In a statement to the Portuguese Securities Market Commission (CMVM), Sporting Clube de Portugal announced the full repayment of a credit securitization operation stemming from the television rights assignment contract with the company NOS to Sagasta Finance, executed without financial charges as unanimously resolved by bondholders.
“As a result, Sporting SAD and Sporting Communication and Platforms have reacquired all credits emerging from the contract up to its expiration,” the statement indicated.
In its efforts to restructure debt with Novo Banco, Sporting once again advanced revenues from television rights in December 2023, transferring contract credits from NOS to Sagasta, whom it had already engaged with in a similar agreement in 2022 to acquire Mandatory Convertible Securities (VMOC) held by BCP.
The agreement with NOS was initially announced in December 2015 under the presidency of Bruno de Carvalho. It covered the broadcasting rights of home games played by the senior football team and the exploitation of static and virtual advertising at the José Alvalade Stadium in Lisbon, spanning 10 seasons starting in 2018/19.
Valued at 515 million euros, the deal also included the transmission and distribution of Sporting TV channel over 12 seasons starting from 2017/18, placing NOS as the main sponsor of the club for a 12-and-a-half-year period beginning in January 2016.
The recovery of television credit was one of four objectives set by the current management under Frederico Varandas, achieved following the issuance of 225 million euros in bonds via Sporting Entertainment, wholly owned by the SAD.
This operation has a maturity term of 28 years with an annual fixed interest rate of 5.75%, and was conducted through private placement with international institutional investors at costs of 0.16% per year of the total amount.
Sporting also aims to finance investments related to the transformation project of José Alvalade Stadium, as well as reimburse the club’s SAD for investments already made into the stadium, which was inaugurated in 2003.
Other goals include funding the ongoing activities of Sporting Entertainment and reimbursing the SAD, which manages the professional football operations of the club, currently in second place in the Primeira Liga.
