Summer Mercato 2011

[Ca Rossonero]

Ii don't get why people dislike coownership. Its a great deal for a variety of reasons....

1) el shaarawy was in demand. Using merkel was our trump card if you will
2) merkel is not good enough to play heavily for milan now but has huge talent. This will allow him to play which is what we need most
3) think of it as an investment in merkels future. Genoa now have motiviation to play him. They will make money

We now basically own 50% of two most talented teens in italy. We won't lose either. At some point we'll have to pay to bring both back but it'll be less on our books than without this.

Finally this saves/differs money for our real targets. Which are 2 midfielders. If those players came merkel wouldn't play anyway

[reza]

Just an example:

El Sharawwy is worth 15 mil today, we pay 7.5mil for half today.


Two scenarios for next season

1)Next season he plays well:
We have to pay more than 7.5 to get the other 50%

2)Next season he plays poorly:
Our 7.5mil is worth only 4 mil, not only we lost money but also we can't sell the half we need for good money. We also wasted a roster spot.

[Kaka1899]

Co ownership deals are both good and bad. Thing I don't understand is that if Milan is going to sign someone like Witchel for 15 mil, why don't they just keep Merkel for a year and spend 20 mil on someone like Hernanes or VDV.

Because the clubs they play for probably wouldn't want to release them for such little money (20 million) when they signed last summer and have 2 or 3 years left on their respective contracts, 20 mil might be their worth but not what they are valued at if you see what i mean.

[Gabriel426]

U misunderstood my point. Point is that Milan should not spend 15 mil on someone who has potential while loaning or co-owning someone who got equal or more potential than the 15 mil player.

[Jay Crisp]

That's it El Sharawwy play's well next seson very well..say gets 10 goal's and 5-8 assists at 18 Genoa can say we want 20 million for the other half , they could.
As good as KPB was for us he got 3 goals and 1 or 2 assists , it was more his energy and winning back the ball then laying it off that helped us.He isnt a lightening quick player with as much potential as El Sharawwy , and on the flip side as Reza said he may bomb not play and we own have a player that we cannot sell.
Serie B is alot different quality wise than Serie A.Also Genoa own half Merkel so they could hold us to randsom for him aswell.Or outbid us if they went to a blind bid.

[GeoTav]

That's it El Sharawwy play's well next seson very well..say gets 10 goal's and 5-8 assists at 18 Genoa can say we want 20 million for the other half , they could.
As good as KPB was for us he got 3 goals and 1 or 2 assists , it was more his energy and winning back the ball then laying it off that helped us.He isnt a lightening quick player with as much potential as El Sharawwy , and on the flip side as Reza said he may bomb not play and we own have a player that we cannot sell.
Serie B is alot different quality wise than Serie A.Also Genoa own half Merkel so they could hold us to randsom for him aswell.Or outbid us if they went to a blind bid.

A club like Genoa can't ask for unreal amounts of money for one of their players we co-own with them ... Why ? We are richer, if we can't reach a deal to buy or sell the player, we can wait for the blind bid and we will outbid them because they will never put more than 7-8M for our half. About Merkel, that's the same thing, we will take him back when we'll want, like we just did with Strasser and others.

[russo-neri]

That's it El Sharawwy play's well next seson very well..say gets 10 goal's and 5-8 assists at 18 Genoa can say we want 20 million for the other half , they could.
As good as KPB was for us he got 3 goals and 1 or 2 assists , it was more his energy and winning back the ball then laying it off that helped us.He isnt a lightening quick player with as much potential as El Sharawwy , and on the flip side as Reza said he may bomb not play and we own have a player that we cannot sell.
Serie B is alot different quality wise than Serie A.Also Genoa own half Merkel so they could hold us to randsom for him aswell.Or outbid us if they went to a blind bid.

A club like Genoa can't ask for unreal amounts of money for one of their players we co-own with them ... Why ? We are richer, if we can't reach a deal to buy or sell the player, we can wait for the blind bid and we will outbid them because they will never put more than 7-8M for our half. About Merkel, that's the same thing, we will take him back when we'll want, like we just did with Strasser and others.

Just because we are richer doesn't mean we can't be outbid. You're assuming that Genoa wouldn't have enough money to beat us out in a blind auction. But what if Sharaawy ends up being the next Messi. Surely, Genoa would bid an equitable amount, because they could easily flip the purchase and sell to Barca or whoever. All Genoa have to do is find a lender who will front the cash for a short amount of time. Say Madrid want this player badly. Genoa can say - lend us the money to outbid Milan and then you can have him at market. Seriously, what's to stop Genoa from simply selling their half to a team like Inter - a team that would be much more threatening in a blind auction.

[Siregar]

Just an example:

El Sharawwy is worth 15 mil today, we pay 7.5mil for half today.


Two scenarios for next season

1)Next season he plays well:
We have to pay more than 7.5 to get the other 50%

2)Next season he plays poorly:
Our 7.5mil is worth only 4 mil, not only we lost money but also we can't sell the half we need for good money. We also wasted a roster spot.

Advantages:
1. If he plays well next season (either with Milan or with other club), we will get good player
2. We don't need to pay much money right now which means we can use the money (15-7,5= 7,5 mil euros to get other player)
3. Genoa accept the offer and possible won't accept 12 mil euro or even 15 mil euro). This is better than loosing a talent (if he is really a talent)
4. Genoa as Geo said a small club. We can always outbid them.

