ex-assistant boss Kellacher replaced Duncan Ferguson in the hot-seat.
ICT this week also ran the rule over 12 trialists during a session at Highland Rugby Club.
The feeling is Wednesday’s good news will mean Kellacher and his players will “have their heads in the right place”, says Mackenzie, as they seek to keep the club from demotion to League Two.
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