Suning to sell Inter Milan, Chinese Super League side unpaid: reports
- Players at Italian Serie A giants and CSL champions Jiangsu Suning reported to be owed several months’ pay
- BC Partners among potential investors in San Siro side, who have trebled in value since being bought for US$326 million in 2016
The football empire of Suning Group, owners of Italian Serie A giants Inter Milan and Chinese Super League champions Jiangsu Suning, is struggling financially with reports of unpaid wages and a possible sale.
Players at both clubs have gone unpaid, with the CSL champions not paid for three months and no bonuses for winning the club’s first league title according to the Oriental Sports Daily.
Italian newspaper La Repubblica reported that Inter players have not been paid for November and December with a points deduction possible punishment if they do not pay them before February 16.
The club’s board of directors held a meeting on Thursday amid reports of a possible sale and the financial impact of Covid-19 ahead of the second half of the season.
“The 2020-21 financial year is confirmed to be impacted by the effects of the Covid-19 pandemic, with a decline in revenues,” the club said in a press release.
“The Inter board of directors will continue to support the club’s management in order to guarantee the operational and sporting stability of the club, also in light of the recent Italian government provisions in the approval phase regarding the pandemic in progress.”
British private equity firm BC Partners are reported to be in talks to invest in the Milan side, who are said to be valued at US$1 billion, with Reuters reporting that a deal would see Suning sell no more than 40 per cent for around US$500 million.
Others report that Suning will sell their full stake in the San Siro side rather than a minority, with Italian sports journalist Fabio Ravezzani suggesting that this is because of Chinese government controls on the company.
“I don’t think there is a single economically powerful company that would agree to enter Inter as minority shareholders, knowing that every decision the club makes is conditioned by the unfathomable workings of the Chinese Communist government,” he tweeted on Thursday.
“For that reason, the only option is to sell the club.”
Inter CEO Beppe Marotta confirmed that Suning were looking for investment in the club before their 2-1 win over Fiorentina in the Coppa Italia on Wednesday.
“Suning are evaluating the opportunities in the interest of Inter and respecting the historical value of the club, the present and the future,” Marotta told Rai Sport. “These rumours must not affect us.”
Last month amid reports that Suning were looking to sell some or all of their controlling stake, the club issued a statement denying the rumours.
“With regard to the rumours reported today, specifically referring to the possibility of FC Internazionale Milano being sold, president Steven Zhang categorically denies these false claims and stresses that they are entirely baseless,” a club statement read.
Steven Zhang, son of Suning Group supremo Zhang Jindong, was made president of the Italian side in October 2018. Suning took hold of 68.55 per cent of the club in 2016 for a reported €270 million (US$326 million).
Hong Kong-based venture capitalists LionRock Group has a minority stake of 31 per cent, which they bought from former owner Erick Thohir in 2019.
Inter play Juventus in the Derby d‘Italia on Sunday with fans calling for the club to sack manager Antonio Conte despite the side sitting second behind city rivals AC Milan in the Serie A table.
Inter’s city rivals AC Milan were owned by Chinese businessman Li Yonghong from 2016 until 2018 when he defaulted on a loan to US hedge fund Elliott Management, who now control the club.
Meanwhile, Oriental Sports Daily reported that the Chinese Super League champions struggled to pay their players last year during the coronavirus-affected domestic campaign.
Chinese media reported this last September before Suning paid some of the outstanding salary. However, it is now reported that there is still at least three months salary and image rights unpaid.
A reported 20 million yuan (US$3 million) bonus for winning the club’s first league title was never confirmed by the club, which Suning Group took over in 2015.
Head coach Cosmin Olariou, who took over from Fabio Capello in 2018, spoke of “difficulties” several times last season and last month demanded the club match his ambitions with player signings or he will leave.
“I want to win and I will always go where exists this wish to win, to clubs that are willing to win. Usually when I don‘t see this I don’t like to stay,” he told The Asian Game podcast.
“Until now, I didn‘t talk with anyone from the club but we will see in the next days what we’re going to do for the next season and I will decide after.”
Star striker Alex Teixeira is reported to be one of a number of players out of contract, with his one-year extension expiring at the end of last year.
Signed in 2016, the Brazilian is soon eligible to naturalise based on meeting the five-year residency requirement and play for China but so far there has been no confirmation of where he will play the coming season.
The 2021 Chinese Super League season is set to start in March with all clubs having to submit their confirmed player, coach and staff salaries to the Chinese Football Association before January 29. Under new rules the club also need to submit a new name that does not contain Suning to the CFA.
