PLMJ advises FC Porto on Dragão stadium commercial restructure

PLMJ has successfully advised Futebol Clube do Porto in the complex restructuring of the commercial operations of its home ground, Estádio do Dragão. This included entering into a partnership with Ithaka and securing a long-term financing from North American institutional investors. PLMJ’s team oversaw the completion of the corporate reorganisation process, which allowed the Estádio do Dragão’s related business lines to be consolidated into Porto Stadco.

This operation involved the renegotiation of financial and structural terms of the partnership with Ithaka. In parallel, PLMJ advised Futebol Clube do Porto – through Dragon Notes, a subsidiary of FC Porto SAD – on a US private placement with institutional investors organised by J.P. Morgan. The issuance consisted of bonds for a total amount of €115 million, with a maturity of 25 years and a fixed interest rate of 5.62%. The bonds are backed by the dividends generated by the Porto Stadco’s operation and hold an investment-grade rating by DBRS.

The deal team

The PLMJ team was led by André Figueiredo, head partner of the banking and finance and capital markets practices, and Tomás Almeida Ribeiro, partner in corporate M&A (both pictured). The team also included João Terrinha and Tiago Jesus Bento of the banking and finance and capital markets team, as well as Leonor Melo Bento and trainee lawyer Tiago Belinha from the corporate M&A team .