More information has come to light which suggests that had Investcorp managed to buy AC Milan instead of RedBird Capital Group, they would not have been able to invest the money into the squad that was promised.
As reported by Calcio e Finanza (via Milan News), Elliott Management received two main offers for the club last summer; one from RedBird and one from Investcorp.
The latter had claimed that they could invest at least €300 million in new players for the team had they been sold the club, but that may not have transpired. It is not that Investcorp could not afford it, but it would not have been logistically possible.
It primarily centres around Financial Fair Play regulations. Had Milan enjoyed a €300-400m window, there would have been much higher depreciation on players and the revenue structure would not support the added wage costs without producing a loss of at least €150m. That would have landed them in a world of pain with FFP.
Milan would have essentially spent too much all at once and fallen foul of the rules, which could have resulted in fines and sporting sanctions from UEFA.
People still don’t understand this…
This is why we must increase revenues FIRST….then we can begin to invest larger and larger sums on transfers and wages.
Well said
i dont think they’ll ever understand. They live in fifa manager world
This is what you do not understand. They have increased revenue at PSG right away, got a huge sponsorship deal and used that money to sign players. I mean you just need to check history and how it was done, nothing else. The whole article was written on the assumption that Investcorp would come in and slash wages and do the same thing? Genius, whoever did it is highly intelligent…
Sponsorship deal. You said it. They brought in revenues FIRST, then spent on players. Not other way around.
Yes, they did it in 2 weeks. And started investing that money. It was basically the owner putting his money in. That was it. He did use it to promote a business but it was basically overpaying the sponsorship deal by a lot to get money in so he can start strengthening the team. It was so bad and unpopular they signed Messi.
U get it….this writer is a Cardinale stooge…. Man city, Newcastle, PSG all do it…. Investcorp can use one front to grant advert and sponsorship to Milan at high rates …which balances d books ….Cardinale is just a fraud
That’s easy to do when you OWN THE SPONSORS, like the above mentioned. City and PSG own their sponsors or have a massive stake in it.
Bo, I have explained this 70 times.
And all of that is illegal, but they still get away with it. What happened with that Man City trial it all got conveniently silent?
So if RedBird wants to spend to land a new stadium and tv de FIRST, to increase revenues….they should at least be given the benefit of the doubt. If they increase revenues and then don’t increase spending once that happens, then there will be a legitimate gripe.
My friend you said it all, we have to wait for a new stadium to be built and to collect its revenues, so after one season playing in it. It means we could wait until 2028 at the best, probably later. That’s sad considering where we were recently. Until then it seems like we will rely on cheap players, who won’t help winning trophies, maybe also sell key players. We can only hope for the other Italian teams to struggle during that span. This is why some of us are angry, this is a step back. But anyway there is nothing we can do.
Bro, don’t be dramatic, listen to these guys. In 5-10 years it will be better, can’t wait. I’m so excited about the club that I don’t mind they will sign free and average players for the next 3-4 years. Perfect.
A step back from what? 7 straight years with no silverware to speak or even a UCL berth to speak of? Our recent success has only been because of an investment firm coming in, balancing the books, and making good investments on generally young, unproven players. Admittedly we achieved greater success on the field, faster than expected; a Scudetto and a UCL semi final appearance on consecutive seasons.. That’s great. The club for the first time in almost a decade is in a solid, upward trajectory and you have nothing but bad things to say. There are always going to be people saying the club should have done more or differently. You’ll find these people even on Chelsea and Real Madrid forums. The fact is since we’ve had American investment and ownership we have done better. Full stop. Sit back and enjoy the ride.
@ Flossonero you want to be right so badly that you don’t see your own contradictions. You say the club needs to first increase revenues. So you agree that we will have sporting ambitions later. From what has been reported, it will be by selling players at their peak value, to replace them with young promising players. I think you agree that it’s a strategy for clubs like Atalanta or Sassuolo. Don’t say Napoli, some people here already explained that they did invest for years to win their scudetto. You justified that Maldini and Massara got fired because we should have finished at 5th this season, but now you say we are solid with a scudetto and UCL semis. As we say in French, you preach for your own church.
I am negative because I have no faith in this ownership and this is my opinion that I can express here, especially since I’m not the only one with the same concerns. Trust who you want and what you want but please don’t tell me how I should think. I’ll sit back but I’m not sure I will enjoy the ride, especially if our best players are sold and replaced by some youngsters that neither Ajax nor Leipzig nor Roma want to recruit. Peace.
