The pandemic that disrupted the sports sector is beginning to claim some victims? We’re not there yet, but if sports clubs, and football clubs in particular, are denouncing a heavy financial situation with losses and consequences, the companies managing sports facilities, particularly football stadiums, have seen their economic management model take a serious hit.
No audience, no events, minimal revenue, while operational costs, the depreciation of invested funds, and loan repayments remain. This formula is not viable and can only lead into a wall.
The information, released yesterday, that the Nice Eco-Stadium company, in charge of managing the Nice stadium, the Allianz Riviera, is subject to a safeguard procedure, sets off red warning lights. This measure addresses companies in difficulty that are at risk of insolvency.
This sports facility management company based in Nice is a subsidiary of Vinci Concessions, the Caisse des Dépôts, and the South Europe Infrastructure Equity Finance fund.* The quality and solidity of the shareholders should prevent it from being placed in judicial liquidation.
At the root of this situation are the red accounts. In 2019, its net result was -1,512,000 euros according to information reported by other news sites.
Allianz Riviera is the playground of OGCN, and numerous public concerts were planned in its business model. However, this forecast remained on paper and is the cause of the current financial crisis.
