Supporters group are trusting the Peterborough United bond scheme

The Peterborough United Supporters Trust has offered strong support to the club’s bond scheme as a way of raising funds.

By Alan Swann
Thursday, 19th May 2022, 9:06 am
The Weston Homes Stadium
The Weston Homes Stadium

Posh launched their bond scheme as a way of raising money to improve facilities at the Weston Homes Stadium in the five years it will take for the club to make their planned relocation to the Embankment. A safe standing area at the London Road End of the ground and a swish new sports bar are planned.

Any additional funds will go towards the planning and development of the new stadium, something the Trust enthusiastically supports. Investment specialists Tifosy are running the scheme.

The priority investment period is now open for those who pre-registered, but it’s not too late to register to invest when the bond opens to the public on Monday May 23.

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The Trust has now issued a statement.

It read: ‘The comments here should not in any way be construed as advice to Trust members or other Posh fans about whether or not they should invest. It is for individuals to decide, after taking financial advice if they wish to do so.

‘Our comments are based on published information from the offer document on the Tifosy website, the PUFC financial accounts and the ‘comfort letters’ from the three owner directors, that are also on the Tifosy website.

‘The reasons for the bond funding have been well explained by the club and the directors and the bonds have a number of attractive features in terms of interest and repayment terms. In terms of the proposed projects, we understand the club had already made a commitment for safe standing and the Trust is particularly enthusiastic that funds will be directed to the planning application for a new stadium on the Embankment.

‘The club is already carrying significant debt, £16.2m net at 31st December 2021, and the bond proceeds will increase this debt by £2.5M, while annual interest payments the club has to make to debt holders are increasing.

‘As the directors have said during the introductory period for the bonds, they see the bond as an opportunity to bring the fans and the club closer together with an enhanced financial reliance on each other, adding to the strong emotional commitment that already exists.

‘The Trust strongly supports this as a method of ensuring the sustainability of the club and we hope to see practical proposals being brought forward as a result.

‘As with other clubs who have successfully raised funds in this way, there is an implicit requirement for a high level of trust between the investing supporters, the club and its directors.

‘The Trust is encouraged to see the ‘letters of comfort’ from the three owner directors in the Tifosy proposal with the directors committing to ensuring that PUFC ..."will have adequate financial resources and will be in a position to meet its obligations in respect of the Peterborough United Bonds".