Celtic supporters call for Takeover Panel scrutiny of Dermot Desmond’s shareholding
Celtic Supporters Limited (CSL) has called for the Takeover Panel to examine Dermot Desmond’s shareholding in the club amid questions surrounding his influence and control at Celtic Park.
The supporter organisation believes there are grounds for further scrutiny of the Irish billionaire’s position, although it has stressed that it is not accusing him of any wrongdoing.
Speaking on the Let Me Be Frank podcast, CSL chairman Duncan Smillie explained: “If a single shareholder takes their stake in a company above 30 per cent… they are obliged to make an offer for all the shares in a company. That happened to Dave King at Rangers.
“Dermot, in 2005… bought his shares pretty much at a third of the market price… took his shareholding up to 34 per cent or 35 per cent. That then triggers the Takeover Panel. One of the main things you have to guarantee is that you will not try to exert control on that club.
“We at CSL are not making an accusation; we’re not saying he’s done something he shouldn’t have done.
“All we’re asking the Takeover Panel is to have a look at this, because there’s some anecdotal and some real evidence that he has exerted control over the club.”
The intervention comes as CSL prepares to raise wider concerns over Celtic’s ownership structure, particularly the number of supporters who have lost contact with their shareholdings.
CSL director Brian McLaughlin said: “There are 37,000 shareholders in Celtic PLC, and many of them have become disconnected from their shares over the years… died, moved house, whatever it may be.
“They were given a piece of paper in 1994. That piece of paper could be anywhere, in the loft, in the bin, you know.
“Our AGM [resolution] is quite simply tasking Celtic… to go to the company that is the registrar of the shareholding… and say: reunite all our shareholders with their shares. Put the power that they’ve got back in their hands.”
McLaughlin believes the balance between supporter and corporate ownership envisaged by former Celtic chairman Fergus McCann has been lost.
He added: “When Fergus [McCann] sold his shares, it was always about having a balance between the fan shareholding and the corporate shareholding.
“And that balance is gone. It’s corporate shareholding now. Between Desmond and Lindsell Train, they’re well above 50 per cent.”
Smillie also suggested that disconnected shareholders could effectively strengthen the influence of major investors.
He said: “When you’ve got 100 per cent of your shares out there, and you’re a principal shareholder like Dermot Desmond is… let’s say you’ve got 35 per cent for argument’s sake. If you’ve got 35 per cent of 100 per cent, that’s a genuine 35 per cent.
“But if there’s a whole chunk of those missing and you actually have 35 per cent of 80 per cent or 85 per cent, you start to have an even more dominant position.
“So it’s maybe not in his personal interest… I think the club like that everybody’s detached.”
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