Leicester City chairman clears £194 million debt to ease concerns over club´s finances

Premier League club Leicester City chairman has paid the debt it owed parent company, King Power International 

Aiyawatt Srivaddhanaprabha, the chairman of the Premier League team Leicester City has cleared a debt of £194 million (€219 million), it owed to its parent company King Power.  

This move by the club was taken to ease concerns over its finances, relieving it of the outstanding debt it owed to the company owned by the Thai family.  

As per a statement issued by the club, “Over £194m in loans and related interest has been capitalised into equity issued to King Power International Co Limited (KPI), which is wholly owned by the Srivaddhanaprabha family”, as cited by Express.  

He added, “Their conversion into equity serves to strengthen the Club’s balance sheet, reduce its interest costs, and provide further evidence of King Power International’s commitment to supporting the Club’s long-term sustainability.” 

“I believe with all my heart in Leicester City and what the Club can achieve for our fans, our people, and our communities – in Leicester, Thailand, and around the world” 

“The faith they continue to place in us to run their Club responsibly with ambition and integrity guides our decision making and remains vital to us building on one of the most successful eras in the Club’s history.” 

The loan was provided by KPI over the past four years with an aim to help construct the Club´s new world-class training ground at Seagrave. It was also used to help continue the support of the investment into squads, as well as their Women´s football during the COVID-19 pandemic.  

This move by Srivaddhanaprabha is the second time since his family took over the club that their family has cleared its debts.  

The first time was done by his late father Vichai who made a £103 million (€116 million debt-to-equity transfer in 2013.  

Vichai eventually died in a tragic helicopter crash in 2018 which took place outside the King Power Stadium.  

The club is still reported to pay various other loans taken from banks and is still not completely debt free.

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