Leicester chairman relieves £196m of club debt owed to parent company

Over £194m in loans and related interest has been capitalised into equity issued to King Power International.

Pa Sport Staff
Wednesday 01 February 2023 06:39 EST
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(Getty Images)

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Leicester City have announced chairman Aiyawatt Srivaddhanaprabha has relieved the club of the outstanding £194million debt which was owed to parent company King Power International.

The Premier League club said over £194m in loans and related interest had been capitalised into equity issued to KPI, which is wholly owned by the Srivaddhanaprabha family.

Leicester 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.”

It is the second time the Foxes have completed a debt-to-equity transfer under the Srivaddhanaprabha family’s ownership, with £103m worth of debt relieved in 2013.

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