@flossonero
Ok we will buy young players, but who will speak to them.before we have Maldini, when he speaks every youngster listens to him being à greatest defender of all time may not be for some people but even French football association announced Maldini to be greatest defender of all time and also as a club legend who spent 30years of his life in Milan
Now furlani, moncada,pioli should speak, no one knows them even italians
3years before we have a business of 130+million and this year it reached to 350+million and next year we should make atleast same and remember we are out of debt now.
We cannot wait to have 100m profit in bank and then spend it, we should increase our spending according to the expected profits. Next year we have nothing left to pay any debt where did this money go next year if we are going to continue with young players?
For stadium, we shouldnt have to save everything and then build it.this expense will not be under season expense and Banks will approach Milan in this regard
We never know even Stadium starts this year or in 5years.
The first statement of Cardinale is he will only try to win the cups but his actions are opposite.
If Milan is going to reduce his business this year, it was only because of Cardinale not players performance.
You will see empty stadiums this year no one is happy, he have make lot of effort in spending/managing team to let the fans believe in this New ideology.surely we lost old one with Maldini.
If you say me Maldini fan, yes for sure i am & i will strict to the culture of football how he has been treated but i will not buy tickets or marchandise unless i see Milan spend something
Martin I agree what you said investcorp or not ppl are paralysed by ffp stuff here….they will never get loop holes so what ever you say ppl will never get the point
I mean how can you talk about FFP when Chelsea spent 600M in one transfer window. I will tell you way, there are people who can and people who can’t do it. You can see who is who. 😀
*why
“They have increased revenue at PSG right away, got a huge sponsorship deal and used that money to sign players. I mean you just need to check history and how it was done, nothing else.”
—->
Circular flow of funds. Who owns PSG? Qatar Sports Investment (QSI), QSi is subsidiary of Qatar Investment Authority (QIA), the state-run sovereign-wealth fund in Qatar. Who is Ligue 1’s TV rights distributor? BeIn Sports (are least in my area). Who owns BeIn Sports? QSI/QIA. Who is PSG’s shirt sponsor? Qatar Airways. Who owns Qatar Airway? The Qatari government.
Do you think that the Qatari’s pay market price for Lique 1’s TV rights or do they juice the deal? Does Qatar Airways pay what a normal stock market floated airline would probably pay for their names on the shirt? On top of the cash flowing straight to PSG through their direct ownership, there is also an entire ecosystem of bloated sponsorship and TV money funneled to them via these other Qatari state-owned companies. It’s basically a fabrication of extra income.
Our club is having to raise revenues from actual business and proper deals. It takes time.
👍
Etihad Airlines can sponsor City with a 500 million contract. Both under same owner. That way PSG also gets revenue from Qatari companies sponsorship.
Because both owners are sovereign wealth fund which Investcorp is NOT! Sovereign wealth fund can command the companies owned by the country to throw their money for ridiculous sponsorship.
Investcorp was a mere front by a billionaire to buy a club…jeez man you have no idea we are from this part of the world we know who invests in what
You are wrong, investcorp get their capital from multiple investors and investcorp has to bring them profit. The way Investcorp and its leader work is similar to Redbird and Cardinale, Redbird has billions of capital yet Cardinale only worth few hundred millions, Redbird’s capital/money come from investors who entrusted their money to Cardinale with expectation that their invested money will bring them profit in return.
Yelnats, you have no idea. You are just babbling. I havev already told you that both City and PSG sponsors MADE MONEY from those deals in the end. Are you that stupid? You can google it and stop being a joke.
You have no idea, stop saying stupid 🤡thing by citing city and p$g as example.
I have said over and over investcorp is different from city and p$g owner. City and p$g are owned by state so they can command state company to send sponsorship even though the sponsorship is not profitable.
Investcorp have their capital from investors, they can’t play using their money, they have to be responsible with it and use it to gain profit, not wasting it on bad sponsorship deal.
Besides, if investcorp can really bring 300-400m money for investment, they should have no trouble outbidding Redbird by 50-100m. But the fact is they gave up on it. We don’t need 300-400m empty promise that they can’t even prove by merely use 50-100m of it to outbid Redbird.
