Regarding the sale of San Siro and the surrounding areas to Milan and Inter, here are the details of the earn-out clause:
"Earn-out clause: if the Buyer, from the date of signing the sale agreement and for a period not exceeding five (5) years, undertakes with third parties (not directly or indirectly controlled by one or both Companies) commitments to sell the Multipurpose Section, by signing a final contract or a preliminary contract without any suspensive conditions, at a sale price higher than a threshold price calculated according to the methodology in the attached report by Bocconi University and Politecnico, the Buyer must pay the Municipality a percentage of the excess price decreasing over time (from 50% to 15%), as follows:
50% if the transfer occurs between the contract signing date and the following eighteen (18) months;
32%, with an automatic reduction of one percentage point at the end of each month, if the transfer occurs between the nineteenth (19th) and thirty-sixth (36th) month after the contract signing, reaching 15% at the thirty-sixth (36th) month;
15% if the transfer occurs between the thirty-seventh (37th) and sixtieth (60th) month after the contract signing.
The earn-out clause does not apply only if the preliminary contract is subject to suspensive conditions linked to the completion of the new Stadium works and/or partial demolition of the Meazza Stadium and/or approval of the Implementation Plan for the Multipurpose Section and/or obtaining the permits related to the construction of private volumes, occurring after five (5) years from the sale agreement signing.
The Price Supplement is owed in any case if, within five (5) years, the transfer of the Functional Section 2 areas to third parties not controlled (directly or indirectly) by one or both Companies is achieved indirectly, including through corporate operations or any other type of transaction."
Relayed via Milan News
