Anger as Rangers OK loan from Mike Ashley

Rangers supporters are fuming after the club agreed to a £2m loan from controversial Newcastle United owner Mike Ashley.

The sportswear magnate’s financial package was given the green light over an alternative offer from Sale Sharks rugby club owner Brian Kennedy.

Graham Wallace, the Ibrox club’s Chief Executive, is expected to leave his role following the board’s acceptance of the loan.

Ashley, 50, has told the Ibrox faithful he believes he is “the only man who can save your club”.

Yet, despite this, supporters’ groups are sceptical and believe the tycoon will sell off club assets.

Mark Dingwall, editor of fanzine Follow Follow, said: “This is absolutely disastrous.

“Fans see Ashley as being very closely aligned with the controlling group at the club which has brought us to the brink of insolvency.

“You look at what he’s not done at Newcastle United, where the revenues from merchandising halved during his reign. The club’s stagnated and there’s been absolutely no empathy shown to the fans, who are now basically united in wanting him to go.

“The whole future of Rangers is now in doubt.”

However a source close to Ashley last night exclusively told The Sunday Post Ashley “genuinely believes that he is the only man with the financial clout, business expertise and knowledge of running a top football club like Newcastle United who can save Rangers”.

The source said: “He is not happy that all the in-fighting is destroying the club and consequently he is prepared to give Rangers his immediate financial help and also give them the benefit of his worldwide business acumen.

“He has won admiration from owners of other clubs throughout the world for the way he has pulled Newcastle round and put them on a sound financial footing.

“At this moment in time Newcastle United do not owe a penny to anyone.”

On Friday, Rangers were locked in talks with both Kennedy and Ashley, with both parties willing to provide the cash needed to keep the club afloat.

But yesterday morning the Rangers board accepted the Sports Direct owner’s offer, which includes the option of a new share issue.

The club’s dwindling cash reserve is expected to expire before the end of November, with an emergency loan believed to be their only measure against collapsing

into administration again.

It is not yet know if Ashley who already holds an 8.92% stake in the Championship outfit will dump his Newcastle United shares. Under Scottish FA rules he cannot own more than 10 % of Rangers, unless he sells Newcastle. Despite this fog hanging over the deal, Neil Patey, Transaction Advisory Services partner and football industry expert at Ernst & Young LLP (UK), believes that the billionaire Englishman will have requested a number of terms and conditions upon offering his investment.

He said: “My initial reaction is to think that Rangers were in desperate need of cash so needed some form of injection which would not come traditionally, like from a bank loan.

“Their only option was to get the money through a loan from a shareholder or a fan on favourable terms.

“Looking from a purely financial point of view, this has to be classed as a high-risk loan.”

Upon hearing of Rangers’ acceptance of the bid, Brian Kennedy said he was “disappointed” for the club.

Supporters are concerned that Ashley will use his growing influence within the club to benefit financially through the sale of club merchandise.

Dingwall added: “Fans are already voting with their feet. Now there’s real pressure building for a boycott of Rangers merchandise as it’s seen as benefitting Ashley but in no way the club.”