“RedBird’s priority is to give continuity to Milan’s journey, seeking its return to the elite of world football”says the statement that made this operation official.
red bird is already present in the sports world in North Americabut is also active in Europethrough a minority stake in the Liverpool but also with control since 2020 of the Toulouse F.C.recently promoted to Ligue 1 French.
The US fund was a favorite since the resignation of Investcorpa fund based in Bahrain.
The agreement values the AC Milan in some €1.2 billion ($1.288 million)a number at the height of his track record, with his seven Champions League and his 19 championship titles Italy.
Although coming out of a less glorious decade, the “Diavolo”, the club’s nickname, seems to be reborn. After returning this season to the Champions League After seven years of absence, the Milan confirmed his rebirth with his title. In this age, Silvio Berlusconi he was still the owner.
The businessman had bought the club in 1986 to lead it to the roof of Europe with game and stars (Van Basten, Gullit, Maldini, Kaka, Pirlo, Shevchenko...).
Berlusconi he left in 2017 when the club was heavily in debt. Elliott Management recovered the club somewhat by chance a year later, as a creditor of a Chinese buyer, the businessman Li Yong-hongunable to repay a loan.
The fund opted for young players with strong potential, entrusting its transfer policy to the club’s legend Paolo Maldini.
The salaries were also adapted, without being able to keep some important players, who left with the letter of freedom, such as Gianluigi Donnarumma (Paris SG) and Hakan Calhanoglu (Inter Milan) in 2021 or Franck Kessie this year.
Losses fell from €100 million ($107 million) in 2020/21 (96 million euros, 103 million dollars)for the first time since 2017, after reaching its highest peak in 2020 (195 million euros, 209 million dollars).
Elliottwhose objective was to resell the club in the medium term with a capital gain, would have invested some €740 million ($794 million) since 2018, according to the Italian press.
“Our plan was simple: create financial stability and bring Milan to its rightful place in European football. I think we can say that both goals have been achieved.“, his employer commented this Wednesday, Gordon Singer.
This operation confirms the attraction of Italian football in the eyes of North American investors: almost half of the clubs in A series were this season American or Canadian owned (Milan, Rome, Bologna, Fiorentina, Venice, Spezia, Genoa and partly Atalanta).
red bird Capital is particularly present in the sports marketing sector in North America.
His employer, the financier of Italian origin Gerry Cardinalwas also associated with operations with several franchises in North American sports, especially with participation in the new york yankees or the Boston Red Sox (baseball).
In addition to the brand image of the AC Milan, the interest of the operation lies in the project of a new stadium planned by the two city clubs. Synonymous with more income from ticket sales. The new enclosure would succeed the venerable San Siro after 2026.
Source: Ambito
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