Author: Amrit Santlani
Brazilian club Vasco da Gama has received the last of the money it should have received as a second contribution from 777 Partners, according to the contract between the two parties. On Tuesday, Vasco finally received the sum of US$7.5 million (R$36 million) into its coffers and the company is no longer in debt, as it has settled all the payments it owed the club.
Previously, 777 Partners had invested R$120 million in the team, although the deadline for completing the payment was last Thursday. The club had only received one payment of R$71.5 million by Friday and the rest was outstanding.
Subsequently, the company presented documents proving that the full transfer had been completed. Due to the Columbus Day holiday in the United States on Monday, the full amount was reflected in Vasco’s account on Tuesday.
Having invested a large sum in Vasco previously, the second payment was due on September 5. However, the contract signed by the two parties also included a 30-day grace period, which would include interest.
The deadline, therefore, was last Thursday. Since then, 777 partners have been owed, but they had already paid the club an advance of R$16 million in the middle of the year to help finance the transfer window. The amount was not included in the total investment of R$120 million, but was increased by R$6 million due to interest on arrears.
777 Partners paid R$16 million to Vasco at the beginning of August and, on Thursday night, the first payment of US$7.8 million (around R$38.5 million) was completed. The second shipment of almost US$7.5 million arrived on Friday, followed by the final installment on Tuesday.
Although the club could have taken action after Friday to recover the 51% of the shares bought by the company, however, having received R$71.5 million in advance, they understood and complied with the American investors.