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Andrews: PLC Shares Have Little If Any Value - Ipswich Town News

Financial director Mark Andrews has explained why the value of the PLC, which owns 12.5 per cent of Town, has been written down to nil from £500,000 in the latest accounts.

The PLC owns 12.5 per cent of Ipswich Town Football Club Co Limited and consists of the club's shareholding - around 3,800 shareholders - prior to the takeover 12 years ago with Marcus Evans owning the other 87.5 per cent.

"What we looked at this year, and possibly should have done a couple of years ago, is look at the value of the shares,” Andrews, pictured above right, said in response to a shareholder’s question at last night’s PLC AGM.

"In 2007 when Marcus took over, we said at the time that the value of the shares wasn’t very much because, obviously, Marcus owns the majority [share in the company].

"At that time, he bought out the debt of about £32 million. If you look at where we are now, 12 years on, that debt has increased to over £95 million, so the value is now much less.

"The debt is now actually more than the actual club is worth is what we’re basically trying to say, so that the shares have very little, if any, value whatsoever.

"But on the other side, if we do perhaps get to the Premier League at some point we could look at that and reverse that situation.”

You can find notes from the question and answer session on the TWTD Forum here.

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