The financial restructuring will be completed this week. This will then allow for the removal of Dundee FC Holdings from the equation altogether leaving 3 companies who are intertwined.
This will be completed in September and will result in Dee4Life owning 26% of the shares in Dundee Football Club.
The three companies and their purpose is as follows:-
Dundee Football Club (DFC 2007 Ltd)
Purpose: The football club and all aspects of it.
Property Company (Sandeman Properties Ltd)
Purpose: Ownership and retention of Dens Park Stadium (£3 million of debt set against stadium)
Debt Company (DeeLite Ltd)
Purpose: To hold the paper debt of £4 million outstanding.
Dundee FC will pay rent to the property company equal to the interest on the £3million annually. Half of proceeds from cup semi's and/or finals will go to reduce the debt which Dundee FC can pay off with no penalty at any time and retake ownership of the stadium
The debt company will hold the outstanding debt on paper but any transfer over £750,000 will see half of the money raised go to reducing the paper debt which is not repayable under any other circumstances and will not accrue interest.
This means that the football club will keep all transfer money of £749,999 and under for the benefit of the club and not going to any debt.
The Directors of all three companies will be the same.
We hope this clears up any muddied waters and would like to thank the board of DFC for clearing the matter up.