DUNDALK ARE SET for a stay of execution after today’s self-imposed deadline for investment to keep the club afloat was extended by owner Brian Ainscough.
And there was further cause for optimism for the future at Oriel Park after Minister for Sport Thomas Byrne confirmed that the Government would provide up to €500,000 in funding as part of its Sports Capital Grant process.
The 42 reported earlier this afternoon that Ainscough has been in talks with two groups – one of which is based in mainland Europe – about a deal to ensure the Premier Division side can survive until the end of this season.
With sources confirming an overall debt figure of more than €1 million, it’s believed that €360,000 is needed in the short term for Dundalk to fulfil the final couple of months of the campaign.
Ainscough released a statement last week confirming the perilous financial situation the club found itself in. Wages to staff and players went unpaid at the start of this month and while those monies have since been paid there had been no solid commitment for any future external investment.
On Friday, American businessman Jeffrey Saunders pulled out of talks with Ainscough and that led to a fraught weekend. Developments today have provided some hope, with Minister Byrne confirming that up to €500,000 will be forthcoming to upgrade the astro turf pitch and floodlights.
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“What I’ve been able to say is that subject to the club remaining in existence, getting a league licence, the club will get most if not all of the half a million euro they have applied for. That’s just to be helpful to the process, we will make a final announcement in the next two weeks,” Minister Byrne said, insisting that the money would not be used for wages or debt relief and that he had contacted FAI interim chief executive.
“No, it’s for capital development but as I understand it that (stadium upgrades) is a significant factor now in terms of who might want to come to the club. We’re just trying to be helpful to the process.
“I informed David Courell and I think it’s taken in that vein, that it will be helpful to the process.
“We want the club to be saved, we want the club to maintain its existence. We know it’s a valid application, we know it’s a good application, to give this indication at what is a critical juncture for the club is helpful.”
At the FAI’s AGM in Dublin on Saturday, Courell admitted the timing of Ainscough’s takeover at Oriel Park played a part in a more rigorous check being carried out.
The Dubliner, who has been based in Boston since emigrating there in the 1990s, took control from StatSports and Andy Connolly in December 2023, one month after the licence to compete in the League of Ireland was granted by the FAI.
“It’s regretful the situation we find ourselves in, the situation Dundalk find themselves in,” said Courell. “We need to acknowledge that there are lessons to be learned from this process.
“The financial checks ahead of the 2024 season were done on Dundalk’s previous owners. While there is an owners and director’s test, that primarily focuses on the integrity of the incoming owners.
“We recognise, and we’re not unique in this situation, it’s quite common in leagues across the world, that at that juncture there wouldn’t be the same degree of financial due diligence carried out.
“That is a learning we need to own up to. Right now, our focus and energy is in trying to support Dundalk and ensure its viability moving forward.”
Asked about the FAI’s role, Minister Byrne said: “This can’t be allowed to happen. We need to protect it. I’m not happy the way everything has happened. For the future I think there needs to be financial tests in terms of new owners coming in.
“I know that’s something the FAI are looking at to make sure that everything will work out for at least the medium term. Nobody is going to stay forever. There are clubs there that are community owned and that’s a really good model, and there are institutional investors too, some of whom are good as well.
“But if the profit motive is there then it’s not always the football considerations that are paramount. I’m not sure what profits come out of League of Ireland clubs, occasionally they do and that’s part of the problem here. We want to support them as best we can.”
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Dundalk talks to save club extended as Government pledges €500,000 Capital Grant
LAST UPDATE | 16 Sep
DUNDALK ARE SET for a stay of execution after today’s self-imposed deadline for investment to keep the club afloat was extended by owner Brian Ainscough.
And there was further cause for optimism for the future at Oriel Park after Minister for Sport Thomas Byrne confirmed that the Government would provide up to €500,000 in funding as part of its Sports Capital Grant process.
The 42 reported earlier this afternoon that Ainscough has been in talks with two groups – one of which is based in mainland Europe – about a deal to ensure the Premier Division side can survive until the end of this season.
With sources confirming an overall debt figure of more than €1 million, it’s believed that €360,000 is needed in the short term for Dundalk to fulfil the final couple of months of the campaign.
Ainscough released a statement last week confirming the perilous financial situation the club found itself in. Wages to staff and players went unpaid at the start of this month and while those monies have since been paid there had been no solid commitment for any future external investment.
On Friday, American businessman Jeffrey Saunders pulled out of talks with Ainscough and that led to a fraught weekend. Developments today have provided some hope, with Minister Byrne confirming that up to €500,000 will be forthcoming to upgrade the astro turf pitch and floodlights.
“What I’ve been able to say is that subject to the club remaining in existence, getting a league licence, the club will get most if not all of the half a million euro they have applied for. That’s just to be helpful to the process, we will make a final announcement in the next two weeks,” Minister Byrne said, insisting that the money would not be used for wages or debt relief and that he had contacted FAI interim chief executive.
“No, it’s for capital development but as I understand it that (stadium upgrades) is a significant factor now in terms of who might want to come to the club. We’re just trying to be helpful to the process.
“I informed David Courell and I think it’s taken in that vein, that it will be helpful to the process.
“We want the club to be saved, we want the club to maintain its existence. We know it’s a valid application, we know it’s a good application, to give this indication at what is a critical juncture for the club is helpful.”
At the FAI’s AGM in Dublin on Saturday, Courell admitted the timing of Ainscough’s takeover at Oriel Park played a part in a more rigorous check being carried out.
The Dubliner, who has been based in Boston since emigrating there in the 1990s, took control from StatSports and Andy Connolly in December 2023, one month after the licence to compete in the League of Ireland was granted by the FAI.
“It’s regretful the situation we find ourselves in, the situation Dundalk find themselves in,” said Courell. “We need to acknowledge that there are lessons to be learned from this process.
“The financial checks ahead of the 2024 season were done on Dundalk’s previous owners. While there is an owners and director’s test, that primarily focuses on the integrity of the incoming owners.
“We recognise, and we’re not unique in this situation, it’s quite common in leagues across the world, that at that juncture there wouldn’t be the same degree of financial due diligence carried out.
“That is a learning we need to own up to. Right now, our focus and energy is in trying to support Dundalk and ensure its viability moving forward.”
Asked about the FAI’s role, Minister Byrne said: “This can’t be allowed to happen. We need to protect it. I’m not happy the way everything has happened. For the future I think there needs to be financial tests in terms of new owners coming in.
“I know that’s something the FAI are looking at to make sure that everything will work out for at least the medium term. Nobody is going to stay forever. There are clubs there that are community owned and that’s a really good model, and there are institutional investors too, some of whom are good as well.
“But if the profit motive is there then it’s not always the football considerations that are paramount. I’m not sure what profits come out of League of Ireland clubs, occasionally they do and that’s part of the problem here. We want to support them as best we can.”
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