Source: REUTERS/Daniele Mascolo
[Saba Sports News] According to Italian media reports, RedBird Capital, which controls AC Milan, needs to repay €700 million in loans and interest to Elliott Management by next August, while RedBird hopes to extend the repayment deadline to 2028. In 2022, RedBird purchased AC Milan from Elliott and also borrowed €560 million from them at an 8% interest rate. This loan is due on August 31, 2025, when RedBird will need to repay a total of over €700 million in principal and interest. Reports indicate that RedBird has been working hard to find a solution to avoid losing control of AC Milan. There are three different options: first, to re-mortgage the shares of the Milan club; second, to sell part of AC Milan’s shares to raise funds for the loan repayment; third, to negotiate with Elliott for a debt extension, aiming to postpone repayment to 2028 but possibly with a higher interest rate. RedBird hopes that having an additional three years will help AC Milan achieve its sporting goals and the construction of a new stadium, thereby enhancing its appeal to private investors.