HEARTS administrator Bryan Jackson has welcomed the six-figure cash injection brought by the club’s progress to the League Cup semi-finals.
Restructuring firm BDO did not budget for a cup run when they were appointed administrators at Tynecastle last summer, and senior partner Jackson admitted the additional revenue is an unexpected boost.
After a gutsy 1-0 win in the quarter-final against Hibs at Easter Road, Hearts were drawn to face Inverness Caledonian Thistle in the last four of the League Cup for the second successive season. The tie will take place on the weekend of February 1 and 2 at a venue still to be decided.
With television revenue and gate receipts shared equally between all four semi-finalists, Hearts can expect to bank a significant sum as reward for beating their Edinburgh rivals on Wednesday night. Aberdeen and St Johnstone are the other two clubs left in the tournament and will also receive an equal share of the cash.
“We are delighted to see the players win the game against Hibs, firstly,” Jackson, said today. “That’s a psychological boost for everybody having gone through a difficult footballing period. Now that we’ve won the match, it is a most welcome boost to know there will be extra cash coming in at a later date. That money has not been budgeted for because we didn’t budget for any cup runs.”
BDO are in the process of finalising a Creditors’ Voluntary Arrangement (CVA) proposal which, if agreed, would allow Hearts to exit administration. Documents should be sent to creditors and shareholders of the club’s biggest creditor, Ukio Bankas, next week. It will advise that Foundation of Hearts’ offer for Ukio’s 29.9 per cent shareholding should be accepted.
The CVA will be checked by lawyers over the weekend and should be dispatched to Lithuania by the end of next week, with a view to a creditors meeting taking place towards the end of the month. Ukio are owed more than £15million by Hearts.
A further 50 per cent of shares are held by insolvent Ukio Bankas Investment Group (UBIG). A final decision on their bankruptcy is expected to be announced by Lithuanian courts on Thursday following the appeals process. BDO will then attempt to negotiate the sale of UBIG’s shares to Foundation of Hearts.