Hedge Fund vs Ice Hockey
So, there I was, minding my own business, on a Wednesday morning. Browsing the usual twitter feed - not much going on. Bam.
'Bailiffs sieze Ryde Ice Arena'
Ok, what's going on here.
Well, playing Ice Hockey in the UK does have it's trials and tribulations but this was something else.
I went full recon. I found out pretty quickly that this was a pure asset game played on behalf of BNY Mellon and their fund manager - AEW.
Basically, from the information that we are privy too, the story goes like this:
- BNY Mellon acquire the lease 15 years ago as an asset
- Previous operating company pulls out of arena management in 2014
- Trust comes in an raises necessary funds to take over the lease
- Storm blows the roof off the arena
- Arena closes for a lengthy period of time
- £300,000 is paid to the Fund AEW & BNY Mellon from Insurance to fix the roof and damage areas
- £100,000 (est) is spent on the rink - The other £200,000 goes...
- Arena only 50% operational and restricts the operating teams business model from multiple streams of revenue
- Rink operating team doesn't pay full rent as claimed certain terms aren't adhered to
- Bailiffs change the locks
- Game over?
Bit of a problem here. Now, the Wightlink Raiders, AKA the Champs, have no building to play in. Our equipment is also locked up in the arena. Two games this weekend were cancelled as we have no access to equipment.
It appears the rink may be up for re-development and if that's the case: Good night, Jim Kyte.
The Wightlink Raiders are The Champions.
Anyone want to purchase an Arena and be a legit hero for the boys - firstname.lastname@example.org