Argentine Primera División club River Plate has announced plans to enter the public offering market in a move designed to support its infrastructure projects.
River will access the market through the implementation of the ‘Fideicomiso Financiero Club River Plate’ trust, following approval from the club’s board of directors.
The tender begins today (Thursday) and investments can be made through Banco de Valores, together with member agents at ByMA, PP Inversiones, Banco CMF, Banco Supervielle and Banco de la Ciudad de Buenos Aires.
River said the initiative is designed to support its “ambitious” infrastructure investment plan over the next couple of years, which includes a new sports centre within the grounds of Estadio Mâs Monumental.
The public offering will also help fund new premises for youth football and general renovation work at the Mâs Monumental. River is also planning a new building for the Instituto River college, which will be located within the club’s premises but separate from the stadium, where it currently operates.
The trust will be UVA-adjusted at 30 months, with an annual rate of 9% on the indexed capital. River hopes to raise around 20 billion pesos (£15.7m/€18.7m/$20.6m).
Club treasurer Andrés Ballotta said: “This is a completely innovative and disruptive event for the football industry, with an outstanding rating (A+), which shows the economic and financial strength of the institution.”
Last year, Mâs Monumental officially became South America’s biggest stadium with a capacity of over 83,000. The stadium will have a final capacity of 84,567 once renovation work is fully completed.
