Silvio Berlusconi has responded to the impending sale of AC Milan to Chinese investors by issuing a statement through his family holding company, Fininvest, in which full details of the planned takeover are provided.
After months of speculation and several twists and turns, it was announced on Friday morning that the Rossoneri majority shareholder had signed a preliminary agreement to sell 99.93 percent of the Serie A club to a group led by investment fund Haixa Capital and Yonghong Li.
The deal sees the historic San Siro-based side valued at €740 million, including the reported €220m worth of debt accrued under the Berlusconi regime, and features a commitment from the buyers to invest €350m into the club within the next three years in an attempt to return the fallen giants to the top of Italian football.
“Mr Silvio Berlusconi, president of AC Milan, has approved the preliminary contract signed by Mr Danilo Pellegrino, chief executive of Fininvest, and Mr. Han Li, representative of a group of Chinese investors, concerning the purchase of the entire stake owned by Fininvest in AC Milan equal to 99.93 percent,” read a Fininvest statement.
“The agreement values AC Milan at €740m with an estimated indebtedness of approximately €220m. The agreement requires the acquirers to undertake significant capital increases and liquidity injections aimed at strengthening AC Milan’s financial structure, for a total amount of €350m over a three-year period (€100m is to be paid in at the closing).
“The agreement also requires the acquirers to make a €100m deposit, confirming the commitments assumed, of which €15m is payable upon signing and €85m within 35 days of signing.
“During the entire negotiation process, the signature of the contract and the undertakings assumed thereby, Fininvest has always had as a priority the objective which was clearly stated by Mr Berlusconi: to provide AC Milan, through an appropriate ownership structure, with greater financial resources now more essential for competing with the top football clubs of the world.”
Buoyed by the deal, new Milan head coach Vincenzo Montella will no doubt now look to strengthen his squad ahead of the Serie A season opener against Torino on August 21.
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