Tottenham Hotspur FC completes stadium refinancing package

Tottenham Hotspur Football Club has completed a £637m multi-tranche, long-term refinancing to support the construction of its new stadium. The club has raised £525m via a private placement in the US market, and received a £112m term loan from Bank of America Merrill Lynch, while HSBC provided an additional revolving facility. The refinancing extends the longest debt maturities to 30 years, with the average maturity of the total debt package of £637m being 23 years. The weighted average coupon, including the new bank facilities, is 2.66%. Tottenham Hotspur said it strong global profile helped garner it support. The proceeds from the issue will be used to repay the short-term bank debt which was raised during the construction phase of the stadium from Bank of America Merrill Lynch, Goldman Sachs and HSBC. Daniel Levy, club chairman, said: “We have continued to develop Tottenham Hotspur in line with prudent financial management and investment into the club’s key infrastructure and our fast-growing global brand, successfully matching long-term assets with long-term financing. “It is a tribute to the team on and off the pitch that we have achieved what is considered to be one of the most attractive financing deals in the world of sport. Our club is extremely well positioned as we move forward, delivering the excitement and entertainment of Premier League and Champions League football, NFL, rugby, concerts and much more.” Bank of America Merrill Lynch acted as the lead placement agent and sole bookrunner, with HSBC serving as a co placement agent for the private placement, while Rothschild & Co advised the club on the financing. To send feedback, e-mail louise.dransfield@egi.co.uk or tweet @DransfieldL or @estatesgazette