This article is from the source 'bbc' and was first published or seen on . It will not be checked again for changes.

You can find the current article at its original source at http://news.bbc.co.uk/go/rss/-/1/hi/business/8475317.stm

The article has changed 2 times. There is an RSS feed of changes available.

Version 0 Version 1
Man United raises £504m in bonds Man United raise £504m in bonds
(10 minutes later)
Manchester United has successfully raised £504m through a bond issue, which will cover most of what the club owes to international banks. Manchester United have successfully raised £504m through a bond issue, which will cover most of what the club owe to international banks.
The deal means the Premiership club will be able to pay off nearly all its outstanding debts of £509m. The deal means the Premier League club will be able to pay off nearly all their outstanding debts of £509m.
It will face an annual interest bill of £45m a year on the bonds. They will face an annual interest bill of £45m a year on the bonds.
The sale comes after figures showed debts at the club's parent firm, Red Football Joint Venture, rose to £716.5m ($1.17bn) in the year to June 2009.The sale comes after figures showed debts at the club's parent firm, Red Football Joint Venture, rose to £716.5m ($1.17bn) in the year to June 2009.
Pounds and dollarsPounds and dollars
The bond was sold in two tranches, one of £250m with a coupon rate - or interest rate - to bond holders of 8.75%, and another tranche of $425m with a coupon rate of 8.375%.The bond was sold in two tranches, one of £250m with a coupon rate - or interest rate - to bond holders of 8.75%, and another tranche of $425m with a coupon rate of 8.375%.
However, unlike the debt at present secured against the club, the seven-year bonds will not mature until 1 February 2017.However, unlike the debt at present secured against the club, the seven-year bonds will not mature until 1 February 2017.
The annual interest bill on the bonds is close to the £41.2m in interest paid in the last financial year.The annual interest bill on the bonds is close to the £41.2m in interest paid in the last financial year.
But by converting the money owed to banks into a bond, it means the club will be free of the potentially strict financial conditions imposed by lenders.But by converting the money owed to banks into a bond, it means the club will be free of the potentially strict financial conditions imposed by lenders.
On Thursday, it was confirmed that the club had signed a three-year sponsorship deal with Turkish Airlines to take over as the club's official carrier.On Thursday, it was confirmed that the club had signed a three-year sponsorship deal with Turkish Airlines to take over as the club's official carrier.