RedBird Capital want to close a deal Comvest soon and pay off the vendor loan from Elliott Management, further reports have confirmed.
La Gazzetta dello Sport report this morning that Milan’s corporate history could be enriched by a new chapter, to be added by March. The financial timeline is clear: projects and objectives are planned quarter by quarter.
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RedBird plan to refinance its current debt with Elliott Management, and the goal is to settle it by the first quarter of the year, i.e., by March. From New York, RedBird and Elliott’s main operational headquarters, Milan’s interests would extend to a broader area: Central and North America.
Elliott’s successor would be Manulife Comvest, an investment firm based in Toronto, Canada. Cardinale has long been considering how to repay early the €489m debt, plus interest, granted by the Elliott fund and due in 2028.
The advantage of relying on Comvest would be two-fold: extending the repayment period and simultaneously lowering interest rates, a fairly common operation in the financial sector. RedBird, along with Cardinale and his men, would thus remain in charge of the club.
They are still pursuing a long-term project with the Rossoneri, and with a longer time horizon than current conditions allow. Key words: stability and continuity.
The figures
The coexistence between RedBird and Elliott began in the summer of 2022. Cardinale purchased Milan after the club’s last Scudetto victory, giving the club an enterprise value of €1.2bn. Specifically: €600m to the Singer fund, and €550m lent (with the corresponding interest rate) by the seller to Cardinale.
The vendor loan – a formula often used in similar transactions – was then extended in December 2024 until July 2028 with a further investment from RedBird and a debt reduction of €489m. However, due to interest, the amount subsequently increased again.
The future partner (Comvest) see Milan as an attractive opportunity, given their three consecutive financial years in profit, and even more with the stadium deal.
Under Cardinale, Milan have consistently posted positive results: €6m profit in 2022-23, €4m in 2023-24, and €3m in 2024-25. These results should be taken into consideration if a new governance structure is to be established in the future.
Currently, the most prominent positions on the Milan board of directors are those of president Paolo Scaroni and CEO Giorgio Furlani. Under this management, the club learned to operate self-sufficiently: Milan have seen their revenue grow and recorded excellent performances in the commercial department.
Today, sporting results are also fuelling confidence: after a season without the guaranteed earnings of Champions League participation, Allegri’s team is racing to secure another qualification for Europe’s most competitive, and therefore richest, tournament.
Just realized that Romas 23 year old player Edoardo Bove had his contract terminated due to him not being allowed to play in Serie A anylonger as he got inserted a heart defribilator in his chest or whatever its called.
yes, that why inter release eriksen when he suffered same condition
Yeah I know that as I’m a Dane and it was much up in the media back then. It’s a bit weirder situation here with Bove though as he is an Italian himself and now he can’t even play in his own country but at the age of 23 I suspect that he probably will have other solutions abroad. Any idea if he is allowed to play for the international team as it would awfully strange if for example a foreign team like for example Denmark was not being allowed to field Eriksen if we were to play against Italy down there ?
Not surprising at all. As I said many many times – 2028……Gerry doesn’t have the $$ – all leveraged. So we replace one investment firm with another. Not great. More debt and more interest payments for Gerry to pay off which will restrict our spending. Better to have been rich Arabs that bought us outright. Oh well. perhaps these new investors will be less frugal but it’s doubtful. They will just want their interest and $$$ back. Only silver lining would be they dump that rat Furlani and that fat one eyed walrus Scaroni
Nobody has 1.2bil on demand unless you’re a sovereign state. Either way, even with the payoff nothing changes at ground level for the club and its ambitions.
Still pining for rich Arabs.
There are no more rich Arabs shopping around, looking for a club to buy.
That dream is already dead in the water.
“More debt and more interest payments for Gerry to pay off which will restrict our spending.”
LOL! For the millionth time: Owner’s debts aren’t Milan’s debts!!!! How effing hard is it to understand that???????!!!!
OWNER’S DEBT HAVE ZERO (0!!!) EFFECT ON THE CLUB’S BUDGET!!! ZERO!!!!!
I feel your pain. For some reason I keep trying to explain these basic concepts to these suckers too. Ppl can criticize the squad construction and recruiting all they want and have fair points to debate but over the last 5 years Milan’s management have proven to be adept at the business end of things.
They all want Gerry out, because he fired their hero in Maldini.
Gerry ain’t ever gonna leave. If you want him gone, then you better come up with 1.5 Billion dollars and try to buy the club off of him. Even then I doubt he would sell.
“They all want Gerry out, because he fired their hero in Maldini.” sounds like you are saying it with a negative connotation. If so then you must be a new fan or just trolling as Maldini is a club symbol and one of the biggest legends of the sport. The’ player with the most matches played and trophies won so why the hell wouldn’t he be all socalled AC Milan fans hero ?
Where was this out cry when Silvio fired Pippo or Seedorf. Maldini was ok, but he wasn’t a magician. His transfers were mixed and 5 years later most of his best signings turned out to be 💩 in the long run. Additionally he could not negotiate a contract to save his life. Don’t confuse the player for the director.
I was strongly against Seedorf getting sacked as he seemed to have a vision for the rejuvenation of the squad and also made my views pretty clear back then. Inzaghi on the other hand I wasn’t the slightest impressed with as he basically played gung-ho football as a coach. Maldini never was our coach and had a great impact while being our sports director and had to work with far less capiital and a lower wages structure as well than now and we still won a championship but sure keep telling yourself that he was just ok.