RNS Number : 0681G
Watford Leisure PLC
25 January 2010
Watford Leisure PLC
("Watford Leisure" or the "Company")
Related Party Loan
Watford Leisure announces that on 25 January 2010, the Company's 96 per cent. owned subsidiary, The Watford Association Football Club Limited ("WAFC"), entered into a loan agreement with David Fransen, a Non-Executive Director of the Company. The agreement is in respect of a short term unsecured loan of up to £500,000 to WAFC for the purpose of assisting with the working capital requirements of the business including potential player transfer activity during the January transfer window (the "Loan").
The Loan accrues interest at the rate of 3.5 per cent. above the base rate from time to time of Barclays Bank plc and is repayable on or before 31 May 2010.
The provision of the Loan is deemed to be a related party transaction under the AIM Rules for Companies. Accordingly, the independent directors of the Company consider, having consulted with Strand Hanson Limited, that the terms of the Loan are fair and reasonable insofar as the Company's shareholders are concerned.
Enquiries:
Watford Leisure PLC
Tel: 01923 496 000
Graham Taylor, Interim Chairman
Julian Winter, Chief Executive Officer
Strand Hanson Limited
Tel: 020 7409 3494
Rory Murphy
Square1 Consulting Ltd
Tel: 020 7929 5599
Paul McGoohan
David Bick
This information is provided by RNS
The company news service from the London Stock Exchange
END
MSCZMGZMZKRGGZM