As anticipated, RedBird Capital has completed the first stage of the Milan takeover today. The parties put pen to paper and announced the €1.2B acquisition earlier today. Previous owners Elliott addressed the fans with an open letter. They will keep a minority stake and have three board members.
The outfit informed that the closing would take place by September. Gerry Cardinale, the CEO of the United States-based fund met with director Paolo Maldini at the club’s HQ, Tuttomercatoweb informs. Extending the contract of the legend, and retaining Rafael Leao, are among his top priorities, TuttoSport reports. The tycoon later had an informal summit with Serie A official Luigi De Siervo.
According to Verità&Affari (via Calcio e Finanza), Elliott will remain heavily involved in the club despite the sale. It has loaned €600M to RedBird Capital ahead purchase of Milan, with a 15 percent rate. They will receive shares of the team based on the rise of its value. Gordon Singer, Stefano Cocirio, and Giorgio Furlani will be their representatives in the board of directors. The conglomerate poured in €300M in equity. The rest comes from standard financing from JP Morgan.
The new governors preached continuity in their opening statements. Even though Maldini and Frederic Massara are on expiring contracts, they are highly likely to remain at the helm, Sky informs. The deal of CEO Ivan Gazidis runs out in November. Milan will continue to primarily invest in young players under the management of RedBird Capital without breaking the bank with mammoth fees.