On the debt point - please answer this. Why would the owners leave debt on the King Powers books that it would never be able to pay off?
This is like a loan from the bank of mum and dad. It was never going to be paid. All that’s happening now is they are converting the debt to equity that they would never get back, Happens all the time. Makes the balance sheet look better - if you want to sell the club then you need to do it etc.
I’m not arguing against their commitment or the money they have put into the club, I’m saying the debt write off isn’t quite the magnanimous gesture some fans think it is
City v Southampton
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posted on 7/5/25
On the debt point - please answer this. Why would the owners leave debt on the King Powers books that it would never be able to pay off?
This is like a loan from the bank of mum and dad. It was never going to be paid. All that’s happening now is they are converting the debt to equity that they would never get back, Happens all the time. Makes the balance sheet look better - if you want to sell the club then you need to do it etc.
I’m not arguing against their commitment or the money they have put into the club, I’m saying the debt write off isn’t quite the magnanimous gesture some fans think it is
Page 2 of 2