Coates completes Stoke City takeover

The transfer in power at English Stoke City has been completed. Peter Coates once again is the chairman of the club and, after completion of his takeover deal, former chairman Gunnar Thor Gislason resigned from the board.
 
The takeover reduces club debts to GBP 428,000, most if that owed to Stoke Holding SA, an Icelandic consortium. Coates will pay an estimated GBP 5 million to Stoke Holding, while himself and fellow directors Keith Humphreys and Phil Rawlins have agreed to convert their existing loans into shares.
 
The new chairman pledged GBP 5 million to the club to cover the current wage bill, which increased 40 percent last season. That should help the club keep players and cover running costs, which are at a GBP 67,000 loss each week, translating to GBP 3.5 million over the course of a year.
He also says that an undisclosed transfer fund will be made to a yet to be named new manager.
 
The "golden shares", which offered him a place on the board when he was a minority shareholder, have been removed. The overall consideration for the equity, in addition to the debt repayment, is a payment of GBP 5 million for the majority shareholding of Stoke Holding. An additional GBP 2 million will be paid if Stoke reach the Premier League within three years.

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