Debenture (rugby union)
Encyclopedia
In sport, a debenture is defined as a certificate of agreement of loan
s which is given under the company's stamp and carries an undertaking that the debenture holder will get a fixed return (fixed on the basis of interest rate
s) and the principal amount whenever the debenture matures. The terms may also include ancillary benefits such as an option to buy tickets at a favourable price, as well as or instead of interest.
A large number of sporting organisations have issued debenture
s to raise money, to allow their fans to gain a financial stake in the club, and to foster a sense of community.
, The All England Club
, issue their debenture holders a ticket for each day of the tournament. Furthermore, only debenture holders are permitted to sell their tickets to third parties.
In 2007 a group of debenture holders in the All England Club created the first website allowing debenture holders to sell tickets directly to members of the public. Formerly, most tickets sold to the general public were sold by ticket touts, who had purchased them from debenture holders for considerably less. The new website allows debenture holders to sell their own tickets without paying a middle man, thus making the tickets themselves considerably cheaper for consumers.
debenture is somewhat different as, in the most part, no money in the form of interest
is returned to the lender but the rights to obtain tickets for a seat in that ground. The exact terms of the debentures vary from issue
to issue but will be covered in the main here. Charlton Athletic
also used this financial method to aid their move back to The Valley.
the home of the Welsh Rugby Union
where Wales
play in the Six Nations Championship
.
The serial numbers on the debentures denominate the expiry date (although some are renewable and / or renewed earlier), starting with:
The WRU has changed some of the numbers during the term of the debenture.
issue; they are transferable and the principle sum invested is returned 75 years from date of issue.
An RFU debenture confers on the debenture holder the right to purchase, at face value, one ticket for Rugby Union events at Twickenham Stadium
for a given period, currently 10 years (with the exception of a small number of business debentures in the South Stand which confer ticket rights for 15 years). A debenture is fully repayable, currently after 75 years, but bears no interest.
The following is the current debenture issue:
Not all sporting debentures provide an entitlement to free tickets. Some organisations, such as the Millennium Stadium, merely give holders the right to purchase a ticket for events.
Loan
A loan is a type of debt. Like all debt instruments, a loan entails the redistribution of financial assets over time, between the lender and the borrower....
s which is given under the company's stamp and carries an undertaking that the debenture holder will get a fixed return (fixed on the basis of interest rate
Interest rate
An interest rate is the rate at which interest is paid by a borrower for the use of money that they borrow from a lender. For example, a small company borrows capital from a bank to buy new assets for their business, and in return the lender receives interest at a predetermined interest rate for...
s) and the principal amount whenever the debenture matures. The terms may also include ancillary benefits such as an option to buy tickets at a favourable price, as well as or instead of interest.
A large number of sporting organisations have issued debenture
Debenture
A debenture is a document that either creates a debt or acknowledges it. In corporate finance, the term is used for a medium- to long-term debt instrument used by large companies to borrow money. In some countries the term is used interchangeably with bond, loan stock or note...
s to raise money, to allow their fans to gain a financial stake in the club, and to foster a sense of community.
Tennis
The organisers of the Wimbledon Tennis ChampionshipsThe Championships, Wimbledon
The Championships, Wimbledon, or simply Wimbledon , is the oldest tennis tournament in the world, considered by many to be the most prestigious. It has been held at the All England Club in Wimbledon, London since 1877. It is one of the four Grand Slam tennis tournaments, the other three Majors...
, The All England Club
All England Lawn Tennis and Croquet Club
The All England Lawn Tennis and Croquet Club , also known as the All-England Club, based at Aorangi Park, Wimbledon, London, England, is a private members club. It is best known as the venue for the Wimbledon Championships, the only Grand Slam tennis event still held on grass...
, issue their debenture holders a ticket for each day of the tournament. Furthermore, only debenture holders are permitted to sell their tickets to third parties.
In 2007 a group of debenture holders in the All England Club created the first website allowing debenture holders to sell tickets directly to members of the public. Formerly, most tickets sold to the general public were sold by ticket touts, who had purchased them from debenture holders for considerably less. The new website allows debenture holders to sell their own tickets without paying a middle man, thus making the tickets themselves considerably cheaper for consumers.
Rugby
A rugbyRugby football
Rugby football is a style of football named after Rugby School in the United Kingdom. It is seen most prominently in two current sports, rugby league and rugby union.-History:...
debenture is somewhat different as, in the most part, no money in the form of interest
Interest
Interest is a fee paid by a borrower of assets to the owner as a form of compensation for the use of the assets. It is most commonly the price paid for the use of borrowed money, or money earned by deposited funds....
is returned to the lender but the rights to obtain tickets for a seat in that ground. The exact terms of the debentures vary from issue
Issue (legal)
In law, issue can mean several things:*In wills and trusts, a person's issue are his or her lineal descendants or offspring. These are distinguished from heirs, which can include other kin such as a brother, sister, mother, father, grandfather, uncle, aunt, nephew, niece, or cousin.*In...
to issue but will be covered in the main here. Charlton Athletic
Charlton Athletic F.C.
Charlton Athletic Football Club is an English professional football club based in Charlton, in the London Borough of Greenwich. They compete in Football League One, the third tier of English football. The club was founded on 9 June 1905, when a number of youth clubs in the southeast London area,...
also used this financial method to aid their move back to The Valley.
