HomeOpinion & AnalysisColumnistsDynamos listing on the stock exchange – what?

Dynamos listing on the stock exchange – what?

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Dynamos Football club has for over three decades been a team of great achievements and great dreams.

It is a team that has become a sub-culture for its millions of supporters scattered all over the country.

The club’s great achievements on the field of play have however not been matched by organisational aptitude and astute leadership.

Evidence of this: the club has remained poor. It lives from hand to mouth and this transfer period it has been plagued by the exodus of senior players. They have had enough.

And not for the first time, there is talk that the club wants to float shares and perhaps list scrip on the stock exchange.

There are reports that founding fathers and children of the club’s legends are against the idea.

They believe that their influence in the running of the team would be neutralised by new shareholders.

It gets worse. They are afraid of losing the club altogether to complete strangers. But what will they lose?

This is where Dynamos’ problem stems from. Those that claim to own the team have nothing of tradable value to show as evidence of their ownership other than black and white photos during their playing days, winners’ medals and newspaper cuttings.

Here is a big team which owns no stadium; not even a training venue, no immovable property and very few movable assets. It does not even own the bulk of what should be its greatest asset, players.

When club bigwigs meet this weekend to brainstorm on the issue of converting the club to a public company, their greatest obstacle to this endeavour is always going to be stakeholders who hold no stock in the club but who have over the years found a way of converting mere emotional attachment to dollars.

They cannot let go of the bonanza. They do not want “shareholders” in this game.

But there is real need to convert Dynamos into a properly structured institution with assets that are tradeable and of course the goodwill that comes with a good brand.

A stock market flotation involves selling a percentage of your business in the form of shares on one of the stock markets.

For starters therefore shareholders have to be very sure of what they are committing their resources to.

What am I buying here? Can I derive value from this going forward?

Can I dispose of the scrip someday?

These are pertinent questions from shareholders which the club leadership cannot answer confidently at the moment.

There is real need for transparency at the club.

Supporters who have remained loyal for years must know what assets the club has on their books.

They must have sight of audited accounts. (When were these last published?) As it stands, Dynamos is the living epitome of how not to run a modern football club.

This is the time for the club to lead from the front and reform itself into a progressive institution and not the current archaic structure where yesteryear denizens continue to hold sway at the expense of development.

There is more glamour in opening up the club to new money and ideas.

What we are sure of is that shareholders will not come in droves to buy tradition and nostalgic memories.

These are not tradeable.

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