Why did the Venky's just inject £4.85m into Blackburn Rovers? | OneFootball

The club's Indian owners have got some more money across to England.

Blackburn Rovers' owners, the Venky's, have just injected £4.85 million into the club.

The ownership situation at Ewood Park is a slightly messy one. The Indian brothers that cut the cheques of the Lancashire club can't do so as freely as other owners can because of investigations into the parent club that holds the shares in Rovers, VHPL.

As a result, gone are the heydays of high-flying and marquee signings for Blackburn like they had in the 90s when they won the Premier League.

Now they are more reliant on selling their top talents for top dollar and using the money from that to invest in the squad and other areas of the club.

Why the Venky's have put an extra £4.85m into Blackburn Rovers

One of the problems that the Venky's face is that every pound that they commit to the club has to be matched with a personal guarantee, meaning that they are essentially paying twice as much to run the club as they feasibly should be.

Still, they do attempt to get money across to Ewood Park to cover wages and other necessary payments, and that brings us to the £4.85 million that they have put into the club.

They requested the money be sent across to Blackburn on 26th May, as per the Lancashire Telegraph, and it has been approved.

The Venky's were granted a No-Objection Certificate from the Court that is investigating VHPL in October 2023 when they made a very similar request to send £11.4 million to the Championship outfit.

The certificate has made the process of getting cash to the club to cover things like wages and "other liability costs," as the LT puts it, much simpler.

Crucially for these requests, an affidavit stating what the funds will be used for must be "presented within one working day of funds being remitted," as per the LT.

Because the £4.85 million has been requested on the basis that it will be used for things like wages over the summer months, Rovers will not be allowed to use any of this money to make additions to Valerien Ismael's squad.

The Venky's want to have the personal guarantee stipulation removed. They have tried to do this on a number of occasions now but the court hearings - the next of which is scheduled for 5th August - have been repeatedly altered and pushed back.

With this latest request to shift funds, the owners were, however, only required to provide the guarantees on half of the money that they have injected into Blackburn. They, again, requested this condition be binned in the report detailing the transfer of monies.

Blackburn's financial situation makes their job so much harder

It is a very frustrating position for the club to be in. They haven't contributed to this situation and yet it puts them under massive restraints.

Still, Rovers have made a couple of moves this summer. Two fresh faces - Dion De Neve and Sidnei Tavares - have moved to Ewood Park ahead of pre-season. They agreed a deal with Portuguese side Moreirense worth up to £2 million for the latter and paid £400,000 for the former.