“The latter had claimed that they could invest at least €300 million in new players for the team had they been sold the club”
As the scudetto winning coach Stefano Pioli once said:
“Winners celebrate,
losers explain(lie)”
But RedBird won and purchased Milan and Investcorp lost….🤔
You missed my point.
Gotcha
It means Investcorp make false claim to save their face after losing the bid.
This is a detailed analysis:
news*italy24.press/local/639411.html
we know why elliot sold to redbird rather than to investcorp, because if they sold to investcorp, then elliot no longer had anything to do with Milan after the sale was completed, but if he sold to redbird, elliot still had power (as evidenced by elliot’s representatives who are included in the current Milan board of directors) because redbird bought Milan by owing elliot for a specified period of time.
and if that time has passed then elliot can take over Milan again, a.k.a yong hong li V.2.
– “Winners celebrate,
losers explain (lie)” –
nothing to do with it at all!
Since Elliott owned the club they can sell it to whoever they choose.
That’s how a sale of private property works.
that is correct, but it has nothing to do with
– “Winners celebrate,
losers explain (lie)” –
After Investcorp LOST to RedBird in their attempt to buy Milan, one of their representative came out to EXPLAIN (LIE) that they would have invested 300 mil in the transfer market.
– After Investcorp LOST to RedBird in their attempt to buy Milan, –
choosing one of the two prospective buyers does not mean that the unsuccessful buyer is the loser.
it is different if the sale is done by auction.
– one of their representative came out to EXPLAIN (LIE) that they would have invested 300 mil in the transfer market. –
how do you know, or are you 100% sure that one of their representatives lied that they would invest that amount?
“choosing one of the two prospective buyers does not mean that the unsuccessful buyer is the loser.”
OK Giannis Antetokounmpo, explain to us again how not reaching your goal is not a failure
hahahaha…
you are not different from that flying turtle guy are you?
belittling People who disagree with you.
i think i’ll stop here
well said
yeah, if €300-400m per window /mercato will be subject to FFP regulations, maybe half of it is enough.
instead of only having a peanut budget of less than €50m per season.
oh wait, i forgot that there are some racist people here, who think oil money is very bad, not because of it’s source but simply because of the person who owns it, the arab.
what a bigot.
do you even know what ‘racist’ means?
But since you love the arabian peninsula so much why dont you go live there? If its good enough for penaldo…
why don’t you?
what gave you the right to write to me like that?
HUH!!??
or to anyone, like that?
your inability to deal with the many people who disagree with you shows who you really are.
and that is very sad.
do people always have to agree with you in your opinions?
and if they don’t agree with you then you have the right to speak harshly to them?
Why are you stressing over a completely unimportant character? You shouldn’t, literally the most ridiculous guy here along with Reccaman.
@Martin.
AMEN brother. It takes real effort to write ALL your comments to be utter useless g@rbage that contributes to no information nor logic consistently over and over again. lol
i have all the rights on this planet. unlike some people on a particular peninsula..
funny how that works, right?
You said twice the same thing.
1. New sponsorship deal
2. Increase revenues
3. Spend more on players
In that order
Additionally I don’t think you read the article. It doesn’t say Investcorp would have taken the same strategy as Elliot/RedBird. It states they could t have spent as much as the claimed because of FFP, which is true. Please read FFP rules and the details of Milan’s settlement until 2026 before spewing anymore nonsense.
Yes, that was done right away, first season. That is why I was for Investcorp. I mean I would always pick the owners of City before Liverpool. Better business model for the fans and winning. Simple as that.
Man, you always assume something wrong. Literally every time. It is not on purpose…
So, what I said is exactly as is. It was written based on that assumption because they just used the projection of Milan how it is financially and did an imaginary 300M transfer cost. That was it, the analysis that Milan “could not spend 300M”. Basically a 3 minute job to do the “analysis” which isn’t one.
And yes, if they got a let’s say 10-year sponsorship deal worth 1billion (PSG signed 5 year deal worth 1 billion in 2011. and spent the money), they could have spent it + more. Do you understand that or will you keep writing nonsense to try and prove yourself right?
I don’t understand how you don’t get that, but it is basic to understand. Read a book, educate yourself. It is really easy.
P.S. PSG was worth 100M when they bought it and now it is worth 4.3 billion. Such a bad model, you can see from the valuation, revenue etc.
