THE desperate search for a saviour for Southampton Football Club has begun as its parent company Southampton Leisure Holdings entered administration today.
It has also been revealed that unless a buyer steps in, Southampton Football Club may not exist come the end of the football season in May.
Administrators from accountants Begbies Traynor took official control of the stock market listed company that controls the football club, shortly before 12pm.
It was two hours later than expected, due to a late expression of interest in buying the company last night.
However the unnamed party were unable to provide proof of funds before a 7.30pm deadline, according to administrator Mark Fry.
This morning, Saints chairman Michael Wilde, chief executive Rupert Lowe and director Andrew Cowen formally resigned from the boardrooms of both SLH and the football club and walked away from the business.
Press Conference - part one
Financial director David Jones is once again the only survivor, after surviving a succession of previous culls of executives at St Mary’s.
Administrators have also appointed a new director to the football board with no previous connection to the club to help with its day to day running.
It marks an ignominious end to the second chapter of both Rupert Lowe and Michael Wilde’s management of the club, with its shares suspended on the AIM junior stock exchange and its immediate future in doubt.
Video: "Saints fans have a role to play"
It also signals the start of a 24-day countdown to stop the weight of debt, which has now climbed above £30m, crushing the club into oblivion before the end of the season.
There are just 24 days to go before the club’s final home game against Burnley, on April 25, which is the last of three remaining home games, each of which is a crucial opportunity to fill Saints’ empty coffers.
Mr Fry said there was a very real risk of the football club having to fold if a buyer was not found by the end of the season.
He prompted the fans back to the stadium in an attempt to improve the financial position and to make the club as attractive as possible to potential buyers.
However, even if sell-out crowds return to roar their support from the terraces at St Mary’s, if the club hasn’t found a buyer by the end of the season, it could disappear completely.
After the Daily Echo revealed the shock collapse of the company’s precarious financial situation yesterday, wealthy Saints fans were immediately offering cash to help it stay afloat.
Looking for potential buyers
But the sums they are able to offer are likely to be dwarfed by the debt mountain that sees the money owed to Norwich Union on the £34m stadium standing at £24m, while the company owes more than £4m to Barclays Bank and has an array of other minor creditors.
Comments: Our rules
We want our comments to be a lively and valuable part of our community - a place where readers can debate and engage with the most important local issues. The ability to comment on our stories is a privilege, not a right, however, and that privilege may be withdrawn if it is abused or misused.
Please report any comments that break our rules.
Read the rules hereLast Updated:
Report this comment Cancel