Sir Jim Ratcliffe is restructuring his bid to buy Man Utd

Sir Jim Ratcliffe is restructuring his bid to buy Man Utd

 

According to Bloomberg, British billionaire Sir Jim Ratcliffe is restructuring his bid to buy Manchester United from the Glazer family.

Earlier this year Ratcliffe had proposed buying a 69% stake in the Glazer family, but the decision was met with disapproval from other shareholders.

Minority shareholders such as Lindsell Train, Ariel Investments LLC and Eminence Capital believed there would be little to no benefit to them if Ratcliffe completed an acquisition.

One of the three major shareholders is believed to have sent a letter to United’s board warning that independent directors “risk prosecution for recommending an offer that favors one section of shareholders over another”.

Bloomberg now reports that Ratcliffe is working with his advisers to “alleviate concerns about the terms of his offer from minority investors” of the Premier League club. Currently, Ratcliffe and Sheikh Jassim remain in the buyout race.

Ratcliffe’s previous offer opened the door for Avram and Joel Glazer to remain at the club in some capacity. In comparison, Sheikh Jassim offered to buy the entire club through his takeover. Neither is close to taking over United.

The Glazer family does not rule out a possible sale of the Red Devils, but is also open to minority investments. It has been ten months since the club began exploring strategic alternatives and the takeover saga is expected to continue.

 

 

 

Glazers still uncertain about Man Utd future

 

There has been a lot of investment in the squad over the past few summer transfer windows, but all of this funding has come from club revenue and not the Glazers.

The owners have shown no intention of using personal funds to offset the club’s losses. As a result, the Red Devils have fallen behind their rivals due to the Financial Fair Play situation.

Fans are eager to see the Glazers end their 18-year association with the club, but as things stand, the process could take longer as no decisions are made during the takeover process. The Glazers set an asking price of around £6 billion earlier this year and neither Ratcliffe nor Sheikh Jassim paid the fee. This remains another obstacle to a future sale.

Ratcliffe is currently trying to resolve concerns with minority shareholders, but the club’s loyalists would ideally want a total takeover, as Sheikh Jassim has suggested.