Leicester City Chairman Aiyawatt Srivaddhanaprabha has relieved the Club of its outstanding debts to its parent company, King Power International.
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.
These loans have been provided by KPI to the Club over the last four years to fund the construction of the Club’s world-class new training ground at Seagrave and to continue to support the Club’s investments into its squad and Women’s football during the COVID-19 pandemic.
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.
It is the second time such a process has been undertaken since the family took ownership of Leicester City in 2010, having completed a £103M debt-to-equity transfer in 2013. In both cases it has ensured that all existing shareholder investment in the Club will not be carried forward as debt.
Leicester City Chairman Aiyawatt Srivaddhanaprabha said: “Maintaining long-term stability is vital for sustainable growth and a fundamental principle that has always guided our investments in the Club’s future. We want to make sure we continue on that path from the strongest, most secure financial footing.
“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.”
Leicester City was acquired by the Srivaddhanaprabha family in 2010 and quickly made part of its King Power Group, which supported the Club’s rise from the Championship to the Premier League.
As well as overseeing unprecedented success on the pitch – including winning the Premier League in 2016, winning the FA Cup and Community Shield in 2021 and embarking on three memorable European campaigns – the Srivaddhanaprabha family have transformed the Club off it.
Our state-of-the-art new training facility in Seagrave, north Leicestershire was opened in December 2020, providing a world-class facility both for our Men’s First Team and for future generations of young players on the development pathway through the Club’s Academy. LCFC Women was launched earlier in the same year, with the team winning promotion to the top flight of the women’s game in their first professional season.
Under King Power ownership, the Club has continually strived to be a force for good in its communities, supporting valued causes throughout Leicestershire through the establishment of its charitable foundation in 2012.
It was renamed the Vichai Srivaddhanaprabha Foundation after the Club’s late Chairman and patriarch, in whose name it continues to support some of the most disadvantaged in our communities.