GdS: The shifting goalposts of 2018 – when Rocco Commisso could have been Milan owner

Fiorentina and the world of Italian football have been rocked by the news of the passing off Rocco Commisso, the owner of La Viola.

La Gazzetta dello Sport recall that Commisso actually could have become the owner of Milan rather than Fiorentina, and the story dates back to 2018 when the club were going through perhaps their most turbulent period post-2000.

In early summer 2018, Mediacom’s CEO sensed an opportunity just as it became clear that Li Yonghong’s financial resources were no longer adequate to maintain control of the Rossoneri. Milan’s Chinese-run operation was coming to an end, and Commisso knocked forcefully on Mister Li’s door.

A dream was becoming within reach: that of a Calabrian boy who emigrated to the States at 12, capable of making his fortune in America and returning to Italy to lead one of the most iconic clubs in Italy and the world.

That summer, Commisso began working behind the scenes to complete his takeover of the Rossoneri, sniffing out and identifying the cracks in the Chinese management where he could insert himself.

In fact, Mister Li’s wallet was holding the famous €32m loan to be repaid to Elliott Management by the first few days of July, the same amount that the Chinese entrepreneur would later be unable to find and which would have caused him to lose the club.

Photo by Claudio Villa/Getty Images

Attempt falls short

Li Yonghong had actually hoped to co-opt a minority shareholder, useful for injecting some liquidity – both for a capital increase and for refinancing the debt with Elliott – and allowing him to secure Milan.

Obviously, this was a scenario Commisso – in a transaction handled by the investment bank Goldman Sachs – didn’t contemplate. The goal was to take the helm fully, not play a supporting role. Commisso and Mr. Li spoke extensively in those weeks, even coming within a whisker of a notary.

Rocco was in a hurry for two main reasons: he needed to protect himself from other potential buyers (primarily the Ricketts family, owners of the Chicago Cubs), and, if the club were to be seized by Elliott, he knew the Anglo-American fund might favour other parties.

UEFA were also keeping a close eye on Milan because of Financial Fair Play, which would have significantly affected the club. “We’re there, we’re ready. We’re waiting,” a source close to Commisso said in the days when the Mediacom boss had essentially given an ultimatum to Mr. Li.

It was a vain wait: the Chinese entrepreneur at a certain point changed his terms, particularly regarding his continued ownership of Milan, and at the same time tried to negotiate better terms with other potential buyers. Yonghong gave his own version of events in an exclusive interview with us.

The result: things gradually spiralled toward a dead end. Commisso, significantly annoyed, even attempted to pressure Li Yonghong with a public statement, but to no avail. This was a huge disappointment for Rocco, who firmly believed he had made a tempting offer.

His bid was €32m to be repaid to Elliott, plus €380m of the entire debt, €150m to invest immediately, a 30% stake, and Chinese commercial revenues for Mr. Li. In the end, there was no time left – nor even patience, which had long since run out – to attempt a reversal.

Commisso gave up, Elliott enforced the pledge from the defaulting Li Yonghong, and Milan were transferred to the Singer family’s fund. Now there is a period of mourning after Rocco’s passing.