Originally Posted by Anderson Searl
So if we did a million pound bond at 5.25% for 10 years, we'd get back 1.525 Million instead?
Which over a span of hundreds of millions of pounds makes a bit of an impact, but how would we re-pay increasing debt off if monies used to do that is being spent on these bonds.
Most of my financial knowledge of football comes from FM so this is all spanlgishneese to me
Not sure what you mean exactly. It's essentially a loan from investors who get guaranteed interest. Investors like pension plans or hedge funds are usually the most interested because they get guaranteed returns over the long term which is what there shareholders want. It helps united because they won't have to worry about paying 69 million interest per year it would be something in the 15-20 million range (I'd guess). That way they free up operating profit to pay down the debt that will come due in X amount of years.