Ibrox director John Bennett has appealed to Club 1872 to back the company rather than give Dave King a £13m Thank You Note.
The South African based businessman walked away as Chairman in March then surprised the club with his plan to sell his 24% stake in the company to fans group Club 1872.
King still values his shares at 20p each despite multiple new share issues that have diluted their value with the club needing £22m before May 2022 to stay afloat.
Subscriptions to Club 1872 are believed to be down to less than 2,000 fans with their highpoint shareholding of 11% after purchasing half of Mike Ashley’s stake now reduced to around 5%.
Rather than see King walk away with £13m Bennet told the AGM that the fans money should go straight into the company as The Sun reported:
There is quite a lot of talk about fan ownership and investment etc. Clearly, everyone can see the funding gap, it is there in the annual report. Clearly there will be more capital raising coming.
I have been asked the question about Club 1872 participating in that, if that is what we would like. Of course that is what we would like. Club 1872 in 2020 were offered participation at various times in the equity issues and they didn’t take up those offers.
But I would like to think they can take up the offer, the very firm commitment we have made to 1872 to come and join us, direct investment into the club. We have made that commitment at a set price for the first half of 2021. As far as I am concerned they can have as much as they can raise if they can take up that offer.
Fortunately for the Ibrox club there is no form of Financial Fair Play in Scottish football allowing loans to be converted into shares and further dilution for existing shareholders.