August 28 – Ertuğrul Doğan, the president of Turkey’s Trabzonspor, is withdrawing the club from its loan agreement with the Banks Association of Turkey and instead raising money through an increase in capital.
Dogan made his statement via the official club website, saying the club was paying TL 600 million (€15.7 m) interest annually.
“As Trabzonspor, with the capital increase application we made, we will officially leave the Banks Association of Turkey with the resources we will obtain and close all our bank loans. With this move, our club will be relieved of an annual interest burden of 500-600 million lira. In an environment where interest rates are at 55%, we will provide great financial relief for our club with the successful completion of our process,” said Doğan.
Emphasizing that Trabzonspor’s other debts will also be paid, Doğan said: “When the reports we announced on the Public Disclosure Platform (PDP) are examined, it will be seen that we have taken serious steps to get rid of not only bank loans but also many other debts. We believe that we will strengthen Trabzonspor’s financial structure to a great extent at the end of this process.”
Doğan stated that the new equity finance will return the club to the black.
“With this capital increase, we want to turn our club’s equity capital into positive and eliminate many financial criteria, especially UEFA’s Positive Equity Rule, from being a problem for Trabzonspor anymore,” said Dogan.
“Trabzonspor, which has no insurance premium debt, will also make a serious payment plan regarding its tax debts. With the capital increase, which is one of the important steps we have taken towards a zero-debt policy, we aim to make serious progress towards securing Trabzonspor’s future.”
Contact the writer of this story, Aleksander Krassimirov, at moc.l1734914862labto1734914862ofdlr1734914862owedi1734914862sni@o1734914862fni1734914862