Extreme Football Forum  |  Football Forums  |  NPower Championship  |  Topic: Plymouth Argyle to sell Home Park to raise funds

http://news.bbc.co.uk/sport1/hi/football/teams/p/plymouth_argyle/8557104.stm

Plymouth Argyle Football Company have announced plans to sell Home Park to their holding company in an effort to raise funds after posting a £2.8m loss.

The club have attributed the loss to an unsustainable wage bill, coupled with a drop in attendances.

Plymouth are proposing the sale of the ground to a new property company which is wholly owned by Plymouth Argyle Football Company Holdings Limited.

Home Park was independently valued as being worth £7.5m in February.

The club are also planning to offer 90,000 shares to existing shareholders at £22.22 per share, the total sum of which would be just shy of £2m.

By selling Home Park and issuing shares, the club are hoping to reduce some of the debt incurred during the financial year to 31 May 2009, which ended with a loss of £2.8m.

In a statement, a club spokesman said: "The trading position of Plymouth Argyle Football Club continues to be challenging, with revenues from gate receipts lower than planned and the cost-base higher as PAFC has not been able to transfer players that are required for the core squad.

"The board believes that these measures will significantly improve PAFC's balance-sheet by reducing its level of debt and will facilitate the partial reduction of its operating costs."

Plymouth Argyle were placed under a transfer embargo by the Football League in December for unpaid debts.

The embargo was removed in January after the debts were settled.

If that's the only way to raise the money, then sell the ground they must.