Tottenham owners ENIC have injected £150m into the club, which will allow the club to ‘further invest on and off the pitch’.
The news comes at a time when Antonio Conte’s Spurs future has been thrown into doubt by interest from Paris Saint-Germain, and the promise of financial backing will go a long way to keeping the Italian contented in north London.
Tottenham announced the injection of funds in a club statement on Tuesday.
“Tottenham Hotspur Limited (the “Club” or “Spurs”) has, today, Tuesday 24 May 2022, agreed a capital increase of up to £150m from majority shareholder, ENIC Sports Inc (“ENIC”), via the issue of convertible A Shares and accompanying warrants.
“The equity injection provides the Premier League Club with greater financial flexibility and the ability to further invest on and off the pitch.
“The investment represents permanent capital, with no ongoing interest cost to the Club, and which may be drawn in tranches until the end of the year. The Club’s independent directors have benefited from its majority shareholder’s ability to invest directly, swiftly and without the extensive due diligence and documentation involved in third party funding.
“Under the agreed structure the A Shares can be converted into ordinary shares. The number of ordinary shares granted to ENIC as a result of the capital increase will vary depending on when the A Ordinary Shares are converted, when the warrants are exercised and valuations at the time.
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“If drawn in full, and based on assumptions regarding the above, ENIC’s ownership of the Club could see an increase from its current level of 85.6% to circa 87.5% on conversion. Any dilutive impact is dependent on the number of shares granted and will be shared by all shareholders proportionately and principally by ENIC, the majority shareholder.”
Club chairman Daniel Levy added: “The delivery of a world-class home was always a key building block in driving diversified revenues to enable us to invest in the teams and support our ambitions to be consistently competing at the highest levels of European football. Additional capital from ENIC will now enable further investment in the Club at an important time.”
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