Daniel Levy has revealed that Tottenham "are in discussions" to sell a stake in the club after posting losses of £86 million ($108m).
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Levy earned £6.58 million last season including bonusesSpurs incurred a £86.8 million lossTalks are on with potential investors for a percentage saleWHAT HAPPENED?
As per , Levy received a staggering £6.58 million including bonuses in the previous season, solidifying his status as the highest-paid executive among Premier League clubs. Having steered Tottenham for over 22 years, Levy has overseen a transformative period for the club, both on and off the field.
Under his leadership, Spurs have evolved into one of the top sides in England and have reported a record-breaking turnover of £549.6 million for the latest financial year. This remarkable achievement can be attributed to various revenue streams, including match receipts, UEFA prize money, TV and media rights, and commercial ventures. Notably, Tottenham's qualification for the Champions League knockout stages also significantly bolstered their financial performance.
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In light of Tottenham's ambitious long-term goals, Levy disclosed ongoing discussions regarding the potential sale of a significant stake in the club.
Levy said in a statement: "To capitalise on our long-term potential, to continue to invest in the teams and undertake future capital projects, the club requires a significant increase in its equity base.
“The board and its advisors, Rothschild & Co, are in discussions with prospective investors. Any recommended investment proposal would require the support of the club’s shareholders.”
LEVY INSISTS SPURS REMAIN COMPLIANT WITH PSR RULES
However, Tottenham's financial report also revealed a substantial after-tax loss of £86.8 million, a significant increase from the previous year's figure of £50.1 million. Despite this setback, Levy assured stakeholders that Tottenham remains compliant with the Premier League's Profit and Sustainability Rules (PSR).
Levy added: “The club remains fully compliant with the Premier League Profit and Sustainability Rules (PSR) and is supportive of the enhancement of PSR to ensure the PL remains competitive and sustainable.
“We expect commercial revenues to rise from third-party events, although this will not compensate for the lack of European football this season. Additionally, as reflected in these results, we expect the impact of rising costs, caused by geo-political events, to continue to impact all areas of our operations.
“Our ethos is clear — to be far-sighted and run the club sustainably. This involves strict control of our cost base, increased commercial and sponsorship revenues and consistent European participation, all of which are key to our ability to continue to invest in the squad and win top honours.”
Football finance expert Kieran Maguire also assured that Spurs have not violated the red line due to their substantial infrastructure costs. While Premier League clubs can incur losses of up to £105 million over a three-year period, Tottenham have an additional blanket of £70 million a year for the expenditures undertaken by the club to build the state-of-the-art Tottenham Stadium.
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With aspirations for continued success, Tottenham's strategic initiatives, including potential stake sales, aim to secure the club's long-term viability and competitiveness in English football. The Lilly Whites are currently vying for a top-four finish and will be in action again on Sunday against Nottingham Forest in another Premier League encounter.
