Town have written to all season ticket holders and Silver Club members to invite them to participate in the new share issue. The club is offering £1.75 million shares in order to strengthen the squad ahead of 2006/07.

A minimum purchase has been set at £100 with the cut-off date for investment June 23rd.

A fortnight ago, Town wrote to all 3,300 shareholders to announce an EGM to seek the authority to go ahead with the share issue.

The letter also revealed that Norwich Union, the club's main lender, will take a 10% stake in the club over the next two years.

Norwich Union, who in 2001 provided the club with the £25 million bond which paid for the building of the new stands, will receive a 4.99% stake in the club on September 1st 2006 and another 4.99% a year later, giving them ownership of 9.98% of the club.

TWTD reported in January that the club's much-vaunted debt renegotiation was effectively Norwich Union waiving their interest for two years, saving the Blues £2 million per season.

Norwich Union are keen for Town to win promotion to the Premiership and finally begin making capital repayments on the bond, an aim increasingly unlikely while the Blues continued to make their annual interest payments. Norwich Union receive the stake in the club in return for eschewing the two years' interest.

The EGM will take place on Monday, June 5th at 11.30am in the Galleria with shareholders asked to vote on two resolutions. The first asks for the power to issue up to 170,130 shares with an overall investment ceiling of €2.5 million (£1.75 million, the highest figure at which the club does not have to incur the cost of producing a prospectus and other technical requirements) plus the Norwich Union shares for 2006.

In addition, the resolution makes provision for the issuing of £840,000 in loan notes, much of which has become available after the conversion of existing loan notes, including those held by members of the club's board, another term of the debt renegotiation.

Resolution two allows the issue of shares to those who are not currently amongst the club's shareholding, namely season ticket holders and Silver Club members.

Photo: Action Images

Ipswich Town Polls