Hertha managing director Thomas Herrich has to raise money to secure the license Photo: City Press GbR
From BZ/dpa
Hertha, which has got into financial difficulties, wants to extend a bond of 40 million euros by two years to save the second division license.
The Berliners announced this on Monday evening. A process has been initiated to extend the bond issued in November 2018 to November 8, 2025. “With this extension, we would be able to stabilize and improve Hertha BSC’s financial situation next season. In addition, it would be an important and central building block in the DFL’s licensing process. That’s why quick approval and support would be of great importance to us,” explained Managing Director Thomas Herrich.
The extension of the bond is to be accompanied by an increase in the interest rate from 6.5 percent pa to 8.5 percent pa from the interest payment date of August 8, 2023, as well as a reorganization of the liability structure permitted under the bond terms, the statement said.
In addition, the repayment amounts are to increase until the final maturity, staggered by date. The voting period runs from May 26 to June 19, 2023. The result of the process will be published on June 19, 2023.
However, Hertha has to meet the economic requirements of the German Football League (DFL) by June 7th, 3:30 p.m. in order to get the license for the second division. The club must prove its economic ability to act.
The entry of the new investor 777 is also thoroughly checked for its compatibility with the 50+1 rule. The 100 million euros that Hertha is to receive from the US investment company are of existential importance. If the Berliners do not meet the requirements, there is a risk of falling into the regional league.