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Arsenal take out £120m loan



They spent £45m on Partey during the Covid Pandemic, gave Aubameyang a new contract 

But apparently need a £120m Loan because they cant cope.
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Comments

  • The article says that Spurs have also taken out a loan and it must be repaid by May, when I guess they will get money from the Premier League to pay it back, still think its ridiculous these clubs are getting loans whilst clubs lower down are struggling 
  • Ethically I agree with you Paulie, but they are a business like any other and if they have the collateral then they are entitled to borrow money.
  • Arsenal owner has £10billion.
  • Meanwhile, Ozil is being paid £18m a year to sit on his backside. 
  • These Premier League clubs need to seriously look at themselves then take a look further down the pyramid and they might actually see what struggling is
    Tough one because every club has been hit by the pandemic. I appreciate that lower leagues are at threat of existence, but a club like Arsenal has to carry on spending money on transfer fees and wages to compete. It's also a loan which they will be paying back, it's not like they are asking for a handout. 
  • Arsenal owner has £10billion.

    ESI 3
  • If someone is willing to borrow to them then I don’t see a problem.
  • Its a loan, not a handout and interest is being paid, allbeit at a more preferential rate than what would be commercially available.

    AFAIK, Spurs refinanced some of their debt from commercial loans and switched to what was available through the government and have saved a significant sum in interest in doing so.  Exactly like we all do when we remortgage our houses.
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  • Meanwhile, Ozil is being paid £18m a year to sit on his backside. 
    To be fair, he's not just sitting on his backside, he's paying the salary of Gunnersaurus, who was sacked by Arsenal because they apparently couldn't afford to keep him anymore, right after they spent £45m on a player.

  • The CCFF is the largest of the government bail-out schemes and only available to the very biggest, investment-grade corporate businesses.  It closes on 23rd March, but potentially any participant could draw on it on 22nd March for up to 1 year.  It sounds like Arsenal and Spurs are both in the lowest tier and could draw up to £300m at a margin of 0.6% over the relevant reference rate.  Better rated corporates can draw up to £600m at 0.4% and up to £1bn at. 0.2%, depending on their public rating. 

    Potentially both clubs could fund themselves through to March 2022 with this scheme. 
  • Stick it in Bitcoin, might generate enough profit to buy some players to finish top half next season.
  • Surely they could have gone to the Premier League for a loan ? 
  • edited January 2021
    JohnBoyUK said:
    Its a loan, not a handout and interest is being paid, allbeit at a more preferential rate than what would be commercially available.

    AFAIK, Spurs refinanced some of their debt from commercial loans and switched to what was available through the government and have saved a significant sum in interest in doing so.  Exactly like we all do when we remortgage our houses.
    But if you remortgage your home you dont then spend the money on a boat or a car(well most people dont anyway) they do it because they need the money

    But you can guarantee Arsenal spend money this January maybe not loads but they will spend money.


    And thats probably why they havent gone to the Premier League as CT suggested above there was probably some clause about if u take the premier league loan you cant sign players.
  • JohnBoyUK said:
    Its a loan, not a handout and interest is being paid, allbeit at a more preferential rate than what would be commercially available.

    AFAIK, Spurs refinanced some of their debt from commercial loans and switched to what was available through the government and have saved a significant sum in interest in doing so.  Exactly like we all do when we remortgage our houses.
    But if you remortgage your home you dont then spend the money on a boat or a car(well most people dont anyway) they do it because they need the money

    But you can guarantee Arsenal spend money this January maybe not loads but they will spend money.


    And thats probably why they havent gone to the Premier League as CT suggested above there was probably some clause about if u take the premier league loan you cant sign players.
    I can see the conflict of interest with the Prem League giving loans....maybe classify it as an advanced payment and give it to all the teams. What this highlights is how the hell will a lot of lower league teams survive. 
  • now expect a bid for Messi ((:>)
  • Good. I hope that they end of getting relegated. Something good at last to come from Covid19.
  • JohnBoyUK said:
    Its a loan, not a handout and interest is being paid, allbeit at a more preferential rate than what would be commercially available.

    AFAIK, Spurs refinanced some of their debt from commercial loans and switched to what was available through the government and have saved a significant sum in interest in doing so.  Exactly like we all do when we remortgage our houses.
    But if you remortgage your home you dont then spend the money on a boat or a car(well most people dont anyway) they do it because they need the money

    But you can guarantee Arsenal spend money this January maybe not loads but they will spend money.


    And thats probably why they havent gone to the Premier League as CT suggested above there was probably some clause about if u take the premier league loan you cant sign players.
    Last time I remortgaged was because could get better rate. Same as what they are doing here 
  • MrOneLung said:
    JohnBoyUK said:
    Its a loan, not a handout and interest is being paid, allbeit at a more preferential rate than what would be commercially available.

    AFAIK, Spurs refinanced some of their debt from commercial loans and switched to what was available through the government and have saved a significant sum in interest in doing so.  Exactly like we all do when we remortgage our houses.
    But if you remortgage your home you dont then spend the money on a boat or a car(well most people dont anyway) they do it because they need the money

    But you can guarantee Arsenal spend money this January maybe not loads but they will spend money.


    And thats probably why they havent gone to the Premier League as CT suggested above there was probably some clause about if u take the premier league loan you cant sign players.
    Last time I remortgaged was because could get better rate. Same as what they are doing here 
    Exactly.  And what did you do with the money you saved?

