Mon Jun 12, 2023 11:07 pm
Sheikh Jassim of Qatar has as good as completed the purchase of Manchester United, according to reports in Qatar from a news outlet that his father partly owns.
They say the official announcement will be before the start of next week.
The deal is for 100% of the club.
Jim Ratcliffe and INEOS were also in the running to buy them, but his offer was for 60% of the club and was happy for the Glazers to stay on board. Manchester United fans and ex-players made clear they wanted the Glazers to leave the club completely so didn't react well to this from Ratcliffe.
But it is Qatar that have been successful with their bid.
The amount they are paying for the club is unknown but is believed to be in the region of around £5 billion, with a promise of an additional investment of £1 billion. That would be the biggest amount ever to be paid for a football club in the world.
There was big increase in the Manchester United share price on the NYSE. This is what Faisal Islam, economics editor for the BBC said about that:
In after hours trading in NY, Manchester united shares spiked 17%… that is traders betting the Glazers are about to sell to Sheikh Jassim of Qatar.
A quarter of a million trades in 2.5 hours…. For reference on a normal days full trading 1.8m shares trade hands. Still 14% up on close.
What we have is significant share price movement in after hours NY trade.
To explain - reason share price is a gauge of perceived likelihood of Qatar victory, is Jassim bid is for 100% of shares & will pay out on NY listed shares at takeover price…Ineos bid is believed to be focussed on the Glazer shares alone, listed shares won’t immediately benefit.