Panathinaikos’ debt under Alafouzos
AGONAsport takes a closer look at the debt of Panathinaikos since 2012 when Giannis Alafouzos became majority owner.
Watch LIVE GREEK TV including full GREEK SPORTS coverage from AGONASport.com!
A lot has been said of Giannis Alafouzos’ tenure as the majority owner of Panathinaikos FC over the last seven years. The club was in dire straits a year ago with the debt spiralling out of control and the struggle to obtain a licence to remain in the top flight was real. The rules had to be readjusted so the club could stay up and start on -6 instead of getting relegated.
In spite of this, a lot has changed in recent times, with Alafouzos contributing financially again and making the regular payments to playing and coaching staff respectively. In addition, a plan has been put in place to ensure the club remains viable and sustainable moving forward. Consequently, the debt has been halved compared to 12 months ago. According to the figures from SDNA.gr, the figure now sits around 25 million euroa. It was just under 50 million euros a year ago and approximately 57.4 million Euro in 2017.
There is still a lot of uncertainty surrounding the club as Alafouzos could well be seeking to make it a strong option for new investors to consider in relation to a take over. Potential new owners will undoubtedly view this reduction in the debt figure as favourable.
Here is a look at Panathinaikos’ debt under the seven years under the ownership of Alafouzos, thanks to the data obtained by SDNA.gr.
When he first took over in 2012, the debt sat at 36.2 million euros (33.3 million in current liabilities and 2.9 million in future two year commitments). A year later in 2013, the debt slightly rose to 36.3 million euros (28.4 million in current liabilities and 7.9 in future two year commitments). As it can be observed, it largely remained at the same level with future obligations rising.
In 2014, the debt was 39.9 million euros (28 million in current liabilities and 11.9 in future two year commitments). Again, future obligations rose which paved the way for more reckless spending in the transfer market that would follow.
The figure dropped in 2015 - sitting at 37.2 million euros (23.9 million in current liabilities and 13.3 million in future two year commitments). It should be noted that the future two year commitments were rising over time and it went to a new level a year later.
In 2016, the debt was 43.9 million euros (26.9 million in current liabilities and 17 million in future two year commitments). This coincides with the managerial changes at the helm of the club as Giannis Anastasiou was replaced by Andrea Stramaccioni (which was a massive failed appointment and significantly spiked the club’s debt). His premature sacking allowed Marinos Ouzounidis to take the reigns.
This saw the debt increase to a whopping 57.4 million euros in 2017 (44.8 million in current liabilities and 12.6 million in future two year commitments). This was also the time where Alafouzos stopped investing in the club.
As a result, the team’s budget was drastically slashed as star players were sold and replaced largely by academy graduates. This saw the debt drop to 49.2 million Euro in 2018 (43.4 million in current liabilities and 5.6 million in future two year obligations).
It should be noted that Alafouzos has covered the share capital increases over this time. This has also played a role in the debt dropping to an estimated 23.4 million euros this year, the lowest it has been since he became owner of Panathinaikos).
