Inter with water at their throats: debt expiring, Oaktree makes a bolt
Today is the last (working) day to sign the life-saving agreement with Pimco that would guarantee Zhang a loan of 430 million euros
MILAN – “I bring greetings from president Steven Zhang who was unable to participate but never failed to show his affection towards us and his safety”. Giuseppe Marotta doesn’t waver on safety, while at Palazzo Marino he receives the golden Ambrogino that the Municipality of Milan awards to Inter for their twentieth championship. But it is a celebration that travels in a parallel reality, well managed by the CEO – above all – who keeps the sporting structure upright while the corporate one staggers, at times collapses.
Because in another dimension, today is theoretically the last working day to sign the life-saving agreement with Pimco that would guarantee President Zhang a three-year loan of 430 million euros. This is the money needed to liquidate Oaktree, whose financing expires on Monday: around 375 million must be repaid so as not to lose ownership of the club.
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The problem is that Oaktree would be obstructing – obviously – the closing of the new loan, to secure the pledge on the Inter shares. The concrete risk – writes the Gazzetta dello Sport – is that it will lead to a legal battle and a consequent paralysis of the club’s operations. There is a guarantee clause in the hands of Oaktree which in the event of Inter changing hands would ensure that the fund would receive 20% of the difference between a predefined valuation (rumors speak of 800 million) and the real sale price.< /p>
But it is a “warranty” that would remain active even if Inter were sold in the very near future: Oaktree would still have its income guaranteed. In short, Oaktree is pushing for immediate sale or financing with shorter deadlines. The Pimco-Suning deal can be finalized by Sunday at the latest. These are crucial hours, as they say in these cases. More than “safety”.