How will Evergrande’s bankruptcy affect Inter?
At the end of 2021, credit rating agency Fitch confirmed what the markets have been indicating for some time now – that Evergrande, one of China’s largest property developers, failed to meet its payment obligations which were due December 6.
The real estate giant is currently in a critical situation and its possible bankruptcy should strongly affect the owners of Internazionale, the Suning group.
For Inter, the concern is very real since Suning holds 2.6 billion euros in Evergrande shares. As a result, Suning has serious cash flow problems as China has already revoked Evergreen’s license to build a mega-stadium in the city of Guangzhou.
These long-term financial struggles are believed to be the reason for Suning’s refusal to pump more money into the Nerazzurri and the departure of Antonio Conte, Achraf Hakimi and Romelu Lukaku.
So far, Inter’s performance has hardly been affected as the team are fighting for the title and have qualified for the UEFA Champions League knockout stage.
They are currently priced at 67.0 in the Champions League winner odds to win the contest.
The company, which has delayed several bond payments in recent months and failed to pay interest in September, failed to pay $82.5 million.
According to the rating agency, the group is now in default. To make matters worse, the Bloomberg Billionaires Index, which assesses the fortunes of billionaires, also indicates that Zhang Jindong, owner of Suning and Inter, lost $2 billion in 2021. This represents half of his fortune.
Currently, the company’s total debt is estimated to exceed $300 billion. There are many concerns about the impact of Evergreen’s bankruptcy not only on the real estate or Chinese market, but also on the global market.
What’s next for Inter?
While the Zhang family have repeatedly stated their interest in retaining ownership of Inter, it is now assumed that the the club’s growing financial problems could force them to sell the club. It has been reported that several investment companies have shown interest in acquiring the club.
However, Suning is not willing to settle for anything less than the asking price, which currently stands at 1 billion euros.
Moreover, since October, there has also been speculation that the royal family of Saudi Arabia, in the form of the Public Investment Fund (PIF) group, are planning to buy Inter.
The group, which revolutionized the world of football by acquiring Newcastle United for £300m, would be interested in taking over the historic European club.
The acquisition of the club by Mohammed bin Salman would strengthen the team’s position within the Italian league, but also provide the club with resources to fight with the strongest teams in Europe and regain their place as contenders. to the Champions League.
At this time, whatever agreement is in place, it is imperative that the club gives the players the stability they need to maintain their performance levels, avoiding any late payments or similar situations, and that the board board makes fans feel like they belong. still from the club.