The Monumental stadium (Credit: River Plate)
Last Wednesday, River Plate launched an innovative financial trust, allowing its fans and investors to participate directly in the growth of the club. This instrument seeks to raise funds for an ambitious infrastructure plan that will be developed between 2024 and 2025. The goal was to obtain 20,000 million pesos, equivalent to approximately 20 million dollars, but the same Núñez institution has just reported that within 24 hours of its launch, expectations have been “vastly exceeded.”
“This Thursday, October 3, the Club accessed the public offer market through the implementation of the “River Plate Club Financial Trust” and marked an unprecedented success for a football club, exceeding all expectations: it received offers for 26,000 million pesos. , 31.5% above the amount to be placed, and 2,925 orders were placed, extraordinary in the capital market,” the club indicated.
River Plate, led by Jorge Brito, plans to allocate these resources to several significant works. These include the construction of a new sports center at the Monumental Stadium, the renovation of the River Institute building and the creation of a new facility for youth football. These initiatives seek to strengthen the club’s infrastructure and improve facilities for its members and players.
“The totally innovative initiative for the football industry was achieved after approval by the Board of Directors and with an outstanding A+ rating, which highlights the economic and financial solidity of River Plate. The trust will be with a 30-month UVA adjustment, with a rate of 9% annually on the indexed capital, surpassing alternatives with a similar term and greater liquidity,” the statement added.
The financial trust is a legal mechanism that allows organizations to obtain financing for specific projects, advancing future payments by placing capital in the market as collateral. In this case, River Plate becomes a pioneer by opening up to the public offering market, which represents a historic step in the Argentine soccer industry.
“This great milestone is another example of the robust heritage that River has been consolidating, which produces attractive positive results for investors. On the other hand, it reflects the professionalization that has been carried out in management, continuing with the transformation process in each of its areas,” they explained.
Andrés Ballotta, club treasurer, highlighted the financial strength of River Plate, which has an A+ rating, which facilitates access to this type of financing. “All the capital obtained will be allocated to works that will strengthen the virtuous circle in which the club finds itself.”
“The objective is the financing of the most ambitious investment plan in the Club’s infrastructure, in order to give it continuity in 2024 and 2025 for the different works, remodeling and improvements that are being carried out in the Club and its facilities, and to promote development of sports and the social and sporting life of the members and students of the Institution,” they expanded from the Núñez institution.
This financial move follows a series of successful incorporations of renowned players, such as Germán Pezzella, Maxi Meza, Fabricio Bustos and Marcos Acuña, which demonstrates the club’s commitment to its growth and development in both the sporting and institutional spheres.
THE WORKS THAT WILL BE CARRIED OUT THANKS TO THE “CLUB RIVER PLATE FINANCIAL TRUST
– New sports center. Located within the Mâs Monumental property, the sports center will include new fields for hockey, futsal, handball and volleyball and will benefit more than 5,000 federated members.
– New River Institute building. It will be located within the Club property, but separate from the stands of the Stadium where it operated until now. With entry from Sáenz Valiente, it will guarantee an environment dedicated exclusively to an educational community made up of more than 1,700 students.
– New grounds for training football. Construction of six fields to be used by the different categories.
– Works and remodeling in the Mâs Monumental and the different sectors and areas of the Club.
PHOTOS OF THE PROJECT
The new sports center that River Plate will have The new sports center that River Plate will have The new sports center that River Plate will have The new facility for River Plate’s training football The new facility for River Plate’s training football The new River Plate Institute The new River Institute plate
