Tottenham Repays COVID Loan, Releases Signature Funds

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LONDON (AP) – Tottenham announced Friday that it has paid back the £ 175m ($ 243m) it borrowed from the Bank of England under the coronavirus loan scheme, freeing up cash that could help the Premier League club sign players and a new manager …

The North London club said it has repaid a low-interest loan of the £ 250m ($ 347m) it recently raised from institutional investors.

“The club’s ability to effectively manage throughout the COVID period has led to discussions with the same institutions that supported the club in 2019 to refinance the stadium funding,” Tottenham Chairman Daniel Levy said in a statement.

“Our institutional investors and banks,” he continued, “have been supportive and positive about the pandemic, despite the economic uncertainty and lack of fans at the stadium over the past two seasons, for which we are very grateful.”

Tottenham was one of dozens of businesses that took out loans from the central bank’s COVID corporate finance facility last year to help them during the pandemic, and pledged not to use those funds to acquire players.

The club, which is still looking for a manager after finishing seventh in the Premier League, reported an annual loss of £ 63.9 million ($ 88.7 million) for the fiscal year ending June 30, 2020 due to pandemics and fan closings. stadiums.

When Tottenham reported fiscal year-end financial results in November, the club also warned of a loss of more than £ 150 million ($ 208 million) in revenue if coronavirus restrictions prevent fans from returning in season. Fans returned in limited numbers for the last home game of the season.

Tottenham finished second in the Champions League in 2019, but have now been unable to qualify for the elite and lucrative European club competition for several seasons in a row.

Star striker Harry Kane asked to sell him because he was unhappy with the management of the club.

In addition to payments to the central bank, the new financing scheme “will also partially repay a bank loan held by Bank of America, which had a shorter maturity, by converting it to 15-year fixed-rate money, fixing low interest rates and extending the tenure of the debt.” said at the club.

“The long-term sustainability of the club is of paramount importance and replacing short-term debt with long-term financing means we are in a solid financial position,” Levy said.

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