AC Milan: Is the End Near?

The soccer club, bleeding money after a spending spree on star players, is seeking new investors or a refinancing of the high-interest loan that Mr. Li took to buy the club. That loan comes due in a year.

Chinese corporate records show that — on paper, at least — someone else owns his mining empire. That company’s offices were empty on a recent visit, and a sign on the door from the landlord cited unpaid rent. A spokesman for A.C. Milan said Mr. Li’s control of the mining business had been verified by lawyers and banks involved in the transaction.

Chinese records also show a series of business disputes and run-ins between Mr. Li and Chinese regulators.

Mr. Li set up companies in the British Virgin Islands and Luxembourg that would put the club’s legal ownership outside China, according to Marco Fassone, A.C. Milan’s chief executive officer. Mr. Li also borrowed about $354 million from the hedge fund firm Elliott Management, a loan he must pay back by October 2018. A spokeswoman for Elliott declined to comment.

A.C. Milan remains debt laden and unprofitable, and could have trouble repaying what it owes on its own. It spent about $274 million to sign 11 players this summer, according to the club spokesman, making it among the biggest spenders in European soccer.

In August, A.C. Milan had to wait for the transfer of two players it had signed from other teams because it had not deposited the required bank bonds. The club blamed a timing issue for the delay, and the transfers were eventually completed. The team is in seventh place but, with more than two-thirds of the season left to play, must finish among the top four to earn a spot in European soccer’s elite Champions League next season. The team could lose valuable television revenue if it fails to reach that level.

Spoiler:

breva wrote:"Serie A stugglers AC Milan are reportedly close to agreeing a deal that would see them able to pay off their debt with US hedge fund Elliott Management."
http://www.90min.com/posts/5808496-struggling-ac-milan-reportedly-close-to-sealing-a-deal-to-pay-off-elliott-management-debt

But as reported by CorSera via ​MilanNews.it, a deal to pay off the debt with the help of advisor BGB Weston has almost been agreed. It consists of a loan that needs to be paid by 2023, with higher interest. In addition, they would receive an extra €100m investment. The total deal would be worth €400m, and should be closed within eight weeks.

Luca wrote:

breva wrote:"Serie A stugglers AC Milan are reportedly close to agreeing a deal that would see them able to pay off their debt with US hedge fund Elliott Management."
http://www.90min.com/posts/5808496-struggling-ac-milan-reportedly-close-to-sealing-a-deal-to-pay-off-elliott-management-debt

But as reported by CorSera via ​MilanNews.it, a deal to pay off the debt with the help of advisor BGB Weston has almost been agreed. It consists of a loan that needs to be paid by 2023, with higher interest. In addition, they would receive an extra €100m investment. The total deal would be worth €400m, and should be closed within eight weeks.

Genius, take out more money. Milan going to do a runner

@tom, watch the border closely. If you see Kalinic running with a bag of money, you take him out

Unique wrote:ES will just start supporting man city. nothing to see here.

farfan wrote:Russian and Arab owners >>>

Hapless_Hans wrote:stopped reading at "star players"

Luca wrote:

breva wrote:"Serie A stugglers AC Milan are reportedly close to agreeing a deal that would see them able to pay off their debt with US hedge fund Elliott Management."
http://www.90min.com/posts/5808496-struggling-ac-milan-reportedly-close-to-sealing-a-deal-to-pay-off-elliott-management-debt

But as reported by CorSera via ​MilanNews.it, a deal to pay off the debt with the help of advisor BGB Weston has almost been agreed. It consists of a loan that needs to be paid by 2023, with higher interest. In addition, they would receive an extra €100m investment. The total deal would be worth €400m, and should be closed within eight weeks.

Genius, take out more money. Milan going to do a runner

@tom, watch the border closely. If you see Kalinic running with a bag of money, you take him out