AC Milan take over: Official statement by Elliot
Now it’s official: AC Milan passes from the hands of Yonghong Li to those of Elliott. After just 15 months, the Chinese era is over, now begins that of the American fund that last night at 11.15pm, through a press release, announced that it is the new owner of the Rossoneri and has a long-term project for the club.
“Ownership and control of the holding company that owns AC Milan has today been transferred to funds advised by Elliott Advisors (UK) Limited (“Elliott”). This transfer has occurred as a result of steps taken to enforce Elliott’s security interests after the previous owner of AC Milan defaulted on its debt obligations to Elliott.
Having assumed control, Elliott’s vision for AC Milan is straightforward: to create financial stability and establish sound management; to achieve long-term success for AC Milan by focusing on the fundamentals and ensuring that the club is well-capitalized; and to run a sustainable operating model that respects UEFA Financial Fair Play regulations.
Elliott fully appreciates the challenge and responsibility that ownership of this great institution entails. Elliott is pleased not only to support the club during this difficult time, but also by the challenge of achieving ambitious objectives in the future via the on-field success of coach Gattuso and his players. As first measures, Elliott intends to inject €50 million of equity capital to stabilize the club’s finances, and plans to inject further capital over time to continue to fund AC Milan’s transformation“.
Paul Singer, founder, Co-CEO and Co-CIO of Elliott Management Corporation said, “Financial support, stability and adequate supervision are necessary prerequisites for a successful international on-pitch and fan experience. Elliott is looking forward to the challenge of realizing the club’s potential and returning it to the pantheon of the top European football clubs to which AC Milan belongs by right. Elliott firmly believes that there is an opportunity to create value on AC Milan“.
Elliott Management Corporation manages two multi-strategy funds that in aggregate manage about $35 billion of assets. Its main fund, Elliott Associates, L.P., was founded in 1977 and is therefore one of the oldest multi-strategy funds to be managed continuously. Investors in Elliott funds are pension funds, sovereign wealth funds, endowments, foundations, funds-of-funds, and company personnel. Elliott Advisors (UK) Limited is an affiliate of Elliott Management Corporation.