Donington In Talks Over New Bond Scheme

In the midst of uncertainty around whether Donington Park will meet its extended deadline to prove financial stability, CEO Simon Gillett has reportedly revealed he is in negotiations about a £135m bond issue scheme to finance the revamp required to host the British Grand Prix.

F1 supremo Bernie Ecclestone had given Donington two weeks to provide the financial guarantees to prove it is capable of hosting next year’s race, after delaying the deadline twice already.

Gillett has now announced he is in talks with Citibank that will cover the £50m costs to refurbish the track.

Goldman Sachs had been at the front and centre of the fundraising earlier this year, but was scrapped in April.

The bonds through Citibank, which will mature in 2016, will pay an annual yield of 15%. It is speculated that it will be clear by next week whether the scheme is likely to raise the necessary funds.