Amanda Staveley, a co-owner of Newcastle United, has stated in High Court records that she borrowed £30.5 million to help pay her 10% ownership in the club.
In October, Staveley’s PCP Capital Partners led a £305 million Saudi Arabian-backed buyout of Newcastle.
However, in court records obtained by the BBC, she confirmed to previous owner Mike Ashley’s assertions that she borrowed the money from other co-owners the Reuben brothers, who own 10% of the club.
The payment was made to Cantervale Limited, another of Staveley’s firms, with the Saudi Public Investment Fund funding the remaining 80% of the Newcastle deal.
Staveley also claims she borrowed £10 million from Ashley to fund acquisition fees.
He is suing Staveley and her husband Mehrdad Ghodoussi for an urgent payback of the loan, plus interest, through his company St James Holdings, claiming that the conditions of the agreement were breached, which she denies.
Staveley could not criticize Ashley’s 14-year reign as Newcastle owner because of a vendor loan arrangement, according to Ashley, who also controls Sports Direct.
Ashley was “admonished” and his reputation “diminished” as a result of her statements about “looking forward” to removing Sports Direct signs from St James’ Park and being “somewhat annoyed” about not being able to snap a picture without the ads in view, he alleges.
The statements, made following a Premier League shareholders meeting on November 11, were made in response to “continuous questioning” from journalists regarding the top flight’s temporary restriction on related-party sponsorship, according to Staveley’s lawyers.
She further claims that the media and fans are the only ones who criticize Ashley’s ownership, and that she previously stated that “Mike was quite fair and he did a fantastic deal.”
She denies there was an agreement to keep the Sports Direct and Flannels (another Ashley company) signage up at St James’ Park for the remainder of the 2021-22 season in the High Court documents. Two months after the acquisition, the signs were pulled down in December.
Ashley’s allegation that his plan to terminate the putative agreement “changed the commercial balance” of the club’s sale and so made “written information…misleading” was also “embarrassing,” according to Staveley.
Furthermore, according to Staveley, Newcastle did not get any sponsorship money from Sports Direct or Flannels for three seasons, from 2019-20 to 2021-22, and only got payments of around £1 million for the two seasons prior to that.
Ashley’s representatives have been approached for comment.
A representative for Staveley and Ghodoussi claimed they were “quite confident of fighting the claim in full” when Ashley’s claim was made public last month.
Who is Amanda Staveley?
Amanda Staveley is a British businesswoman who was instrumental in the Saudi-Arabia consortium’s purchase of Newcastle United. Staveley has Middle Eastern contacts and was involved in the purchase of Manchester City as well as a significant investment in Barclays Bank.
What makes Amanda Staveley so wealthy?
Amanda is part of a group that has bought Newcastle United after more than a year of negotiations. The thriving businesswomen’s coalition was bought for a bargain price of £300 million.
Where did Amanda Staveley get her money from?
The Saudi Arabian Public Investment Fund (PIF) provided the majority of the funds and now owns 80% of the club, with the remaining 20% split evenly between the Reuben brothers, who were named the UK’s second wealthiest family last year, and English businesswoman Amanda Staveley, PCP’s chief executive.
When PCP Capital Partners acted for Sheikh Mansour in 2008 when he invested £3.5 billion in Barclay’s Bank to control 165 of the bank, the deal was believed to have paid Staveley’s company a commission of £110 million, indicating a profit of £40 million.
What is Amanda Staveley’s role at Newcastle United?
Amanda Staveley has been appointed to the board of directors of Newcastle.
Staveley has been a part of the Premier League team’s takeover offer since the first proposal was made in 2017.
Amanda Staveley owns what proportion of Newcastle United?
Amanda Staveley, who owns 10% of Newcastle United Football Club, is the club’s owner.
After the £300 million purchase was completed this month, Staveley earned a 10% interest in Newcastle United.
The Saudi Public Investment Fund owns the remaining 80 percent of the club, with Reuben Brothers owning a 10% share.