Vilnius Žalgiris’ leadership and city officials set out the club’s precarious finances at a press conference yesterday, warning that without shareholder approval for a new strategic investor the club faces an insolvency risk before year-end.
Newly appointed president Mindaugas Kasperūnas said he found “only a few tens of thousands of euros” in the bank on taking office and more than €1 million in liabilities due by December. As additional obligations surfaced, projected year-end payables rose to roughly €1.5 million.
To stabilise cash flow, the club turned to supporters and partners. Community zero-interest loans have surpassed €400,000, with further donations bringing the total raised to just over €0.5m. The Lithuanian Football Federation also advanced part of its scheduled funding, described as several hundred thousand euros. Even so, around €900,000 remains to be covered by year-end.
City mayor Valdas Benkunskas—representing Vilnius municipality, a minority shareholder that has already disbursed its €1.5m annual support under a three-year grant—called the situation “catastrophic” and said the current shareholder group is “either unwilling or unable” to inject capital. He stressed the city will not backstop historic shortfalls with taxpayers’ money: “We are not an insurance company. The only realistic exit is a new strategic investor.”
According to Kasperūnas and city representatives, entrepreneur Tadas Burgaila has offered to clear the club’s debts and invest fresh capital in exchange for newly issued ownership shares, keeping the club community-oriented and improving transparency and governance. Negotiations with potential sponsors have advanced—“he could become one of the biggest local sponsors in Lithuanian football,” officials said—but talks are on hold until ownership is resolved.
Club officials say a 17 November shareholders’ meeting will table proposals to issue new shares and admit the investor. They allege a bloc of existing shareholders is blocking the move, pushing the club toward insolvency. As an alternative, some have suggested selling existing shares; Burgaila’s stated preference, however, is to put new money into the club rather than into private hands.
Governance and controls are also under review. The municipality said it has repeatedly pushed for in-depth audits in past years but lacked the votes to impose them. Kasperūnas will present three audit proposals to shareholders on 17 November; any investigation requires shareholder approval. He also confirmed prosecutors have seized one ownership share held by former director Vilma Venslovaitienė, which cannot be voted or sold during the investigation. All discussions with her side are conducted via legal representatives.
Operationally, Kasperūnas said the 2024 budget envisaged about €4m in expenses against ~€3m income, with the gap magnified when the team failed to pass the first UEFA Champions League qualifying round, costing nearly €1m in anticipated revenue. He cited other cost pressures—including a comparatively expensive women’s programme—and a long-standing €430–440k liability to Mindaugas Nikoličius that has not been amortised in eight years.
On liquidity, the club says no salaries are currently in arrears; two months of pay were settled after the leadership change, and the aim is to finish the season without delays. UEFA prize money for this year has already been assigned to Šiaulių Bankas under a tripartite arrangement and is not available. The club rents its home ground from a separate company under a long-term (approx. 12-year) lease; relations are described as businesslike.
Longer-term, Žalgiris outlined plans to modernise governance—greater transparency, a representative advisory body, and a membership model allowing fans to acquire a small stake through an association—once the immediate capital issue is resolved. “We’re in trouble, but not beyond help,” Kasperūnas said. “If shareholders unlock the investor on 17 November, we can stabilise finances and rebuild on a sustainable footing.”
