Elliott to take control of AC Milan

ROME, July 10 (AFP): American hedge fund Elliott will take control of Italian giants AC Milan this week after the club's Chinese ownership missed a multi-million euro debt repayment, sources close to the matter confirmed to the news agency on Tuesday.

The source told the news agency that Elliott began the legal process of taking control of the seven-time European Champions on Monday, and that a board meeting will be held before the end of the week in which a new board of directors will be nominated.

Next week, Milan will then hold a shareholders meeting in which the club's new structure will be outlined to investors.

The Chinese directors currently on the board will be replaced after owner Li Yonghong missed a Friday deadline to repay 32 million euros ($37.5 million) to Elliott.

Elliott lent Li just over 300 million euros at high interest rates to complete the long-winded 740 million-euro purchase of Milan from former Italian prime minister Silvio Berlusconi's investment firm Fininvest last year.

The deal was originally due to close at the end of 2016, but was delayed because the Chinese group couldn't export funds from China, as the country tightened control on money invested abroad in sport and entertainment ventures.