Valencia debt stands at €275m

Valencia have revealed that the club’s net debt now stands at €275.7m, although it was stressed there is nothing owed in tax.

A due diligence report by consultancy firm KPMG has arrived at the figure, while  President Amadeo Salvo explained that since 2008 the debt has been reduced by €66m and qualified the economic management in recent years as “positive” despite cash-flow problems.

Aurelio Martinez, President of the Valencia CF Foundation, was also upbeat at the way in which progress is being made on the financial front.

“The club is viable and I can reassure all organisations that they can trust us, starting with [banking conglomerate] Bankia,” said Martinez, who acknowledged that “Valencia’s actual market price has more debt than equity” at present.

“Our only debt is to the bank. We are different to other big clubs in that we are up to date with [tax authorities] Hacienda and there is nothing mortgaged that depends on future income, like television for example.

“If we accomplish the plan laid out then in 2016 we will have a positive operating result and will not have to sell players to balance the books.

“We hope by that date our academy will produce players for the first team and we will not have to enter the market to sign players,” he added.