After announcing the long-awaited news of the debt restructuring agreement, Valencia announced the convening of a General Shareholders' Meeting to approve a €325 million loan to finance the Nou Mestalla. The works have to start, at the latest, in 52 days.

"A historic milestone" that will give "liquidity, solvency and depth"

Valencia CF has reached one of the most important milestones in its 105-year history: the complete transformation of its capital structure, reads the club's statement. This restructuring was carried out by the bank Goldman Sachs, which acted as agent and found new creditors for the Valencian club.

With this, the club gets a €65m bridge loan provided directly by Goldman Sachs and a long term loan for €121m from the US Private Placement (USPP) capital market, liquidating its previous debt. The club assures that this will give it liquidity, solvency and financial depth and that this is a unique operation at Spanish or European level.

 © Valencia CF

Former president critical of restructuring

The club hopes to refinance the bridge loan in the Nou Mestalla deal, which is in progress and is expected to be completed in a few months. In a letter sent to shareholders, president Lay Hoon Chan assures that preparations are underway to make the Nou Mestalla a reality and boasts of the successes of the youth and women's teams. She doesn’t mention the situation of the first team, at the bottom of Primera, but does thank the unwavering loyalty both when playing at home and away of a fan base that has recently been very hard on the board.

But not everyone assesses the situation so positively. I don't think the stadium is the salvation of the club. You need machinery to make a good product. And the machinery is the football team, says Manuel Llorente, shareholder and former president of the club, in an interview for Cadena SER. He believes that Valencia had no alternative to refinancing because of its economic situation and the operation is a kick forward and we'll see.

 © Valencia CF

52 days to start the works

The next step is to present the new Nou Mestalla project to the public, which according to Relevo is scheduled for December. It will most likely be before December 19 or on that same day, as the club has called the General Shareholders' Meeting for then. On the agenda is the vote on the financing of the Nou Mestalla. The club wants to borrow €325m to finish the stadium, of which €65m would go to cover the bridge loan from Goldman Sachs.

The measure will most likely be approved, as Peter Lim owns a large majority of shares. Work should begin on January 11, 2025 and be completed within 30 months, i.e. by July 11, 2028 at the latest. The club has, therefore, 52 days to tie up all loose ends.

<h2>"A historic milestone" that will give "liquidity, solvency and depth"</h2>

<p>"Valencia CF has reached one of the most important milestones in its 105-year history: the complete transformation of its capital structure," reads the club's statement. This restructuring was carried out by the bank Goldman Sachs, which acted as agent and found new creditors for the Valencian club.</p>

<p>With this, the club gets a €65m bridge loan provided directly by Goldman Sachs and a long term loan for €121m from the US Private Placement (USPP) capital market, liquidating its previous debt. The club assures that this will give it "liquidity, solvency and financial depth" and that this is a unique operation at "Spanish or European" level.</p>

<h2>Former president critical of restructuring</h2>

<p>The club hopes to refinance the bridge loan in the Nou Mestalla deal, which "is in progress and is expected to be completed in a few months". In a letter sent to shareholders, president Lay Hoon Chan assures that "preparations are underway to make the Nou Mestalla a reality" and boasts of the successes of the youth and women's teams. She doesn’t mention the situation of the first team, at the bottom of Primera, but does thank "the unwavering loyalty" both when playing at home and away of a fan base that has recently been very hard on the board.</p>

<p>But not everyone assesses the situation so positively. "I don't think the stadium is the salvation of the club. You need machinery to make a good product. And the machinery is the football team," says Manuel Llorente, shareholder and former president of the club, in an interview for Cadena SER. He believes that Valencia had no alternative to refinancing because of its economic situation and the operation "is a kick forward and we'll see".</p>

<h2>52 days to start the works</h2>

<p>The next step is to present the new Nou Mestalla project to the public, which according to Relevo is scheduled for December. It will most likely be before December 19 or on that same day, as the club has called the General Shareholders' Meeting for then. On the agenda is the vote on the financing of the Nou Mestalla. The club wants to borrow €325m to finish the stadium, of which €65m would go to cover the bridge loan from Goldman Sachs. </p>

<p>The measure will most likely be approved, as Peter Lim owns a large majority of shares. Work should begin on January 11, 2025 and be completed within 30 months, i.e. by July 11, 2028 at the latest. The club has, therefore, 52 days to tie up all loose ends.</p>