    Nice holiday? buy a car?  new 60" tv?
    Or did you put some money away for a rainy day?

    It really doesnt matter, does it? you do with it what you bloody well like.
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  • I know Arsenal are known as the Bank of England club, but I didn't think that expended to borrowing from them!

    "The CCFF is designed to provide short-term finance at commercial rates during the pandemic to companies that have strong investment ratings and which make significant contributions to the British economy.

    Does that really apply to Arsenal? It's not as if PL clubs are great profit makers. After a big player sale related profit in 2017/18, in 2018/19 Arsenal lost £30m before tax
  • Football finances are sick. The sooner the premier league goes bust and someone presses the football reset button the better. 
  • I know Arsenal are known as the Bank of England club, but I didn't think that expended to borrowing from them!

    "The CCFF is designed to provide short-term finance at commercial rates during the pandemic to companies that have strong investment ratings and which make significant contributions to the British economy.

    Does that really apply to Arsenal? It's not as if PL clubs are great profit makers. After a big player sale related profit in 2017/18, in 2018/19 Arsenal lost £30m before tax
    Surely the wages these footy clubs pay the players are taxed and our government would receive huge amounts through that .


  • JohnBoyUK said:
    Its a loan, not a handout and interest is being paid, allbeit at a more preferential rate than what would be commercially available.

    AFAIK, Spurs refinanced some of their debt from commercial loans and switched to what was available through the government and have saved a significant sum in interest in doing so.  Exactly like we all do when we remortgage our houses.
    But if you remortgage your home you dont then spend the money on a boat or a car(well most people dont anyway) they do it because they need the money

    But you can guarantee Arsenal spend money this January maybe not loads but they will spend money.


    And thats probably why they havent gone to the Premier League as CT suggested above there was probably some clause about if u take the premier league loan you cant sign players.
    Surely Arsenal are also doing it because they need the money though?

    Some people might remortgage because they want to build an extension, which is essentially improving your house to make it better. Arsenal are doing the same, taking a loan to help them buy players to improve and make them better.

    Don't really see the issue as long as they can pay it back. As an Arsenal fan though i'd be questioning why Kroenke can't just front the money for a few months, the guy is a multi billionaire.
  • JohnBoyUK said:
    Its a loan, not a handout and interest is being paid, allbeit at a more preferential rate than what would be commercially available.

    AFAIK, Spurs refinanced some of their debt from commercial loans and switched to what was available through the government and have saved a significant sum in interest in doing so.  Exactly like we all do when we remortgage our houses.
    But if you remortgage your home you dont then spend the money on a boat or a car(well most people dont anyway) they do it because they need the money

    But you can guarantee Arsenal spend money this January maybe not loads but they will spend money.


    And thats probably why they havent gone to the Premier League as CT suggested above there was probably some clause about if u take the premier league loan you cant sign players.
    Surely Arsenal are also doing it because they need the money though?

    Some people might remortgage because they want to build an extension, which is essentially improving your house to make it better. Arsenal are doing the same, taking a loan to help them buy players to improve and make them better.

    Don't really see the issue as long as they can pay it back. As an Arsenal fan though i'd be questioning why Kroenke can't just front the money for a few months, the guy is a multi billionaire.
    He’s prolly earning 5-10% on his investments and can loan for 1-2% or whatever it is , no brainer for him , only danger is if his investments go belly up 
  • Guy I spoke to recently paid I think £1600 or £1800 for his season ticket @ Arsenal I can’t quite remember.

    And there was me complaining at prices going from £199 to £210 a while back for a season ticket!

    Goodness knows what would happen to our crowd numbers (when able to go) if our new commercial director whacked up season ticket prices to that level.

    They absolutely charge a mint for their corporate seats as well , £8000 a season for 1 ticket I heard a few years back, so they must be missing that kinda money, especially if fans want refunds, if they’ve got players on huge wages and long contracts, they are in a bit of bother.

    A lot of businesses back in the real world have had to take out loans, just to offset the impact and costs of Covid, which is not really discussed but accepted, Arsenal are no different.
  • MrOneLung said:
    JohnBoyUK said:
    Its a loan, not a handout and interest is being paid, allbeit at a more preferential rate than what would be commercially available.

    AFAIK, Spurs refinanced some of their debt from commercial loans and switched to what was available through the government and have saved a significant sum in interest in doing so.  Exactly like we all do when we remortgage our houses.
    But if you remortgage your home you dont then spend the money on a boat or a car(well most people dont anyway) they do it because they need the money

    But you can guarantee Arsenal spend money this January maybe not loads but they will spend money.


    And thats probably why they havent gone to the Premier League as CT suggested above there was probably some clause about if u take the premier league loan you cant sign players.
    Last time I remortgaged was because could get better rate. Same as what they are doing here 
    Not sure it is.  Are CCFF Papers allowed to be used to refinance existing commercial loans? 

    I don't know but suspect there are rules governing their use. 

    Govt money unlikely to be allowed to be used for risk transferance / cheaper debt costs or at least that would be limited I would imagine.  
  • 120 m is peanuts to a prem club like them
  • It does seem odd that Arsenal and Tottenham have been granted circa £300M in public money, even if it by way of a loan, whilst we are coping with the impact of a pandemic. 

    Ryanair got a £600M loan despite being headquartered and (presumably) tax paying in Ireland which also seems strange. 
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