Milan are seeing their transfer strategy affected by the lack of fresh funds, as the take-over from RedBird still involves a loan from previous owners Elliott Management.
When the news was announced that RedBird had agreed the takeover for €1.2bn last month, fans were exhilarated and dreaming of massive swoops on the transfer market to rival PSG, Manchester City and Real Madrid.
La Gazzetta dello Sport tried to outline the situation, which is caused in part by the fact a takeover has been signed, but the closing won’t be until September.
This report states the figure Milan can spent on the transfer market this summer is circa €50m.
Another issue is that RedBird received a vendor’s loan from previous Milan owners Elliott Management in order to complete the takeover.
There are varying reports as to how large this loan actually is, and the interest rate being charged, but the Gazzetta claims patron Gerry Cardinale is currently back in New York trying to raise fresh funds from investors.
Cardinale also has to deal with the problem of directors Paolo Maldini and Ricky Massara, whose contracts will expire on June 30.
Maldini is said to want more guarantees of decision-making powers within the club compared to CEO Ivan Gazidis.
RedBird are also investors in Fenway Sports Group, who have controlled Premier League side Liverpool since October 2010.
Cardinale wants to follow a similar template at Milan, keeping investment on the transfer market to a relative minimum, paid for with sales and increased revenues.
If Lucas Paqueta were to leave Olympique Lyonnais, then 15 per cent of that fee would go to Milan.
Rivendite, riscatti, clausole, cessioni: tutte le fonti di extra-budget per il Milan https://t.co/8cHRXgqfl2
— La Gazzetta dello Sport (@Gazzetta_it) June 22, 2022