Welsh Rugby Union
These debentures carry no interest on the amount invested and the advantage of holding said debenture is the right to obtain a tickets at the Millennium StadiumMillennium Stadium
The Millennium Stadium is the national stadium of Wales, located in the capital, Cardiff. It is the home of the Wales national rugby union team and also frequently stages games of the Wales national football team, but is also host to many other large scale events, such as the Super Special Stage...
the home of the Welsh Rugby Union
Welsh Rugby Union
The Welsh Rugby Union is the governing body of rugby union in Wales, recognised by the International Rugby Board.The union's patron is Queen Elizabeth II, and her grandson Prince William of Wales became the Vice Royal Patron of the Welsh Rugby Union as of February 2007.-History:The roots of the...
where Wales
Wales
Wales is a country that is part of the United Kingdom and the island of Great Britain, bordered by England to its east and the Atlantic Ocean and Irish Sea to its west. It has a population of three million, and a total area of 20,779 km²...
play in the Six Nations Championship
Six Nations Championship
The Six Nations Championship is an annual international rugby union competition involving six European sides: England, France, Ireland, Italy, Scotland and Wales....
.
The serial numbers on the debentures denominate the expiry date (although some are renewable and / or renewed earlier), starting with:
| Certificate starts with: | Expiry Date | Surrender Value |
|---|---|---|
| 05 | 01/03/2021 | £50 |
| 100 | 01/03/2021 | £100 |
| 200 | 01/09/2028 | £200 |
| 300 | 01/09/2035 | £500 |
| 410 | 31/08/2024 | £5000 |
| 420 | 31/08/2024 | £3750 |
| 430 | 31/08/2024 | £3950 |
| 440 | 31/08/2024 | £3950 |
| 450 | 01/09/2027 | £5000 |
| 460 | 01/08/2030 | £3950 |
| 470 | 01/09/2030 | £6000 |
The WRU has changed some of the numbers during the term of the debenture.
Rugby Football Union
These are issued by the RFU and permit the holder to 10 years rights to the ticketTicket (admission)
A ticket is a voucher that indicates that one has paid for admission to an event or establishment such as a theatre, movie theater, amusement park, zoo, museum, concert, or other attraction, or permission to travel on a vehicle such as an airliner, train, bus, or boat, typically because one has...
issue; they are transferable and the principle sum invested is returned 75 years from date of issue.
An RFU debenture confers on the debenture holder the right to purchase, at face value, one ticket for Rugby Union events at Twickenham Stadium
Twickenham Stadium
Twickenham Stadium is a stadium located in Twickenham, in the London Borough of Richmond upon Thames. It is the largest rugby union stadium in the United Kingdom and has recently been enlarged to seat 82,000...
for a given period, currently 10 years (with the exception of a small number of business debentures in the South Stand which confer ticket rights for 15 years). A debenture is fully repayable, currently after 75 years, but bears no interest.
The following is the current debenture issue:
| Date of issue | Number of Private and initial cost | Number of Business and initial cost |
|---|---|---|
| 2000 | 1269 @ £3950 | 418 @ £12000 |
| 2001 | 1068 @ £3950 | 216 @ £12000 |
| 2002 | 868 @ £4350 | 28 @ £12000 |
| 2003 | 3751 @ £4750 | 135 @ £12000 |
| 2004 | 1052 @ £4750 | 28 @ £12000 |
| 2005 | 2314 @ £5250 | 58 @ £12000 |
| 2006 | 3295 @ £6000 | 279 @ £14000 |
| 2007 | 102 @ £14000 | 0 |
| 2008 | 1000 @ £6750 | 96 @ £14000 |
Other sports organisations
Other sports organisations which issue debentures in a similar fashion include:- Arsenal Football Club
- Donington ParkDonington ParkDonington Park is a motorsport circuit near Castle Donington in Leicestershire, England.Originally part of the Donington Hall estate, it was created as a racing circuit during the pre-war period when the German Silver Arrows were battling for the European Championship...
- Hampden ParkHampden ParkHampden Park is a football stadium in the Mount Florida area of Glasgow, Scotland. The 52,063 capacity venue serves as the national stadium of football in Scotland...
- Millennium StadiumMillennium StadiumThe Millennium Stadium is the national stadium of Wales, located in the capital, Cardiff. It is the home of the Wales national rugby union team and also frequently stages games of the Wales national football team, but is also host to many other large scale events, such as the Super Special Stage...
- Murrayfield StadiumMurrayfield StadiumMurrayfield Stadium is a sports stadium located in the west end of Edinburgh, the capital of Scotland. Its all-seater capacity was recently reduced from 67,800 to 67,130 to incorporate the largest permanent "big screen" in the country though it still remains the largest stadium in Scotland and one...
- Nottinghamshire County Cricket ClubNottinghamshire County Cricket ClubNottinghamshire County Cricket Club is one of the 18 major county clubs which make up the English and Welsh domestic cricket structure, representing the historic county of Nottinghamshire, and the current county champions. Its limited overs team is called the Nottinghamshire Outlaws...
- Twickenham StadiumTwickenham StadiumTwickenham Stadium is a stadium located in Twickenham, in the London Borough of Richmond upon Thames. It is the largest rugby union stadium in the United Kingdom and has recently been enlarged to seat 82,000...
- Wembley StadiumWembley StadiumThe original Wembley Stadium, officially known as the Empire Stadium, was a football stadium in Wembley, a suburb of north-west London, standing on the site now occupied by the new Wembley Stadium that opened in 2007...
Not all sporting debentures provide an entitlement to free tickets. Some organisations, such as the Millennium Stadium, merely give holders the right to purchase a ticket for events.