Yeah I read the entire article from MilanNews and I agree with you, since it’s a lot of speculation. I’m no financial expert but they speculate on the spendings on the market, the salaries for the hypothetic recruits, also on where Investcorp’s money comes from and if they really have the money to buy the club.
From what I understood, they say with 300-400M spendings for one summer window, the club would have to find 170-200M in additional revenues to stay in line with FPF. So as you said, as I was thinking also, they could bring new sponsors from their own funds. Maybe not as much, but they wouldn’t have to spend as much also. We know that only a few starters are missing and it could be cost effective transfers at first.
Anyway, considering that it was a lot of speculation, I think we can speculate as well and consider that we would have had a more exciting mercato with Investcorp than what is ahead of us with many young no names and cheap guys, and maybe key players leaving.
I love how you voted PSG’s growth in value and not their sporting success. You’re making my argument back to me and calling me dull. Processes
Also PSG were just fined 56m last season for violating FFP, have the gift highest revenue of football clubs in the world and currently have zero UCL trophies.
I love how you noted PSG’s growth in value and not their sporting success. You’re making my argument back to me and calling me dull. Priceless.
Also PSG were just fined 56m last season for violating FFP, have the fifth highest revenue of football clubs in the world and currently have zero UCL trophies.
Not arguing here but please I beg you to stop with the zero UCL win argument. They win Ligue 1 and the domestic cup almost every year, they compete for UCL on a regular basis (finals, semi-finals recently). Don’t tell me Ligue 1 is a poor championship, PSG would probably win Serie A every year.
Again. I already explained this same thing to you but you are obviously like that, I’ll do it again for you. I am not mentioning something that is obvious to everyone but you.
PSG won 11 French titles in their history, 9 since they were purchased in 2011. No sporting success? What do you call that? Same for the national cup. Worthless? Nobody cares, right? Only the whole country watching their league.
What it seems is that you want to say that the only competition that is worth is UCL, maybe clubs should give up the national championships?
Because you wrote the same same argument when you wrote about City. Can you make something else up to sound better? I mean both of those clubs won a bunch of titles, you aren’t making any points when you write that. 😀
You think investcorp is like the owner of city? Lol… think again!
City owner is a rich person who has money, he doesn’t need to gather investors to raise capital for funding. Meanwhile, investcorp need to raise capital from investors, they need to satify the investors by giving them return.
City owner do not need to loan money for takeover while most of the money investcorp plan for the takeover is via loan/debt and with it come big interest.
news*italy24.press/local/639411.html
Investcorp manages much more money than Redbird. Investors are people from that same area who want to promote their businesses through a club with history like Milan, in Europe.
What I think doesn’t matter, the article is false. That is the point.
Please analyze first how PSG, City and now New Castle spending?? There is a way. For example Etihad airways owned by AbuDhabi, the same family who owns City gives a 250million sponsorship. Qatar companies which are owned by the same family sponsors PSG. So basically these owners brings money to buy players by sponsoring the club with their other companies.
Yes but Juventus can do everything
They can cheat on taxes, salaries, make fake transfers, and still… stay without FFP problems.
Big Ac Milan problem is we don’t have strong owner who fight for his club.
Again, 5 minutes of research. What you can spend on market is directly tied to revenue via FFP. In 21/22 season Juventus had 400 million in revenue vs 256 million for Milan.
PSG increased their revenue by over 200M right away.
By signing one deal in one afternoon.
Something investcorp is not capable of. Whose money are they going to camouflage as sponsorship? They are not sovereign wealth fund like p$g or man city owner. They are just an investment fund created and managed by regular citizen.
Yelnats24, check which brands are owned by that fund. And then which are owned by Rebird. Why are you talking random nonsense? They literally own a bunch of businesses that would benefit from the deal. If the investors are the same it is their money and there is benefit for them on both sides of the deal.
You should stop your dumb fantasy, read my post below!
Yelnats, you do not even understand how sponsors work. Stop embarrassing yourself. Even City and PSG sponsorship deals made money for the companies. Because they became successful. You can’t even imagine how much it was worth for them to have Messi wear the name of their company on his body. You are clueless.
Continue below, not here.
Juventus increased revenue by fake transfers and fake value of players. To avoid FFP.
They got sentences on court against them but still FFP rules don’t apply to them.
