Vasco seek multi-million loan, check out the amount | OneFootball

Vasco da Gama has taken another significant step in its bankruptcy recovery process. Last Friday, September 19, the club requested court permission to take out a loan of up to R$ 80 million through a DIP (Debtor-in-Possession) Financing, a mechanism widely used in financial restructuring scenarios.

The measure emerges as an attempt to alleviate the heavy pressure on the institution's cash flow, which has been struggling to meet basic commitments since entering bankruptcy recovery.

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Destination of the money

According to the formal request, the funds obtained from the operation will be primarily used to pay overdue salaries, suppliers and essential operational expenses for the club's operation.

The immediate goal is to ensure minimum stability for short-term obligations and prevent a halt in Vasco's sports and administrative activities.

Guarantees and conditions

To facilitate the operation, Vasco offered as collateral 20% of the shares of SAF (Sociedade Anônima do Futebol) that still belong to CRVG (Clube de Regatas Vasco da Gama).

The proposed terms establish:

These conditions, although heavy, are considered relatively common in loans of this type, especially when they involve institutions in a bankruptcy recovery process.

What is DIP financing

The so-called DIP Financing is a type of credit aimed at companies in bankruptcy recovery. It allows the entry of new resources, essential for maintaining operations, and usually offers guarantees to creditors in the face of high risk.

In Vasco's case, this mechanism presents itself as an alternative to ensure cash flow amid financial turbulence and continue the execution of the restructuring plan.

Impact on the future of SAF

The use of SAF shares as collateral draws attention, as this is the club's most valuable asset at the moment. The operation may represent a risk in case of default, but it also signals the board's effort to find practical solutions in the face of the crisis.

If approved, the loan will provide immediate relief, but, in the long term, it may further compromise CRVG's stake in SAF, reducing the club's decision-making power over the future of football.

Context of the bankruptcy recovery

Vasco entered bankruptcy recovery in 2024, accumulating debts of over R$ 700 million. Since then, management has been seeking alternatives to balance the accounts and preserve the continuity of the institution.

The request for a R$ 80 million loan is another chapter in this process, which involves constant negotiations with creditors, internal adjustments, and the search for additional revenues.

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Fan reaction and next steps

The news immediately resonated among fans, who are divided between concern about the guarantees offered and hope that the loan will bring stability for the club to navigate this delicate moment.

Now, the decision is in the hands of the court, which will review the request and determine whether Vasco can or cannot contract the loan under the presented conditions.

If authorized, the amount could be released this year, providing temporary relief while the bankruptcy recovery process continues.

The R$ 80 million loan, if approved, represents both a short-term survival opportunity and a challenge for Vasco's future. While the financing can ensure the payment of salaries and the maintenance of the club, it also raises concerns about the risk of diluting CRVG's stake in SAF.

Amid the uncertainty, one thing is clear: Vasco needs to find quick solutions to balance its financial situation and keep the tradition of one of Brazil's biggest football clubs alive.

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This article was translated into English by Artificial Intelligence. You can read the original version in 🇧🇷 here.