Disadvantage:
1. Milan could have to pay more than 7,5 mil euro (if the co-ownership is not set in the beginning how much money will Milan have go give) if the player turns to be a damn good player. The worst scenario, Genoa asks unbelievable mount of money (say it 20 mil euros for the other half) then just let them take the player (which I doubt since IMO they won't have such amount of money).

---

A club like Genoa can't ask for unreal amounts of money for one of their players we co-own with them ... Why ? We are richer, if we can't reach a deal to buy or sell the player, we can wait for the blind bid and we will outbid them because they will never put more than 7-8M for our half. About Merkel, that's the same thing, we will take him back when we'll want, like we just did with Strasser and others.

Just because we are richer doesn't mean we can't be outbid. You're assuming that Genoa wouldn't have enough money to beat us out in a blind auction. But what if Sharaawy ends up being the next Messi. Surely, Genoa would bid an equitable amount, because they could easily flip the purchase and sell to Barca or whoever. All Genoa have to do is find a lender who will front the cash for a short amount of time. Say Madrid want this player badly. Genoa can say - lend us the money to outbid Milan and then you can have him at market. Seriously, what's to stop Genoa from simply selling their half to a team like Inter - a team that would be much more threatening in a blind auction.

If he turns to be the new Messi (let's just assume like that), you think Milan won't outbid their bid? Come on, a new Messi Milan won't ignore it.

If you think a small club like Genoa can outbid us, then it should be a MUCH better chance for us to outbid them, don't you think?

[Jay Crisp]

So we own half of EL Sharwwy for 7.5 million .We paid 7 million and gave them half of Merkel , is half of Merkel only worth 500,000 ??

[russo-neri]

Ii don't get why people dislike coownership. Its a great deal for a variety of reasons....

1) el shaarawy was in demand. Using merkel was our trump card if you will
2) merkel is not good enough to play heavily for milan now but has huge talent. This will allow him to play which is what we need most
3) think of it as an investment in merkels future. Genoa now have motiviation to play him. They will make money

We now basically own 50% of two most talented teens in italy. We won't lose either. At some point we'll have to pay to bring both back but it'll be less on our books than without this.

Finally this saves/differs money for our real targets. Which are 2 midfielders. If those players came merkel wouldn't play anyway

The Sharaawy co-ownership is the only scenario where co-ownership makes sense to me. Genoa might be trying to cash in on the hype surrounding his recent play. Plus they retain 50% in case he continues to excel and becomes a verified star. Milan might consider this an investment - they don't want to dole out 15 million, but 7.5 million is a good price for a 50% stake in a potential star.

But aside from this - Co ownership makes no sense. Think about it - if you have a stock that is worth 10, but you believe it will be worth 100 someday, why would you sell have of it for 5 if ultimately you will need to pay an additional 50 later on. The only reason Milan should sell 50% stakes is if they don't believe the future for these youngsters is strong. Selling 50% is then a good hedge.

"I have a stock that is worth 10 and it could be worth 100 someday, but at the same time it could also be worth 0. Let me get 5 for it now and if it goes up to 100, I still make 50."

If coownership is strictly incentive to get a lower team like Genoa incentive to develop the player (thus increasing the player's value), fine. But why 50%! Why not 49% so you still retain majority holding?

---

Just an example:

El Sharawwy is worth 15 mil today, we pay 7.5mil for half today.


Two scenarios for next season

1)Next season he plays well:
We have to pay more than 7.5 to get the other 50%

2)Next season he plays poorly:
Our 7.5mil is worth only 4 mil, not only we lost money but also we can't sell the half we need for good money. We also wasted a roster spot.

Advantages:
1. If he plays well next season (either with Milan or with other club), we will get good player
2. We don't need to pay much money right now which means we can use the money (15-7,5= 7,5 mil euros to get other player)
3. Genoa accept the offer and possible won't accept 12 mil euro or even 15 mil euro). This is better than loosing a talent (if he is really a talent)
4. Genoa as Geo said a small club. We can always outbid them.

Disadvantage:
1. Milan could have to pay more than 7,5 mil euro (if the co-ownership is not set in the beginning how much money will Milan have go give) if the player turns to be a damn good player. The worst scenario, Genoa asks unbelievable mount of money (say it 20 mil euros for the other half) then just let them take the player (which I doubt since IMO they won't have such amount of money).

---

Just because we are richer doesn't mean we can't be outbid. You're assuming that Genoa wouldn't have enough money to beat us out in a blind auction. But what if Sharaawy ends up being the next Messi. Surely, Genoa would bid an equitable amount, because they could easily flip the purchase and sell to Barca or whoever. All Genoa have to do is find a lender who will front the cash for a short amount of time. Say Madrid want this player badly. Genoa can say - lend us the money to outbid Milan and then you can have him at market. Seriously, what's to stop Genoa from simply selling their half to a team like Inter - a team that would be much more threatening in a blind auction.

If he turns to be the new Messi (let's just assume like that), you think Milan won't outbid their bid? Come on, a new Messi Milan won't ignore it.

If you think a small club like Genoa can outbid us, then it should be a MUCH better chance for us to outbid them, don't you think?

I'm just saying you are assuming there is no way that we could be outbid by Genoa when there very well could be a chance. Market's determine price - not financial clout.