According to Spanish media outlet Vozpopuli, Real Madrid has had to significantly extend its credit line to pay the bonus and salary promised to Mbappe.
As the saying goes, “The best things in life are free.” On the surface, Real Madrid didn’t spend a penny to sign Mbappe. But in reality, his arrival has seriously disrupted the club’s financial situation. According to multiple media reports, Real Madrid will pay Mbappe a bonus of around €130 million to sign him. To get this money, Real Madrid president Florentino Perez had to significantly extend the club’s credit line. Previously, during the Covid-19 pandemic, the club had already borrowed €395 million from banks. Media outlets explained that Real Madrid had been repaying the debt before Mbappe’s arrival at the Bernabéu.
Since June 30, 2024, the club’s cash flow has also decreased significantly, estimated at €82 million, the lowest amount in the club’s 20-year history. Last year, the cash flow deficit was €46 million. However, Mbappe’s arrival will bring significant revenue to Real Madrid in terms of marketing. With these two factors balancing each other out, Real Madrid may be able to achieve revenue balance in this investment.
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