Big-spending Tampines Rovers facing cash-flow issues

SINGAPORE — Five-time S.League champions Tampines Rovers are believed to be facing cash-flow problems — just months after embarking on an ambitious project to inject excitement into the S.League and give the ailing local football scene a lift, including signing former Arsenal and Liverpool player Jermaine Pennant, and engaging former Liverpool manager Gerard Houllier as their international ambassador.

TODAY understands that the Stags have approached the Football Association of Singapore (FAS) for financial assistance, and the FAS is now trying to source for up to S$1 million to help the Eastern club see out the rest of the season, which ends in November.

According to sources, Tampines are struggling with their operating costs, which could exceed S$3 million this year. Most S.League clubs operate on a budget of between S$1 million to S$1.6 million. 

When contacted, Tampines Rovers chairman Krishna Ramachandra, who took over the helm from Teo Hock Seng when the latter stepped down last November, said: “I shall not comment on the club’s finances. It is strictly confidential. I can talk about the team’s performances but not finances.

“If you have heard something from sources, then you have to seek clarification from them, and they are liable for the information they give you.”

However, TODAY was told by Tampines players following the Stags’ 1-0 win over Geylang International in an S.League match on Thursday night (April 21) at Bedok Stadium that Ramachandra met them in the dressing room after the game to reassure them that there will be no problems with their wages despite the situation.

An S.League spokesman, in response to TODAY’s query on how the FAS would be assisting Tampines, said: “We will work closely with clubs to help with any issues they might face, and this includes clubs who may face cash-flow problems during the course of the season.”

Tampines had raised eyebrows during pre-season when they signed Pennant and nine players from the LionsXII — the FAS club side that was disbanded after the Football Association of Malaysia opted not to include it for the 2016 Malaysian Super League.

Pennant, 33, joined the Stags in a mega-deal reportedly worth S$45,000 a month. It made the Englishman the highest-paid player in league’s 21-year history.

Players from the LionsXII also earned wages above the S.League average. The average S.League salary is reportedly S$3,500 per month, compared with more than S$6,000 for LionsXII players.  However, clubs that sign former LionsXII players will each receive S$130,000 from the FAS as a form of wage subsidy.

Tampines was recently in the news when they announced that they had obtained permission from the Asian Football Confederation (AFC) to host their upcoming AFC Cup match against Malaysian Super League side Selangor at the 55,000-seater National Stadium. The venue is believed to cost around S$200,000 per day to rent.

In previous interviews, Ramachandra had told TODAY that Tampines “remains in a healthy financial position” despite splashing the cash on Pennant, which may cost Tampines up to S$750,000 this season, and nine former LionsXII players. 

The 44-year-old lawyer also told TODAY that Tampines had secured close to “S$1 million worth of cash and in-kind sponsorship” for the current season. 

In addition to Hyundai, some of the club’s major sponsors include Supercars Singapore, law firm Duane Morris & Selvam LLP, sports marketing agency Red Card Sports and sports -goods retailer Decathlon. 
S.League clubs also receive annual subsidies of up to S$1 million from the FAS per season.  

While clubhouse jackpot operations are often a major source of revenue for local football clubs, Tampines is currently not getting any such income. According to a report in The New Paper, its clubhouse was evicted from Burlington Square on Bencoolen Street in January after allegedly racking up S$90,000 in rental arrears.

Aside from its player roster, Tampines also showed ambition in beefing up their brand. 

Last December, they signed a deal with Brazil legend Ronaldinho to set up his football academy here, before appointing Houllier as the club’s international ambassador last month. 

The Stags are currently second in the S.League after eight matches.