Hugh James advises Welsh Rugby Union
Hugh James Banking and Finance team
has supported the strategic planning of the Welsh Rugby Union and
Millennium Stadium plc, by advising on its new restructured debt
agreement with Barclays Bank.
27 I 07 I 10
The facilities of the Welsh Rugby Union (WRU)
have been restructured on a more commercial footing. The new
financial structure, agreed through negotiation with Barclays
Corporate, will fast track the repayment of the multi-million pound
bank debt related to the construction of the Millennium Stadium and
the ongoing requirements of the business.
A key factor in the new bank arrangement is
the increased "revolving" facility from £10 million to £15 million
which allows the WRU to pay off significant sums when it is
generating high income and then have the freedom to call upon
increased support if required.
The Group Chief Executive of the WRU, Roger
Lewis, said: "This is a clear signal that we have now achieved a
proper level of corporate confidence in the sound financial base of
the Group.”
“The deal gives the WRU a new level of
financial freedom to leave a legacy of financial sustainability for
Welsh rugby and the stadium for generations to come.”
Banking and finance experts at Hugh James
advised on the new banking facility arrangement, including the
provision of advice on the drafting of the new documentation and
dealing with constitutional issues.
Rob Morgan, a partner in the Hugh James
Banking and Finance team, said: “We are delighted to continue our
support for the Welsh Rugby Union with their ambitious financial
plans. Our long-standing relationship means that we really
understand the business, and can provide innovative solutions as it
continues to evolve."
The WRU's Group Chief
Executive Roger Lewis discusses plans to be debt free by
2021.