Inter Milan on the brink of BANKRUPTCY, relies on Brozovic and Onana sales for business continuity: Report

US-based Oaktree may take over Inter Milan if Suning fails to pay €275 million loan.

Inter Milan on the brink of BANKRUPTCY, relies on Brozovic and Onana sales for business continuity: Report

Inter Milan's San Siro (via Goal.com)

Recent reports suggest that Inter Milan is on the brink of financial bankruptcy, with the current owners, Suning Group facing severe debt issues. Additionally, reports mention that the sale of past talents like Marcelo Brozovic and Andre Onana has enabled Inter to sustain operations for the 2023-24 period.

Inter’s financial challenges began in the 2020-21 season due to losses suffered by their parent company, China’s Suning Group. This resulted in coach Antonio Conte leaving, along with key players Romelu Lukaku and Achraf Hakimi, destabilizing the team. Despite club chairman Steven Zhang‘s attempt to sell the club, no appropriate buyer has emerged, partly due to Serie A’s lower profits compared to the Premier League and La Liga. Consequently, Inter Milan is in dire financial straits, edging closer to bankruptcy.

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Before the 2023-24 season, Inter made sales including Marcelo Brozovic to Al-Nassr for $20 million, Andre Onana to Manchester United for $57 million, Robin Gosens to Union Berlin, and Milan Skriniar to PSG. These sales enabled the club to sustain operations by trimming significant wage bills.

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The club reduced costs by 11.8% to $465.5 million and saw a decrease in revenues by around 3.2%. On top of this, Inter faces a substantial debt of about $898 million. Nerazzurri’s parent company, Inter Group, is taking drastic measures to keep the club afloat in these circumstances.

The esteemed Italian club holds a rich heritage and an impressive record of never dropping to Serie B, the Italian second division. Fans undoubtedly anticipate the club overcoming the bankruptcy crisis, eagerly awaiting a new owner to assume control of its operations.

US-based Oaktree may take over Inter Milan if Suning fails to pay back €275 million loan

In May 2021, Oaktree Capital, a US-based fund, provided a massive loan of approximately €275 million to Suning Group, the owners of Nerazzurri. This financial support became essential for Suning to sustain Inter, bridging the gap caused by plummeting revenues following the pandemic’s impact on the club and football as a whole.

Inter Milan faces the risk of bankruptcy, with owners Suning Group
Inter Milan faces the risk of bankruptcy, with owners Suning Group. (Image via SempreInter and Sporting News)

Inter Milan generated considerable income through the sale of some of their prominent players over the past few seasons, balancing it with cost-effective acquisitions. However, there’s an approaching deadline for Oaktree’s loan repayment, scheduled for next May. Suning had leveraged Inter as collateral, and failure to meet the loan and interest payments might result in the US firm assuming control of the club, causing uncertainty regarding Suning’s future involvement.

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