It is because they have strong owner.
no body is blaming Red bird for not investing last year or during january Mercato . this year is different as we got extra revenue thanks to CL semi finale . Milan is allowed to have 60 Mil deficit spread over 2023 and 2024 …we can take same measurable risk but they prefer money ball approach
P$g and city are owned by rich family. Investcorp is not rich family, they can’t bring owner’s money camouflaged as crazy sponsorship deal. Investcorp is similar to Redbird, they raise capital from investors.
Sponsors. That’s how rich companies do it.
The way Chelsea/PSG/City/ManU could spend 250 mil a season, is via sponsors. No club can spend 250 mil+ in a season on transfers with their revenues alone without incurring severe FFP sanctions, no matter how rich the club is.
Extra cash is invested by the owner by sponsoring the club via shell companies and brands owned by the owner as Sponsors whenever it is needed.
Lets say Khelaifi needs to inject 100 mil for a player signing and he is 40mil short of ffp sanction. All he needs is to sign a sponsor deal with a company he owns or his family owns that’s worth 40 mil or more. Aka.. FFP evaded.
Redbird doesn’t own any brand we can sign a sponsorship deal with, while Investcorp owns multiple. That’s exactly how Boehly could spend like a madman with Chelsea while FFP $ucked their thumb and watched.
You don’t understand how that works.
Chelsea, P$G, and Man City has their owner money camouflaged as sponsor. While Man Utd has global brand since 20 years ago, sponsors come to them naturally.
Even if investcorp has a lot of company it invest in, they can’t just told them to sponsor Milan. Investcorp is not a rich family who want to burn their money for fund. They have responsibility to bring profit for their investors.
Man, come on. Let’s do the basics. Sponsors invest in clubs to promote their products. Ok? This is the basic idea. If you own the sponsor company and the club you can give more money to the club as you want the club to invest the money and do better. If they do better in competitions they will be more popular and promote your brand better so you will get more value for your money in the end. I think that is quite simple. They own a bunch of companies, over 50B in valuation and I am sure that a lot of those companies would very much like to promote themselves through Milan.
Since the investors in funds are usually the same people that diversify their capital through a fund, that shouldn’t be a problem that you keep describing it. It isn’t throwing money way and you are describing it that way. IT IS AN INVESTMENT. Every sponsorship deal is. You think that PSG and City sponsors did not make money from those deals in the end. LOL. They are literally promoted on the top clubs in the world of football, the whole world knows about them…
I’ll post the reply below, not here. @Milan4lyf, the same for you.
Don’t really care. I’ve explained it to you, if you don’t get it, not my problem. Have a good day/night!
You are the one who don’t get it. 👎
Give up with Martin. You made a good effort. Appreciate you.
Florossonero, I wasn’t really replying to you here. I gave up on your a long time ago, when you were telling me PSG is selling their stars, or that City never won anything for the money etc. You are hopeless.
But Yelnats24 and him not understanding how sponsorships work and why it was a good investment by those companies that sponsored city or PSG is just mind blowing.
Basics. Read a book.
books.google.dk/books/about/Sports_Sponsorship.html?id=-Qw3AAAAQBAJ
Here is one, you can start here. If you want me to buy the book for you just tell me and tell me where to send it.
The money that p$g received is the money of Qatar (their owner) funneled to the club disguided as sponsorship to get around FFP.
You can’t compare that to investcorp. Investcorp is not state-owned. Investcorp is not owned by a single billionaire who can use his/her company as he/she wish. Investcorp get their money from multiple investor who invest their money expecting return on their investment. So Investcorp cannot use their money recklessly, they can only have their brands/companies to sponsor Milan if it justifiable in the eyes of their investors (bringing them profit).
It kind of depends on how many brands the owner/company owns and how influencial they are, may it be an owner or as an investment fund. Only brands can sponsor.
Investcorp definitely can manage the companies and funs however they see fit to increase the potential value of their assets. If Sponsorship deals can do it for both the brand and the organization the brand is sponsoring, They will do it.
The point is, FFP can easily be evaded, in multiple ways actually. The only factor it all boils down to .. is willingness to invest. Owner/fund doesn’t matter that much.
Seriously, you need to stop equate Investcorp with the likes of Abramovich, Khelaifi, Mansour, or even Jassim. Investcorp is not wealthy middle east royals or bussiness tycon. They are an investment fund who raise their capital from investors, they have responsibility to bring them profit, they can’t just burn their money or the money of company under them to sponsor Milan.
