Can't sleep so I did what any sane man would and checked out Tottenham's financial results, only to stumble upon the following:
https://www.tottenhamhotspur.com/media/10293/tottenham-hotspur-limited-300617-annual-report-2017.pdf
Page 27:
15. Non-current liabilities (continued) Bank loans (in notes 14 and 15)
The Investec Bank facility of £16,000,000 used to fund the construction of the new Training Ground and secured against the new Training Ground site was amended and extended to £25,000,000 in August 2015. Following a repayment of £2,000,000, £23,000,000 is outstanding at the balance sheet date and repayable over the period to December 2022. No further amounts can be drawn on this facility. The interest on this amount is paid quarterly and tracks the London Inter- Bank Offer Rate. The bank loan is shown in the financial statements net of £212,000 of associated loan arrangement costs which are being amortised over the term of the loan.
In May 2017 a £400,000,000 Bank loan was entered into with HSBC Bank plc, Goldman Sachs Bank USA and Bank of America Merrill Lynch International Limited for the purpose of constructing the new stadium site. The Bank loan is guaranteed by debenture over the legal mortgage of the freehold interest in the new stadium site and fixed security over the shares in Tottenham Hotspur Football & Athletic Co. Ltd and Tottenham Hotspur Stadium Limited and other specific security. At the balance sheet date £152,489,000 of the loan was drawn. The loan is repayable in May 2022 and is shown in the financial statements net of £3,972,000 of associated loan arrangement costs which are being amortised over the term of the loan.
In May 2017 a £25,000,000 short-term revolving loan which forms part of the Group’s £400,000,000 facility was entered into with HSBC Bank plc, which is secured against Group assets and expires in May 2022. At the balance sheet date £10,000,000 was drawn. This loan is shown in the financial statements net of £121,000 of associated loan arrangement costs which are being amortised over the term of the loan.
In December 2015 a £200,000,000 Bank loan was entered into with HSBC Bank plc, Goldman Sachs Bank USA and Bank of America Merrill Lynch International Limited for the purpose of constructing the new stadium site. The Bank loan was secured against White Hart Lane Stadium and future gate and corporate hospitality receipts generated at the Stadium. At the prior year balance sheet date £100,000,000 of the loan was drawn and was shown in the financial statements net of £855,000 of associated loan arrangement costs which are being amortised over the term of the loan. The loan was repaid in May as part of the Bank loan detailed above.
I'm no accountant but from what I can see in each paragraph the following has occurred:
1. The club still owe £23m on the training ground loan, due to get paid up in full in December 2022
2. The club took out a £400m loan in May 2017 that needs to get paid up in full by May 2022
3. The club took out a further £25m loan in May 2017, due to get paid up in full by May 2022
4. The club took out a loan of £200m in December 2015 which has now been paid back in full.
So the club has outstanding bank loan debts of
£448m that needs to get paid in the next 3 years but has already paid off
£200m. Anyone that can clarify if that's correct? If so it's good to see the club has actually paid £200m & that the other bank debts are due to get paid back relatively quickly compared to what I imagined.
If this is correct it means the club has forked out £200m to pay off the stadium already which if so is pretty good and shows we aren't just sitting on it all. Surprising to see the training ground still has pretty much all of its debt to get paid back however.
If anyone can clarify that would be great.
