That huge and rapid expenditure is recorded in a document filed at Companies House on Christmas Eve, showing the cancellation of £305m which Mansour initially put into the club as loans. That includes some debt Mansour inherited when he took over the then stricken club from the former prime minister of Thailand, Thaksin Shinawatra, and his expenditure since on players including Robinho, Craig Bellamy, Nigel de Jong, Shay Given, Wayne Bridge, Gareth Barry, Roque Santa Cruz, Joleon Lescott, Carlos Tevez, Emmanuel Adebayor, Kolo Touré and other investment in the infrastructure at Eastlands.
According to the document, all £305m of the loans from Mansour's Abu Dhabi United Group were cancelled in return for new shares in the club. Mansour's group also bought further shares for £89.6m, to finance City's hugely increased wage bill and other expenditure this season.
City last night released figures from their official accounts for the year to 31 May 2009, which includes the first nine months of Mansour's ownership. The club recorded almost a tripling of the previous year's loss, to £92.6m, caused, it said in a statement, "primarily by increased playing staff costs".
This has got a lot of coverage in the media but I'm not sure how big a story it is in itself. I mean, everyone who follows football knows that Sheikh Mansour has ploughed an unprecedented volume of money into MCFC since he took over. And so the announcement of precisely how much money he has put in doesn't really seem to be here or there.
It is good to hear that the Sheikh's investment is in the form of shares rather than loans, though. We don't want nine figure loans to pay off should anything untoward happen.
2 comments:
i beleive the ownership are taking measure that will develop over the next 5 years to improve the clubs income and with a focus on youth production curb our outlay and make us a more profitable force!
In doing this, the surrounding area of the ground will be bought and developed to add other entertaiment fields of interest! The ground needs to pull people in most of the years rather than 30 odd days in a year!
So expect big news and exciting developments this year and the next!
The media are making a meal of it, as is all those United supporting puppet journalists.
Short straw of the story is as follows.
Manchester City now have £0 debt
Manchester City now operate at 6% more profit than last season
Manchester City have £90 million to spend in January on transfers
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