BIHL Resumes Trading

Birmingham City`s parent group has resumed trading after a two year suspension. The resumption of trading has seen the groups share price plunge by 34%.

The parent company was only able to resume trading after Carson Yeung finally resigned from its board earlier this week. The company has been unable to trade since Yeung`s arrest.

The drop in share price is not unexpected and there are more than likely various small investors looking to offload their shares in BIHL after being forced to hold them for two years.

It has been confirmed that a new allocation of shares are being sold, convertible bonds have been issued and debt capitalization is taking place.

Birmingham International Holdings Limited has also confirmed they are in talks to sell as much as 24% of Birmingham City Football Club.

Carson Yeung still remains the single largest shareholder in BIHL and therefore BCFC and it will no doubt remain unclear as to whether he will finally sell the club. It is understood he wants to remain involved with BIHL for at least two years.

Personally I doubt much is going to change whilst the current set up remains as is. Yeung may have stepped down but BIHL resuming trading simply means that investment will be easier to attract for Pannu and co.

The question is, will any money raised by BIHL ever reach Birmingham City Football Club? Well for the time being I`m going to take an educated guess and say no. Why I hear you ask? Well BIHL have been insolvent for some time, so I imagine their first concern is patching the financial holes in Hong Kong.

There are significant changes on the board, well in staff anyway, the club is obviously of concern to them and I would doubt a change in ownership any time soon.