September 3 – The rollercoaster financial and ownership ride of AC Milan’s progress into this Europa League under the club’s new management group looks to be taking a further positive step for the club.
Reports in Italy now suggest that AC Milan could be granted a voluntary agreement on Financial Fair Play if new owners Elliott Management can present UEFA with a credible business plan.
Bought by Chinese businessman Yonghong Li in April 2017 after a prolonged negotiation with Silvio Berlusconi, the club very rapidly fell foul of UEFA’s financial fair play regulation under the yoke of crippling debt from the Berlusconi era that had effectively forced the price of the club over €700 million, and a €200 million spending spree on players.
UEFA reacted by banning AC Milan from this season’s Europa league, while Li ran into his own issue with backers Elliott Management for failing to pay keep up with interest payments. UEFA rejected a voluntary agreement with the club saying that they had no faith in the club’s ownership group.
This result was Elliott took control of the club and the Court of Arbitration for Sport subsequently ruled that the AC Milan should be readmitted. This put the case back to UEFA’s adjudicatory chamber to come up with a new punishment.
It now looks like the CAS ruling could be a win for both AC Milan and UEFA, with UEFA reportedly confident that the new management is going in the right direction financially and prepared to make a deal accordingly. It might even be a win for Li who will see the value of his residual ownership increase, though any hope of getting all his money back is now very distant.
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