I have already explained to you up there. Learn the basics. Nobody is burning money.
No matter how many brands/companies managed/owned by Investcorp, Investcorp can’t just command them to sponsor Milan. This is because Investcorp have responsibility to answer to their investors. Investcorp is not owned by a business tycon or a country. Investcorp is a company which get its capital from investors so they have to bring them profit. They can’t just have the brands/companies sponsor Milan, they need justification that the sponsorship can generate profit for the brands/companies who give the sponsorship, otherwise they will burn money. Unfortunately, Milan brand is not huge enough to justify bringing huge sponsorship which still guarantee profit in return.
This is why RedBird is trying to improve Milan brand, they might not have list of companies/brands under them as extensive as Investcorp but they have connection to YES Network which can help build Milan brand. If Milan brand is as huge as Real Madrid/Man Utd, we won’t even need Investcorp, companies/brands will come to bring huge sponsor for us naturally.
And for all the talk that Investcorp has many brands/companies under them, they still don’t have enough money and had to use bank loan for the failed takeover.
You have some really wrong ideas about sponsorship deals if you think it means ‘burning’ money. brands have a marketing budget dedicated to sponsoring as it is directly proportional to extending the brand value which increases the brand valuation in return. No one does it out of charity. The more a brand sponsors, the more valuation it receives in return.
If you own a business that participates in events and a brand as well, you can simply use the brand to sponsor your own business in their events to raise the value of both the business and the brand. Win win for all. A football club is a business that participates in events aka games/tournaments/leagues regularly aka a ripe market for really big sponsors.
That’s how sponsorship works. Doesn’t matter if it’s an individual owner or a company. What matters is, owning both a business and a brand along with the willingness to invest.
The end goal of sponsorship is further profit. As you said, sponsorship is not charity. This is why brand/companies will only give sponsorship if they believe the deal will end up raising their profit. If Milan want to get larger sponsorship, it has to enlarge Milan brand first.
PSG is owned by Khelaifi but not personally. He didn’t buy PSG with money from personal accounts. It’s owned by a company named Qatar Sports Investments and the company’s majority shareholder is Khelaifi. That’s how businesses work. Besides Khelaifi, there are other investors. It never held PSG back from getting Billion of dollars in sponsors. So what you said, was wrong. Just because a club is owned by a company, there is no barrier for getting sponsorship deals.
QSI is a state owned entity with Khelaifi as its leader. The true owner of P$G is Qatar, Khelaifi is just the man who manage it
The money P$G receive is Qatar money, to avoid breaching FFP, they disguise it as huge sponsorship. P$G received it not because Khelaifi want it but because Qatar want them to receive it.
You can’t compare investcorp to them. Investcorp is based on middle east but they are not state owned entity. They are also not majority owned by a single billionaire who can do as he/she wish with its money. Investcorp raise their capital/money from multiple investors who expect profit from the money they invested. The way they operate is similar to Redbird. They cannot told the brands/companies under them to make unjustifiable sponsorship.
I apreciate you spare your time to explain to that kiddo martin , but too bad he wont listen . He just want AC Milan like yong hong li era splash cash 200m euro without care anything in the world . It is like he say to owner : go use big money 200-500m euro to buy player for satisfied fans , i dont care if you get huge debt or your asset reduce drastically because it is not MY MONEY. This martin want AC Milan owner whoever it was splash money like PSG without knowing even berlusconi ( no FFP in his time ) cannot even buy player 50m euro for one player ( max 30-40m euro ) , berlusconi in his successful time ( prime minister italy ) cannot even build galacticos like Real madrid because AC Milan income are below Real madrid
We would not have made CL next year if Juve didn’t get clipped. Also, with big signings you can get way better sponsorship deals. They could have had someone else invest as sponsors through a third party like City and PSG do. So realistically it was very possible to spend that. Should 300 mill not be possible right away, they could have easily spent more than 45 million and retained Kessie as well with a decent wage.
I 200% agree. We don’t need €300 mio to build strong team … but possibly a ‘smidge’ more than €45 mio
For me it is pretty simple. If they made extra money from the CL result (so not qualification, the guaranteed money) the money should have been added to the transfer funds. On top of the existing. The players earned that money, it should go into an investment to improve the team. Nobody even asked for the club to spend 300M, this is a topic for these guys to try to insult people that think having a smaller budget after CL semi-finals is ridiculous and to use wrong “analysis” to prove nothing.
