Motherwell’s board recommend voting for Barmacks’ investment proposal

The Well Society launched its vision for the future of the Lanarkshire club on Tuesday.

Motherwell’s board recommend voting for Barmacks’ investment proposal SNS Group

Motherwell’s board have recommended that shareholders vote for Erik and Courtney Barmack’s investment proposal which has caused some consternation at the club.

The Well Society, the Fir Park club’s majority shareholder, launched its vision for the future of the Lanarkshire outfit on Tuesday, within a detailed prospectus.

Well Society (WS) members and club shareholders begin a two-week voting process on July 8 after an offer from the Barmacks’ Wild Sheep Sports company was recently amended.

Motherwell’s board had revealed plans for a £1.95million cash injection which would have seen control of the club shift to Wild Sheep Sports and ultimately end a period of fan ownership.

The Lanarkshire club claim the amended deal would allow the fan ownership vehicle – which currently holds a 71 per cent stake – to maintain a majority shareholding of 50.1 per cent but Well Society Board member Philip Speedie said: “Our clear recommendation is for members to reject the proposal from Wild Sheep Sports, which promises little investment at a significant cost to fans.”

Motherwell released a statement on the club’s official website on Friday afternoon which reiterated the main points of the Barmacks’ proposal and it concluded with the club’s backing.

It read: “Within the Barmacks’ and the Well Society’s (WS) business plans, there are lots of interesting ideas. We welcome both. Having studied both at length, it is our view that combining these ideas, locally and internationally, gives us the best chance of broadening our reach and appeal, and therefore generating additional revenues.”

A long list of points within the Wild Sheep Sports proposal was listed including: “Certainty of new funding of £1.95m in addition to our existing funding sources.

“Certainty of continuance of fan ownership – the WS will own 50.1 per cent of the shares and the Barmacks have undertaken to work in partnership with them on every aspect of the club’s business.

“A buy-back option for the WS which is built in as a safety measure. No external debt to burden the club’s future finances.

“All the club assets including Fir Park Stadium are ring fenced and therefore completely protected within the club.”

The statement noted “two key outcomes” were required to achieve investment and the change to a more certain funding basis and continued: “That is a very difficult task, and two key outcomes are required to achieve it. Regular and certain funding. Significant new sources of income.

“We believe that the Barmacks’ offer, working in partnership with the WS, gives us the best chance of achieving those outcomes. In our opinion, it also fairly values the club when factoring in all of the safeguards incorporated within the proposal.

“Therefore, the MFC board is recommending that shareholders accept the proposal.”

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