Debt-ridden second division football team Schalke 04 can expect a windfall of 90 million euros. Through the success of their new bond placement, Royal Blues said they raised almost double the money from their initial plan of additional income of 50 million euros.
Due to high demand, Schalke increased the publishing volume until the end of the subscription period, regardless of further private placements. However, the paper is still oversubscribed with a term of five years and a minimum annual interest rate of 6.5 percent.
“This issue,” said Schalke CFO Christina Rühl-Hamers, “puts us in a position to reorganize our financial structure in the long term – a very strong strategic choice for our club. With this tie, we gain new financial scope for action and at the same time increase the security of our planning.”
The miners want to use the fresh money to replace two previous bonds in 2021 (15.9 million euros) and 2022 (34.1). The additional funds are now aimed at accelerating the repayment of future obligations.
