UK/EUROPE - Pensions funds will shortly have the opportunity to invest in another securitisation by a football club.
Market rumours suggest that a EUR100m (£61m) securitisation from an as yet unnamed German football club will be the first from newly formed securitisation specialists Schechter & Co. The deal is expected within the next couple of weeks.
A source close to the deal said: “It will open a few eyes across Europe towards this sort of securitisation.”
The deals work by clubs receiving cash from investors for a loan that is backed by future gate receipts and the stadium mortgage.
Leeds United, Newcastle United, Southampton, Ipswich Town and relegated Leicester City have also brought deals to the market bringing the total raised via this route to £253m. Tottenham Hotspur is also believed to be investigating a potential deal over this summer.
Former Lazard Asset Management managing director and head of debt finance advisory Steve Schechter has set up Schechter & Co to manage such cash generating deals for football clubs.
By Paul Sanderson
Mark Evans has been appointed as a director at Independent Trustee Services (ITS) to lead trustee appointments in London.
The Pension Protection Fund (PPF) is consulting on changes to the actuarial assumptions it uses in valuations in a bid to better reflect the bulk annuity market, with schemes set to move into surplus on aggregate.
Private sector defined benefit (DB) schemes were 96.3% funded on a Pension Protection Fund (PPF) compensation basis at the end of July, according to the lifeboat fund's monthly index.
Conduent has completed the sale of its actuarial and human resource consulting business to private equity investor, H.I.G. Capital.