The crisis at Genoa Football Club seems to be deepening, with on-field struggles under Alberto Gilardino compounded by serious financial issues stemming from their ownership group, 777 Partners. The American holding company, which acquired Genoa just three years ago, is facing a financial meltdown that could lead to bankruptcy.
Calciomercato report how the 777 Football Group, a global network of clubs owned by the Miami-based firm, has essentially disintegrated due to mounting debts. Of the eight football clubs once part of this constellation, only Genoa and Hertha Berlin remain under American control. However, Genoa CEO Andres Blazquez recently informed fan representatives that the club is likely to change hands soon.
777 Partners is facing an irreversible financial crisis and growing legal problems. Recent reports from Florida indicate that the holding company has been served eviction notices for its offices in Miami, Newport, and London. Additionally, luxury assets belonging to Josh Wander, co-founder of 777 Partners, including a 20-meter yacht and a private plane valued at over 20 million euros, are being put up for sale.
The most significant risk for Genoa is a potential lack of liquidity to meet immediate needs, such as paying salaries and meeting tax debt repayment schedules inherited from the previous management. Blazquez emphasized that A-Cap, 777 Partners’ largest creditor, will play a crucial role in averting disaster through a new capital injection.
A-Cap’s primary interest is to try to revitalize Genoa, at least on the field, to make the club more attractive to potential buyers. However, A-Cap itself is reportedly facing a liquidity crisis, with an exposure to 777 Partners of over 2 billion dollars. In May, A-Cap reportedly took out a 40 million dollar loan from GD Luma, a company specializing in distressed assets trading, at a 46% interest rate.
Given these circumstances, selling Genoa appears to be the most critical and imminent step. A-Cap has reportedly engaged investment bank Moelis & Co to evaluate the feasibility of selling each of the clubs in the holding, including Genoa.
