HIGHLIGHTS
– The Celtic newco set up in 2001 is the main trading company. It receives all the income and pays all the players and costs.
– But remarkably, the Celtic company from 1897 owns the stadium and owns the players, in other words the players are owned by one company (1897) and paid by another company (2001).
– The 1897 company does not receive the matchday income, or the media, UEFA, merchandise or any other income.
– The 1994 newco describes its activity as “football club management” and may therefore be involved with the football club licence, but otherwise is not the main trading company.
BACKGROUND TO THE 3 COMPANIES
- Original 1897
Celtic plc – company number SC003487, incorporated in 1897, formerly called The Celtic Football and Athletic Company Limited
- Newco 1994
The Celtic Football and Athletic Company Limited – company number SC153534, incorporated in 1994, formerly called Pacific Shelf 595 Limited
- Newco 2001
Celtic FC Limited – company number SC223604, incorporated in 2001, formerly called HMS (402) Limited
When Fergus McCann took over in 1994, the original 1897 company changed its name and reregistered as a plc. The new name (Celtic plc) did not change anything – that was, and is, the original 1897 company, albeit with a change of name.
At the same time, the 1994 newco was set up, and is the “football club management” company. It was owned by the 1897 company.
Later the 2001 newco was set up. It was (and is) owned by the 1897 company. At the same time, ownership of the 1994 newco was transferred from the 1897 company to the 2001 newco. So the structure is: the 1897 company owns the 2001 newco, which in turn owns the 1994 newco.
WHY THE 2001 RESTUCTURE?
Obviously we can’t know the full picture, but an obvious result is that the losses since 2001 (an incredible £32million) gets reflected in the profit and loss reserve of the 2001 newco which has been trading since then. This keeps that £32million of losses away from the 1897 company’s profit and loss reserve.
PROOF THAT THE 2001 COMPANY IS THE TRADING COMPANY
Extract from the 2012 accounts for the 2001 newco. The turnover of £51m is basically the whole income for the Celtic group of companies:
PROOF THAT THE 2001 COMPANY HAS MADE £32MILLION LOSSES
… and does not own the players in its balance sheet even although it is the trading company:
PROOF THAT IT IS THE 1897 COMPANY THAT OWNS THE PLAYERS AND THE STADIUM
Extracts from the 2012 accounts for Celtic plc (the 1897 company):
COMPANIES HOUSE EXTRACTS FOR ALL 3 COMPANIES
Gallus Pioneer 