US investment firm acquires Italian champions AC Milan
AC Milan won their first Serie A title in 11 years this season, sealing a return to the UEFA Champions League. With the main aim of competing against the elite of European teams, the American investment firm RedBird Capital Partners acquired the Italian side.
The official announcement came on Wednesday after RedBird Capital Partners agreed to pay $1.3 billion to secure a majority stake in AC Milan. As part of this new agreement the previous owners, Elliott Advisors UK Limited, will retain a minor stake in the Shield winners and the transition will take place over the summer.
“The deal, which values the club at $1.3 billion, will see Elliott retain a minority financial stake in the club and board seats, solidifying a partnership between RedBird and Elliott that continues the progress made under Elliott’s leadership over the past four years.”
“We…are delighted to play a part in the club’s next chapter as it regains its rightful place at the top of Italian, European and world football“, RedBird founder and managing partner, Gerry Cardinale, said in a statement.
Who are RedBird partners?
The American investment firm has stakes in Fenway Sports Group, which owns Liverpool and Major League Baseball team the Boston Red Sox.. RedBird also owns a majority stake in Ligue 1 side Toulouse.
It had been reported that the Elliott Management Corporation were going to struggle financially for the upcoming season and were eager to strike a deal to keep AC Milan among Europe’s top flight. Italian teams have become popular with foreign investors as they are cheaper than English and Spanish clubs.