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Financial worries at West Brom

Football finance guru Kieran Maguire reports: ‘The audit report for both West Brom and the parent company makes for depressing reading in terms of uncertainty about the club’s ability to trade as a going concern unless player sales generate enough to cover the losses.’

West Brom Group £20m loan from MSD Holdings interest rate is SONIA plus 9.75%, so works out as 13.93%…or £7,600 a day.

West Brom parent company has taken out a £2m loan from Warmfront Holdings, owned by the club owner, on which interest is being charged at 5% per MONTH, which works out at 79.6% per annum. 

Maguire asks: 'What did West Brom Holdings do with the £2m from WarmFront? It lent the same amount to another company related to the owner at a lower rate of interest and some other companies…which have never been repaid and impaired to zero in the accounts.'

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