Like many Spanish clubs, Valencia have been grappling with massive debts for a while, generally relying on player sales in order to keep things ticking over. However, they'll be hoping that the future is a little brighter, after new owner Peter Lim struck a deal with Spanish bank Bankia to restructure the club's debts.
Lim, a Singaporean businessman, bought over 70% of shares owned by the club's foundation last month via Meriton Holdings. A statement published on Bankia's website today reads:
Bankia and Meriton agrees on the material terms and conditions of the restructuring of Valencia CF debt. The terms are subject to meeting certain milestones and final legal documentation to be agreed by both parties.
The transaction is structured so that it would allow Bankia the possibility of fully recovering all funds granted in the past to both the Club and its Foundation VCF, for a total amount of circa 320 million euros.
Valencia finished last season eighth in La Liga, and haven't won the top flight title in a decade. They'll be hoping their experiment with foreign ownership goes a little better than experiences elsewhere in Spain, and the glory days will soon be back again. But at this early stage, things are still far from guaranteed, and the road back will likely be a long one.