Inter Milan owners Suning are sounding the alarm bells as the Oaktree loan deadline approaches. But a couple of solutions are emerging for the Nerazzurri.
In May 2021, Suning took out a loan worth around €275 million from US-based group Oaktree Capital. The interest rate was around 12%.
The aim of the loan was to cover operational costs for the next three years. However, the deadline is fast approaching.
By May 2024, Suning will have to pay a sum that could well exceed 360 million euros after adding the interest rate.
So according to Il Sole 24 Ore via FcInter1908, Inter Milan chairman Steven Zhang alerted his consultants on the financial situation after completing the signing of Benjamin Pavard.
Zhang and Suning would have to hand over their shares in the club to Oaktree if they fail to reach a solution before next May’s deadline.
As the source explains, the Inter owners could take one of two possible paths. The first would lead to a collaboration with Goldman Sachs.
The American investment bank has been entrusted by the entire Zhang family to study a solution for refinancing the Oaktree loan.
The bank has a long-standing rapport with Inter and their owners, but the high interest rate of the Oaktree loan (12%) could be an obstacle.
Inter Milan Owners Suning Have Sounded The Alarm Bells As The Oaktree Loan Will Be Due by May 2024
On the other hand, the famous Raine group could offer an alternative path.
This group is seeking interested parties who are willing to buy a portion of Zhang’s shares while helping in funding Oaktree’s loan. The source describes this solution as “reorganizing the shares”.
The report claims that Raine may have found two or three interested parties, including Finnish billionaire Thomas Zilliacus.
However, Suning have valued the club at 1.2 billion euros, a figure that could ward off some of the possible suitors.
