Finance Notes: AC Milan Reportedly Agrees To Refinance Loan
AC Milan reportedly agreed to a deal to refinance its loan from Elliott Management, "though with a higher interest rate." The club was taken over by a Chinese consortium in April, financed by a loan from the U.S. hedge fund. Under the terms of the deal, if the €303M ($356.5M) loan -- circa €350M ($411.8M) with interest -- is not repaid within a year, Elliott can "take over the running of the club" and sell club assets to get its money back. The new financing deal would be worth around €400M (470.6M), with €250M ($294.1M) falling on Rossoneri Sport Investment and €150M ($176.5M) on the club (FOOTBALL ITALIA, 11/16).
British video game retailer GAME Digital announced its end-of-year results, and reported a pre-tax loss of $13.2M during the fiscal year which ended on July 29. However, its esports and event division "has seen a significant growth" of 116.4%, "becoming the company's key focus for the upcoming years." The company said that its loss can "be linked with the long-term investments to the events, esports, and digital division" (ESPORTS OBSERVER, 11/15).
For more coverage of the business of esports, visit our partners, esportsobserver.com.