Championship clubs receive £117.5m cash injection after loan secured


hampionship clubs will be boosted by an immediate £117.5million cash injection after the EFL secured a loan from MetLife Investment Management.

The money will enable Championship clubs, who have been hit hard by the Covid-19 pandemic, to meet PAYE liabilities.

The EFL say clubs in the Championship estimate they’ve lost approximately £150m in gate receipts and missed out on other matchday revenue streams due to games taking place behind closed doors.

The £117.5m loan from MetLife Investment Management, the institutional asset management business of MetLife Inc., matches the total amount requested by Championship clubs and will help them meet PAYE liabilities.

EFL chair, Rick Parry said: “This past month has marked an unwelcome anniversary for football with supporters now being unable to attend matches for a 12-month period, resulting in multiple negative consequences. 

“This is therefore a much welcome, timely package of support for Championship Clubs, whose operations have continued to incur significant costs without generating anywhere near normal levels of revenue.

“I’d like to thank MetLife Investment Management for the positive, proactive approach they adopted throughout our negotiations and for meeting our requirements in what are a unique set of circumstances. 

“The support will be pivotal to Clubs being able to re-evaluate their financial position and help them start to plot their way out of the pandemic and plan with greater certainty for 2021/22 when we are hoping for the return of fans in large numbers.”

The loan comes in the wake of £50m of financial aid being made available for League One and Two Clubs by the Premier League, who have also provided a payment commitment of up to £15m in support of the EFL securing this loan facility.

The EFL say the transaction was agreed with MetLife Investment Management following a competitive bidding process, in which the EFL received solicited and unsolicited financing proposals from a wide range of potential private financing providers and UK banks alongside discussing loan options with the UK Government that could not be progressed due to the restrictions being imposed.

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