Allen & Overy (A&O) has landed the plum role advising the banks and the monoline insurer on Arsenal Football Club’s landmark securitisation of ticket sales from its new 60,000-seater Emirates Stadium.
The club plans to raise £260m through the securitisation, which will be backed by ticket sales. The deal contains many groundbreaking features: it is the first football securitisation to be rated investment grade, thanks to the additional structuring, which includes a monoline wrap; it is also the first public deal of its kind and has been given a triple-A rating.
The transaction will contain fixed and floating rate notes and will be issued by a special purpose vehicle called Arsenal Securities.
The proceeds of the bonds will be used to refinance the bank deal, which funded the construction of the new Emirates Stadium.
A&O finance partner Gareth Price led the team advising lead managers Barclays Bank and Royal Bank of Scotland, and Ambac Assurance as the monoline insurer.
A&O partner Morgan Krone acted for Law Debenture as the trustee.
Slaughter and May reprised its role as Arsenal’s legal adviser, with finance partner Philip Snell taking the lead on the securitisation.