Last Monday, the Milan City Council approved the sale of San Siro to Milan and Inter for 197 million euros, but the deed must be submitted by November 10 to avoid the heritage protection restriction on the second tier of the Meazza.
The total cost of the new stadium project for the two Milan clubs is expected to be around 1.5 billion euros, with many of the world’s major banks competing to contribute to the creation of this new facility with financing of about 1.2 billion euros. The remaining cost could come from other investors or from the clubs themselves.
Which banks are in the running to finance the new stadium?
The front-runners are the American banks, including Goldman Sachs, JP Morgan, and BofA Merrill Lynch, which already have significant interests in European football. The dossier is also being considered by Japan’s Mitsubishi UFJ Financial Group and Banca BPM, while Intesa Sanpaolo and UniCredit are currently out of the running.
San Siro project and the financing structure
Those at Il Sole 24 Ore report that the financing will follow a typical structure for large sports infrastructures, combining equity and debt, and creating a special-purpose vehicle 50% owned by Inter and Milan. It is also expected that a smaller bridge loan could be provided before the main loan is granted.
