Bloomberg reports that the Glazer family bought part of the PIK loan during the global financial crisis in 2008, when the value of the loans fell to between 35 and 60 percent of face value.
The Glazer’s may reportedly have paid as little as £12.6million for the 20 percent stake in the PIK loan.
“It’s a good move for the family, period,” said Stephen Schechter, founder and chief executive officer of London-based investment bank Schechter & Co, to Bloomberg.
“They know the numbers better than anyone and the yield could be spectacular.”
The PIK loans now trade between 97 percent and par value, according to Bloomberg.