And a stadium that isn’t a 100 years old that will bring in an additional 80m a revenue isn’t an investment towards improvement? OK. I’m glad you, and others here seem to know more than someone who manages billions of dollars in assets and has holdings in multiple sports teams on different continents.
Ok, nobody cares about your sarcasm. We’ll see how will Milan do next season. I was hoping to compete for scudetto, but now “real fans” are telling us to be happy with 4th spot. LOL
1- One invests in players
2- One wins titles
3- One attracts sponsors and money, all the more as one can ‘flaunt’ the Milan brand.
It’s a ‘positive circle’, victories calling for victories .
It’s indeed a riskier approach as one has to invest first and then wins titles, but this model worked (Silvio’s strategy when he bought the club) and still works (eg: Real Madrid, ManU, …).
You don’t understand the basics and you are comparing Milan in terms of revenue to Real Madrid and Man U ?
Those clubs make at least 3 times more than Milan , they own their stadium, they get a lot from TV rights and last but not least sponsorship deals.
When Silvio was running the club records were like 30-40 milions for most expensive players. There were no FFP rules and owners had more liberty to splash their cash. Today that’s not possible without improving financial situation of the club.
Some here write that you can use shell companies but are to dumb to understand that it doesn’t work like that. Why Newcastle is not doing it ? They have 80 millions budget this transfer window. Stop sprouting shit. Milan needs to raise their revenue , they need to work more on marketing and attract more sponsors, also because Seria A TV rights are poorly selling they need to something regarding that , also improving youth sector so they can sell players from it for a profit like some clubs do (Chelsea, Barcelona, Real..)
With all due respect when a take over is done club with new owners are provided with leverage for three years to take care of finances….whether the club is already under ffp…..now comes the main part how that would be done by getting new sponsors affliatiated with new owners…..just like psg man city pulled off…..and plus you have the option of paying higher fine or depositing money with uefa there are tons of loop holes to get along with…..when milan opted out of Europe they had the option of depositing money with uefa which they didn’t took…..the purpose of ffp is for clubs not going bankrupt and continue within their means thus not effecting sports and clubs historical value…..i will repeat again investcorp was merely a vehicle pulled by individuals to purchase Club as the main source which would passed to current owners…..well that’s another debate ppl need to understand middle east culture before debating….there is cultural differencew between how businesses are done in West and Middle East
Exactly, I work with companies in the Middle East and image is a big part of those businesses. Meaning that anyone coming from there to buy Milan would not embarrass themselves in front of the whole world by not doing anything. It is like getting on the world stage and showing you are cheap or incompetent. It wouldn’t happen.
So everyone here agrees, bringing in sponsorships and increasing revenue is priority number one. Then player acquisitions. I’m glad we all agree. Now take a deep breath and let RedBird work and let’s see what they do.
Yes, everyone knows how businesses work. But it will take 5 years minimum to get anywhere with this type of policy. Probably more. PSG did it in 2 months. 😀
People don’t understand that Investcorp are a team of billionaires that they have other companies that could sponsor Milan way more money so they would do the same thing sheikh of city does so we 💯 we could spend more money than now with brokebird. The truth about why Elliott company said no it was because Investcorp they wouldn’t allow Elliott company to have not 1% stake at AC Milan because they would pay all the money needed to buy the team and make a team that consists of billionaire middle eastern people that would invest in the squad with specific money each one like a collaborative company so yh we should have Bahrain people not these broke Americans
Team of billionaires who need 400 millions loan from Goldman Sachs because they don’t have enough cash that can be commited for takeover? Lol
The billionaires are the investors, but they don’t invest all of their money on Investcorp.
Exactly this.
Also, people say that RedBird only cares about profits and enriching their shareholders, but Investcorp is also a fund whose main purpose is enriching their shareholders.
They are both investment funds where rich people put their money in with the idea of growing on their investment
INVESTcorp
Stanley, are you sure, with this news released by elliot when giving the reason why they chose redbird instead of investcorp?
not because of elliot’s interest in still owning a bit of Milan at this point despite having sold them?
if someone says that one of the investcorp representatives could have lied, it’s possible that elliot could have done the same thing, we never knew.
whatever it is, it’s all in the past now.
all the best clubs in the world have cycles and there will be a time when Milan will be the strongest again.
having hope is not enough, but I have faith in Milan, faith of this color, always!
