It’s not too late to pick up shares in Tottenham Hotspur football club for what looks like a bargain basement price, at least relative to their overpriced (and underperforming) north London neighbours! Our Blog here highlights the merits of the iconic Spurs and how to buy shares.
Stan Kroenke’s £550m purchase of a minority stake in NEX listed Arsenal Holdings PLC from Russian billionaire Alisher Usmanov results in an implied Enterprise Value for Arsenal of £1.8bn, or approx. 12 times last year’s adjusted EBITDA of £151m (that’s our calculation of adjusted EBITDA). To put that into financial perspective, US listed Manchester United has a current market capitalisation of US$3.5bn, and an Enterprise Value (‘EV’) of approx. US$3.8bn – the EV includes the debt. For the 12 months ending 30 June 2017, ‘United’ generated adjusted EBITDA of US$200m, resulting in an EV/EBITDA ratio of approx. 19x – an…
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