The City Football Group injected a capital increase of 23 million euros into Lommel SK by converting existing club debts into shares, according to financial disclosures in October 2026. That transaction brings the total financial support extended to the Belgian club to 98.8 million euros across a six-year span following the holding’s takeover.
How the 23 Million Euro Injection Works on the Balance Sheet
The 23 million euro capital increase does not deposit fresh cash directly into the bank account of the green-and-white team. Instead, the City Football Group converted existing debt—money the ownership group had previously lent to the club—into additional equity. In return for canceling that debt, the holding company received extra shares.
This accounting maneuver eliminates the obligation for Lommel to repay the 23 million euros to its parent company.
Financial Support Since the 2020 Takeover
Financial filings show that the parent company of Manchester City, controlled by a vehicle of Sheikh Mansour bin Zayed Al Nahyan, has provided financial backing since acquiring a 99 percent stake in Lommel SK in 2020. Capital injections included the conversion of existing debts into capital, investments in infrastructure and personnel, and funds to maintain operations:
- 2022: 11 million euros
- 2023: 16,8 million euros
- 2024: 15 million euros
- 2025: 33 million euros
- 2026: 23 million euros
Those capital increases pushed total investments to 98.8 million euros over six years, funding squad building, debt reduction, and facility development.
Stadium Upgrades and Academy Costs Strain Club Finances
A costly summer featuring mandatory stadium upgrades to meet Jupiler Pro League licensing criteria, promotion bonuses, and player contract adjustments further strained finances.
City Football Group have provided investment of around €23M into Lommel, with #ManCity's owners having now invested almost €100M into the Belgian club over the last six years.[@HLN_BE via @GBeNeFN]
Operational expenses center heavily on infrastructure and staffing. The club constructed the City Football Academy, a state-of-the-art training complex featuring a 400-square-meter gym, medical rooms, and hydrotherapy areas with a price tag around 9 million euros. Total personnel costs reach 15,2 million euros, driven by 18 staff members supporting an A-squad of 29 players alongside youth development teams. That expenditure equals roughly 180 percent of the club’s operational income from ticketing, sponsorships, and television rights.
Compliance with Financial Fair Play and Licensing Rules
To remain compliant with financial regulations, the capital increases allow Lommel to meet domestic and international standards. Under Financial Fair Play guidelines, clubs are permitted to outspend their traditional revenue ratios provided the owner covers the deficit through capital contributions.
Questions regarding fair competition previously led rival club Virton to file complaints with arbitration bodies and the European Commission concerning foreign subsidies, though arbitration tribunal Cepani dismissed the claims after finding no disruption to the internal market.
Path Toward Financial Independence
Club leadership under interim CEO Nick Rondelez aims to steer Lommel toward self-sufficiency. Increased visibility and higher revenue streams generated through competition in the Jupiler Pro League are intended to boost transfer values and matchday income, ultimately reducing the club’s reliance on continuous capital injections from the City Football Group.
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