Shamrock Rovers announce potential Dermot Desmond multi-million euro investment in club

On Saturday afternoon Shamrock Rovers members were given information on a proposed multi-million euro investment by Dermot Desmond in the club at a meeting in Tallaght Stadium.

The members were provided details by the club’s directors on the proposal that has been over a year in the making and that will be voted on at the club’s AGM next month. If approved by the membership it would see the financier become a 25% shareholder in the club on the back of a seven figure sum investment.

The revised ownership structure would see the members retain a 50% stake and Ray Wilson, who along with 400 club members took the Hoops out of examinership in 2005, having a 25% stake in the club. 

In a press statement issued by the club board after the meeting, they noted that this “is the latest potential evolution in the hybrid model of fan ownership combined with private ownership and is a structure that the board of directors of the Members Club feel is a long term sustainable model that will propel Shamrock Rovers forward on and off the pitch.”

While Desmond is the largest individual shareholder with Celtic, this investment will not see a formal tie or transfer arrangement between the Hoops in Dublin and the Hoops in Glasgow.

The statement referenced a note issued to club members by Desmond. It noted that “should he become a shareholder in Shamrock Rovers his intention is not in pursuit of monetary gain and there is no financial or asset play.

"Any positive future cash flow generated (is) to be reinvested in the club such that all stakeholders (including supporters, players, coaching staff, management and sponsors etc.) will benefit.

"Mr. Desmond stated that his sole motivation in considering this investment is to advance the cause of Shamrock Rovers.”

In recent years, Rovers had received a €1.5m interest free loan from Ray Wilson – which resulted in the ownership structure at the club reverting to a 50/50 ownership structure between the members and Wilson – with the members having a controlling number of directors on the board.

That money was invested predominantly in the Academy structure at the club – with Rovers developing a facility for all their teams at the Roadstone Sports and Social Club.

The Rovers statement noted that “Mr. Desmond is especially interested in supporting Shamrock Rovers’ ambitious plans to further develop the club’s Academy and building on the very strong foundations laid by the club in recent years. Mr. Desmond sees any involvement with Shamrock Rovers as being more akin to a trustee than a shareholder.

“He believes that the proposed investment would put the club on a sound financial footing, providing stability to allow the long term benefits of the club’s Academy plan to bear fruit and to afford Shamrock Rovers the continued opportunity to credibly pursue success on the pitch.” 

The club had confirmed back in March following media speculation about an investment by Desmond that “there can be no change to the structure of the club without prior consultation and approval of the membership. There is no question about members' control or independence of the Football Club.” 

Today’s meeting provided members with some reassurance on this point should the investment go ahead, with details of the proposed board arrangement confirmed that would see members having the largest representation on any re-constituted board.