In the last few days, there has been a lot of talk about the potential sale of AC Milan, as Investcorp are in advanced negotiations with Elliott Management. Out of nowhere, however, former owner Yonghong Li has popped up.
The Chinese businessman was the owner of Milan between 2017 and 2018, eventually defaulting on his loan to Elliott Management. The latter, an American hedge fund, has since turned the club into a very valuable one.
In fact, the negotiations between Investcorp and Elliott are on the basis of €1.1m, which also includes the cost of the stadium project. And this has caught the attention of former owner Yonghong Li, who has always felt he was wrongfully removed as the owner.
In spite of defaulting on his loan from Elliott, which was just over €300m, Yonghong Li always disputed the decision of the hedge fund as he lost roughly €500m in equity. According to Il Sole 24 Ore, therefore, he has now filed a lawsuit.
In his lawsuit, the Chineseman is asking for €320m in compensation, which is an amount that roughly equals the capital gain Elliott will make from the sale. Of course, he doesn’t have a leg to stand on in this case.
