Benfica launched this Wednesday a new bond issue (EO), confirming the information provided CM March 24 that a debt issue is being prepared. The Eagles are asking for 35 million euros, which is what the EO for 2021-2024, which ends on July 28, costs.
This loan extension will cost the red treasury at least another 2.43 million euros. This is due to the fact that the interest rate is increasing from the current 4% to the currently proposed 5.1%. The €35 million requested in 2021 implies interest costs of €1.4 million per year, with costs rising to €1.785 million in this new edition. This is an additional annual cost of €385 thousand, resulting in €1.155 million over the life of the loan. To this cost must also be added €1.28 million in operational costs (including coordination and consultant fees, advertising and CMVM fees).
The amount of this expense may be higher if the embodied SAD decides before the 17th of the current month – two days before the end of the issue – to increase the requested amount. Eagles, you know CM, will be able to take advantage of the fact that they received a lower interest rate than the 5.75% maintained on the loan issued in 2023 to extend the operation this year to €50 million.
Overcoming the threshold of 300 thousand participants
In a bond prospectus presented to the market this Wednesday, Benfica said it had 317,417 members as of December 31, 2023. This is an increase of 12.85% supporting an additional 36,152 members in one year. According to the Eagles, nearly 106,000 members are regulars and nearly 103,000 are correspondents. More than 68 thousand were minors and children.
Benfica starts with an exchange offer. Those who hold 2021-2024 bonds can exchange them for new 2024-2027 bonds, receiving the interest they are owed at that time. ONLY LEFT
Simultaneously with the exchange, a new issue will be made to reach the available amount of 35 million euros. Market research shows that this amount, and even 50 million euros, will be easily achieved in the first few days. UEFA AND MORE
As with the broadcasts of other major players, Benfica are aware of the risk of failure in the Champions League for their activities due to lack of prizes and player recognition.
Overcoming the threshold of 300 thousand participants
In a bond prospectus presented to the market this Wednesday, Benfica said it had 317,417 members as of December 31, 2023. This is an increase of 12.85% supporting an additional 36,152 members in one year. According to the Eagles, nearly 106,000 members are regulars and nearly 103,000 are correspondents. More than 68 thousand were minors and children.
DETAILS
Benfica starts with an exchange offer. Those who hold 2021-2024 bonds can exchange them for new 2024-2027 bonds, receiving the interest they are owed at that time. ONLY LEFT
Simultaneously with the exchange, a new issue will be made to reach the available amount of 35 million euros. Market research shows that this amount, and even 50 million euros, will be easily achieved in the first few days. UEFA AND MORE
As with the broadcasts of other major players, Benfica are aware of the risk of failure in the Champions League for their activities due to lack of prizes and player recognition.
Author: João Moniz
Source: CM Jornal
I’m Dave Martin, and I’m an experienced journalist working in the news industry. As a part of my work, I write for 24 News Reporters, covering mostly sports-related topics. With more than 5 years of experience as a journalist, I have written numerous articles on various topics to provide accurate information to readers.