Thai supremo cancels Leicester City’s 7.8 billion baht debt
Aiyawatt Srivaddhanaprabha revealed his long-standing commitment to Leicester City Football Club by cancelling the club’s enormous debt.
Aiyawatt, the Leicester chairman, yesterday announced he has cleared the £194 million (7.8 billion baht) debt the Foxes owe to its parent company King Power International (KPI).
This was accomplished through a debt-to-equity transfer to KPI, freeing Leicester from its outstanding liabilities. The club stated that this demonstrates KPI’s dedication to ensuring the club’s long-term stability, reported the BBC.
The club said in a statement…
“These loans have been provided by KPI to the club over the last four years to fund the construction of the club’s world-class new training ground at Seagrave and to continue to support the club’s investments into its squad and women’s football during the Covid-19 pandemic.
“Their conversion into equity serves to strengthen the club’s balance sheet, reduce its interest costs, and provide further evidence of KPI’s commitment to supporting the club’s long-term sustainability.”
This marks the second debt-to-equity transfer completed under the Srivaddhanaprabha family’s ownership, with the first being in 2013 when £103m of debt was paid off. The transfer ensures that all prior shareholder investments in the club will not be treated as debt going forward.
The Srivaddhanaprabha family, owners of King Power, acquired Leicester in 2010. Over the past 13 years, the club has achieved remarkable success on the field, including winning the Premier League in 2016 and the FA Cup and Community Shield in 2021.
Since the passing of his father, Vichai, in a helicopter crash outside the club’s stadium in 2018, Aiyawatt has assumed the role of chairman.
The 37 year old Foxes chairman added…
“We want to make sure we continue on that path from the strongest, most secure financial footing.
“I believe with all my heart in Leicester City and what the club can achieve for our fans, our people and our communities — in Leicester, Thailand and around the world.
“The faith they continue to place in us to run their club responsibly with ambition and integrity guides our decision-making and remains vital to us building on one of the most successful eras in the club’s history.”
Leicester currently lies in 14th place in the Premier League this season, one point and five places above the relegation zone. The club has drawn one and lost four of its last five games.
