Arsenal take £ 120million loan after finance takes COVID-19 hit

FILE PHOTO: Soccer Football – Premier League – Arsenal v Aston Villa – Emirates Stadium, London, Great Britain – November 8, 2020 General view of a corner flag inside the stadium before the Pool match via REUTERS / Andy Rain / Files

(Reuters) – Arsenal has borrowed 120million pounds ($ 162.65million) from the Bank of England to ease pressure on their finances in the wake of the COVID-19 pandemic, Premier’s club said Thursday League.

The club have announced that they meet the criteria set by the Bank of England for the Covid Corporate Financing Facility (CCFF), and that they have taken out a short-term loan, which is due to be repaid by May 2021.

The move comes after north London rival Tottenham Hotspur borrowed £ 175million from the CCFF program in June.

“As we continue to work on the implications of the global pandemic on our finances, we can confirm today that the club has met the criteria set by the Bank of England for the Covid Corporate Financing Facility (CCFF),” says a statement.

“As a result, we are taking out a short-term loan of £ 120million through this facility to partially help manage the impact of lost income due to the pandemic.

“It’s a similar approach to that taken by a wide variety of major organizations in many industries, including sports.”

The help from the CCFF program comes on top of a loan from Arsenal owners Kroenke, Sports & Entertainment, which enabled the club to refinance debt on its Emirates Stadium last year.

($ 1 = 0.7378 pounds)

Reporting by Peter Hall, editing by Pritha Sarkar

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