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Why doesn't RB GmbH go public?


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#1
Rybka

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Fwiw, a few of my thoughts:

 

For a low-cost coach, Armas is fine. What do fans expect with a somewhat non-competitive roster?

 

With RB Arena turning into a TV studio, they should be doing OK on the financial side. Maybe they can let in a couple of thousand fans per game.

 

Speaking of the financial side, I cannot understand why RB GmbH does not go public. That's where the big, big money is. Monster stock just hit an all-time high, and similar companies usually go in sync on the stock market.



#2
uptownbull

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They'd lose a lot of operating autonomy and their business model would probably change. But... maybe short-term-profits-fixated shareholders would force them to sell Metro?

RED. BULL. OUT.


#3
SatansHockey

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Maybe they can let in a couple of thousand fans per game.


It's not up to them, currently only a capacity of 500 people are allowed at large events until the NJ government says otherwise.

#4
Rybka

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They'd lose a lot of operating autonomy and their business model would probably change. But... maybe short-term-profits-fixated shareholders would force them to sell Metro?


You have a good point. Stockholders want profits now, or at least a light at the end of the tunnel. GmbH seems to treat soccer and other sports more as a toy than as a business investment. That could change if some activists get on the board.



#5
JBigjake54

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GmbH seems to treat soccer and other sports more as a toy than as a business investment.


Years ago, Dieter was quoted as saying something like:
I probably wont sell an additional can of Red Bull from buying this club, but it spreads the brand name.
He is not going to sell or go public.
He is a 76-year-old single man. No wife gets half.
He has a 30-year-old son from an old relationship,
who he has brought into the business.
With some astute inheritance tax avoidance,
that son will get all or most of RB one day.
That day is probably 15+ years away.

We are good enough to beat the best teams, and bad enough to lose to the worst teams. 


#6
uptownbull

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Yep, the whole "sports lifestyle marketing" thing. They don't do traditional ads so much, in favor of sponsoring the kind of stunts, athletes, sports, and events that appeal to their target market of younger guys. Example: @pashatheboss on Instagram, jokey parkour wunderkind. Weird guy to sponsor? 1.2 million followers and pumps out the content.

https://www.instagra...d=1irt0yosdlfb4

https://www.instagra...id=qxxwjnxa0izk


RED. BULL. OUT.


#7
sweetman

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It's not up to them, currently only a capacity of 500 people are allowed at large events until the NJ government says otherwise.


That shouldnt be a problem as long as tarped seats dont count against the total.

#8
regulator

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companies go public as 1) a way to raise capital - i.e. to raise cash that they can turn around and invest in their business. or they go public 2) so that the original founding members can sell their stake in the business and be done with it.

 

for #1, Red Bull is a global company already with no problem accessing capital in other ways, so they wouldn't do this.

 

for #2, i am not intimately familiar with the full ownership stake of RB, but isn't it owned by one guy? (or at worst, one family?).  By going public, he/they would dilute himself/themselves by splitting the pie with other investors. They would likely lose money, not gain money by doing this.

 

bottom line - i don't think they will ever go public at this point



#9
JBigjake54

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i am not intimately familiar with the full ownership stake of RB, but isn't it owned by one guy?


Wiki says Dietrich Mateschitz owns 49% of RB,
and has a personal wealth of $27 Billion.
At his age, probably content.
A Thai family owns most of all of the rest.

We are good enough to beat the best teams, and bad enough to lose to the worst teams. 





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