Both Investcorp and Redbird offer 1.2 billion. Elliot was also reportedly will remain as minority owner in Investcorp deal. If the share percentage remain at Elliot in Investcorp deal is lower, that means Investcorp is unwilling to pay price per share matching or more than Redbird.
Furthermore, in Investcorp bid, only 300-400m of it is Investcorp’s own money. Meanwhile, 600m in Redbird bid is Redbird’s own money.
400-500m in Investcorp bid come from prefered equity (from third party) in which the third party get double-digit% yields (higher than bank loan or vendor loan interest).
The vendor loan cost in Redbird deal is 42m annually while the bank loan + prefered equity cost in Investcorp deal is 55-64m annually.
Source:
news*italy24.press/local/639411.html
@Yelnats24 You think Billionaires just summon money out of their personal accounts all over the world for whatever business they want? lol
Bringing in money/investment from a different country takes time, has a lot of legal establishments to make, such as licensing in Italy, creating a new company, setting up office to manage the investment and such. Meanwhile, is it necessary for any deal to sit idle? No. That’s where loan comes in.
Don’t you know that the loan they were going to use is long term debt?
Only 300-400m is from investcorp own equity. 400m is bank loan. The remaining 400-500m is prefered equity (hybrid between equity and debt) which is actually money invested with around 10 years time horizon.
At least they want to spend some big money. And yes, i believe they know and respect milan history. Not like that yankee.
Jesus Lord! It’s hard to tell we are all here wanting for the best for our club…. So much divisiveness, over-reaction and negativity… Everyone has a theory, which is fine. But the only opinion that drives the club is that of RedBird wether we like it or not. This is a new ownership which apparently scares the $hit out of a lot of people here. That’s fine too. But it can’t be any worse than the banter years, and those were tragic. Galliani focused on the same free signings that many are on here criticizing. And during those years we were nowhere near CL semi’s or Scudetto (after ‘11).
I’m confident (until results show otherwise) that the people running an investment firm that can afford an $1.3billion purchase of a club have an IQ higher of a waffle cone and likely have a plan in place. Everyone needs to just calm down (ant least ‘till end of August) and see where this Bird takes us.
Cannot stop laugh read this martin comment . He compared AC Milan with EPL club that have huge income , even bottom tier EPL club can easiliy overbid AC Milan on transfer fee example leeds. And now he wants AC Milan owned by state oil middle east, dont worry martin your comment will be read by middle east oil billionaire, wkwkwkwk . This is just my advice : it is more easy you go move support PSG or oil billionaire club rather than comment here waiting billionaire middle east come . PIF even not want to buy inter and say italy league have bad structure, build stadium always hard to get permit from government, etc . Open your eye kids ,italy club financial can only sign cheap player,free transfer,loan player. Even juve have stadium cannot sign expensive player without selling player and they got point deduction because want to manipulate capital gain
Compared to EPL club? Which one? You don’t even understand what you are reading. You literally made up 90% of what you wrote. Who said that someone should spend 200-500M? Read the title of the article, the discussion is about that. Nobody is talking about the thing you are saying but about the claim made in the “analysis”. You really are the most intelligent guy here, without a doubt. Never on point, you would miss it even if it punched you in the face. It is because you don’t understand half of it, not your fault. Good luck!
Ketika baca Komentar lebih asik daripada baca artikelnya
Agree with this, reading comment from delusional kid like martin and laugh are more interesting reading the article.
It seems Investcorp dan Redbird are trending today with more than hundred comments in this page
It’s more of debate regarding Investcorp’s real ability though.
The bottom line is cardinale will never spend money significant enough to challenge the big teams, the stadium will come in a very long time, after it comes, they will need to repay the loan for building it, this year the balance sheet was positive, no spending, are we really positive that the coming years it will be positive again with the squad that we have???? Cardinale is just passing, he will sell the club, hope he will win something before that, becoz he might go without a trophy like the chinese guy, though he will go with more money definitely
investcorp wldnt have sent that much in one window, they are not stupid but at least we wld have had an owner that was willing to invest , we need like a 70 mill trasnfer budget plus what we get from sales , that is what investcorp wld have done , this article is useless
you fcking kidding me?
GIVE US HALF OF THIS AMOUNT and we’ll have one of the best squads in Europe.
But you know, dreams dreams dreams…