Swindon Town owner Clem Morfuni has cleared up confusion over the funding of the redevelopment of the Nigel Eady County Ground.
The plans for the redevelopment of the Don Rogers Stand remain in the consultation phase as TrustSTFC are preparing to take the proposals to a vote amongst their members after formal permission was requested by the club, although a specific date has not yet been confirmed.
After announcing the proposals in April, Swindon are looking to upgrade the Don Rogers Stand by placing new glass-fronted corporate boxes, hospitality spaces, and an improved concourse and facilities for supporters in the stand.
One of the most popular pieces of feedback, both in the club’s and Trust’s survey, has been around how this project will be funded, with additional funding being required based on the club being in £8 million of debt based on the last set of published accounts.
Swindon have estimated that the work will cost around £3 million to complete, with the development projected to earn that money back in six years, however, there has been some uncertainty over where this money will come from.
When speaking to The Adver in April, CEO Anthony Hall said that the funding would be coming from Morfuni, whether that was from his bank account or external loans he took out and then passed onto the club interest-free.
He said: “Clem has said that he will fund the redevelopment, and nothing has changed on what he has said there.
“This would be through an interest-free loan, but regardless of whether that was external finance or from Clem’s own bank account it will still be added to the interest-free loan.”
Then, during the Fan’s Forum at the beginning of May, Morfuni revealed that the first £1 million would come from his own bank account and the rest would come from loans to him, which would then be given to the club interest-free. Swindon’s chairman was also keen to stress that the loan would not be coming from individuals, but from banks or other lenders.
A report in The Moonraker then said that Hall had clarified that the entire £3 million would be coming from Morfuni, using either his assets in the UK or Australia to finance the balance if required, and the money then being given to the club interest-free.
In the Advisory Board meeting for May, a monthly meeting between the club and various stakeholder groups, the nature of the funding was cleared up during the fan question and answer section.
The minutes state: “The first One Million Pounds will be provided by Clem. The following Two Million Pounds will be sourced from the Bank/Assets in Australia and the UK. Clem will incur any interest and won’t pass this interest on to the club, i.e. the loan will be interest free as previously stated.”
There was also a question about how Morfuni could afford to fund the work, to which the response was that “the business is now in a stronger financial position.”
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