A new phase of financial stability is set to go underway at Milan after ownership and control of the holding company that owns the club was transferred to Elliott Advisors Limited.
According to Business Wire, the deal to take over the club took place after the previous owner of Milan defaulted on their debt obligations to Elliott, leaving the company with a need to enforce its security interests.
The aims for Milan under Elliott are to create strong management and financial security in order to provide a platform for greater long-term success at the club while complying with UEFA Financial Fair Play regulations.
A statement was made by Paul Singer, Founder, Co-CEO and Co-CIO of Elliott Management Corporation, saying: “Financial support, stability, and proper oversight are necessary prerequisites for on-field success and a world-class fan experience.
“Elliott looks forward to the challenge of realising the club’s potential and returning the club to the pantheon of top European football clubs where it rightly belongs. Elliott also strongly believes in the value-creation opportunity at AC Milan.”
Milan were recently banned from taking part in European competitions for the next two seasons after failing to break even with their spending, just weeks after finishing sixth in Serie A to qualify for the Europa League.
Elliott plans to inject €50m into the club as a first measure with the aim of securing the club’s finances in the short-term, with a view to supplying more money as time goes on in order to fund the club’s transformation back into one of Europe’s biggest sides.