English Championship football club Peterborough United has confirmed the launch of a bond scheme which will help finance key club infrastructure projects such as redevelopment work for its Weston Homes Stadium and ongoing plans for a new home.
Peterborough, which will play in League One next season following relegation from the Championship, in February surveyed supporters on the idea of launching a Peterborough United Bond.
The club has now decided to press forward with the scheme after what it said was a “very positive” response to the survey. United said: “Not only did we receive far more responses than we anticipated, the feedback was overwhelmingly positive, with the majority telling us they would be likely or very likely to make an investment.”
The club will work on the venture with investment company Tifosy, which arranged successful bond offerings for fellow Championship team Queens Park Rangers and Premier League outfit Norwich City, amongst others.
Effectively a loan to the club, the Peterborough United Bond will pay a fixed rate of 9% interest per annum over its five-year term, after which the amount invested will be repaid to the bondholder. Requiring a minimum investment of £500 (€583/$617), the Bond also carries a 15% cash bonus if United regains its Championship place by the 2026-27 season.
A unique set of exclusive, money-can’t-buy Bondholder Privileges are being offered at different investment tiers, as detailed below:
The Peterborough Telegraph newspaper said the funds raised through the Bond scheme will be targeted towards the installation of a safe standing area within the London Road Terrace, along with the development of a modern sports bar.
Funds raised over the initial target of £1.5m will be set aside for the first phase of work towards a new stadium for the city, specifically the architectural, surveying and engineering work required to enter a formal planning application.
In March, United offered a lukewarm reaction to the City Council’s proposed masterplan for a development that could include a new stadium for the club, stating that the plans were “not good” for Anglia Ruskin University (ARU) or the city.
The Embankment Masterplan was earlier published following a public consultation conducted in 2021. The Masterplan – which was completed by independent consultants Stantec and Barton and Willmore – sets out a vision and framework for the future of the Embarkment part of the city that includes a new City Riverside Park, ARU Peterborough campus and Cultural Quarter built around the Key Theatre.
Should a 19,000-seat stadium be brought forward, the Masterplan also showed how this might be accommodated. The location proposed for the mooted ‘Peterborough Arena’ is on top of a current athletics track, placing it right next to the ARU Peterborough campus.
United and ARU agreed a Memorandum of Understanding last year, but are uneasy at the prospects of co-existing in such close proximity.