The New York Yankees and a Los Angeles fund support RedBird in the acquisition of AC Milan

The New York Yankees, a professional baseball team of the American Major League Baseball, and Main Street Advisors, an investment fund from Los Angeles, join the US private equity RedBird in the purchase of Ac Milan for 1.2 billion euros. The indiscretion comes from Financial Times which mentions two people with direct knowledge of the deal. RedBird is expected to announce the entry of the two partners tomorrow along with the closing of the acquisition of the club from its current owner, the US hedge fund Elliott Management, following the agreement signed in June.

Goal: to increase revenues and success in the field

The baseball team, owned by the Steinbrenner family, and Main Street Advisors, which includes basketball star LeBron James, music producer Jimmy Iovine and rapper Drake, will become shareholders of the Serie A team, according to rumors. of the English newspaper. The deal, orchestrated by RedBird founder Gerry Cardinale, highlights the continuing appetite among US investors to invest in the world’s favorite sport and in particular in Italian top-flight teams. The Yankees are among the biggest brands in the sport, with a record 27 Major League Baseball World Series championships. The team has been owned by the Steinbrenner family since 1973, when the late patriarch George paid $ 8.8 million for the brand, which is now valued by Forbes at $ 6 billion. The Yankees are co-owners, with the City Football Group of Manchester, of New York City FC of the Major League Soccer of the United States. Cardinale worked with the New York Yankees for decades, including during his years at Goldman Sachs, and was an early investor in the creation of the team’s regional sports channel, the Yes Network. The Yankees will work closely with AC Milan in Cardinale’s goal of increasing the Italian club’s revenues and its successes on the pitch.

The role of Cardinal’s network of contacts

The agreement could include AC Milan’s programming on Yes Network, a regional sports network owned by a consortium which, in addition to the Yankees, also includes Amazon, RedBird and Sinclair Broadcast Group. Cardinale’s network of contacts, made up of high-profile athletes and celebrities, among others, says the Financial Times, helped facilitate the deal with Main Street. James, Iovine and Drake are passive investors in Milan through the fund and will not have direct holdings. (All rights reserved)