MILAN (Reuters) – Investment fund Oaktree has presented a non-binding preliminary offer to invest €1.75 billion in Serie A media assets.
Sources familiar with the situation said so.
Serie A’s media business, which consists mainly of live broadcast rights, has attracted interest from international banks, including JP Morgan (NYSE:), and private equity investors, at a time when Italian clubs are trying to boost revenues.
Oaktree’s proposed investment would be structured through a combination of debt and cash which would imply an enterprise value of 15 billion euros for the company that manages Serie A media rights, the sources said.
The investment would include a tranche of debt worth €1 billion and €750 million in cash in exchange for a 5% stake in a company that manages the media arm.
The proposal would be subject to a five-year lock-up period, the sources said, who asked to remain anonymous as the proposal is not public.
Serie A, which today said it will choose a financial adviser to further evaluate the proposals received from private equity funds and banks, did not comment. Oaktree has not commented either.
Oaktree previously made a €275m loan to Inter Milan in 2021 to help the club weather the impact of the coronavirus pandemic.
(Elvira Pollina, translated by Chiara Scarciglia, editing by Sabina Suzzi)