"In the summer of 2022, Gerry Cardinale's RedBird Capital Partners fund purchased Milan from Elliott Management on the basis of a mutually agreed €1.2bn valuation. Of that, €600m was paid to Elliott and €550m lent by the seller to the buyer, AKA the vendor loan. In December 2024, a further capital outlay by RedBird reduced the debt to €489m (plus interest on top, at an aggressive rate) and extended the maturity (repayment deadline) until 2028."
"Manulife-Comvest will step in, providing RedBird with the cash to pay off the vendor loan to Elliott. Why the refinancing? It allows Cardinale and co. to extend the repayment period against (to 2031) and to take advantage of a lower interest rate. This has all happened a bit faster than expected, too. From initial talk of it being something to complete by the end of the season, a board meeting this week revealed that the 'transactions' could take place before the next sporting fixt"
RedBird Capital Partners bought Milan from Elliott Management in summer 2022 for a €1.2bn valuation, paying €600m and receiving a €550m vendor loan from the seller. A December 2024 capital injection reduced the vendor debt to €489m plus aggressive interest and extended maturity to 2028. Gerry Cardinale evaluated repayment options, including minority sales, and opted for refinancing instead. Manulife-Comvest will provide funds to repay Elliott, extending the debt maturity to 2031 and lowering the interest rate. The board indicated the refinancing transactions could complete sooner than expected, potentially before the next sporting fixtures, affecting top-level governance.
Read at SempreMilan
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