Bidders are getting a closer look at Manchester United as the potential sale of one of the biggest soccer clubs in the world gathers pace. (More Football News)
Representatives of Sheikh Jassim bin Hamad Al Thani toured United's famed Old Trafford stadium and Carrington training base on Thursday as part of a series of meetings with contenders bidding to buy out current owners, the Glazer family.
Bidders are getting a closer look at Manchester United as the potential sale of one of the biggest soccer clubs in the world gathers pace. (More Football News)
R♓epresentatives of Sheikh Jassim bin Hamad Al Thani toured United's famed Old Trafford stadium and Carrington training base on Thursday as part of a series of meetings with contenders bidding to buy out current owners the Glazer family.
The latest step in the process comes after indicative offers for the Premier League club were made last month via U.S. merchant bank Raine Group, which is handlingᩚᩚᩚᩚᩚᩚᩚᩚᩚ𒀱ᩚᩚᩚ what could be the biggest-ever sale of a sports team.
Sheikh Jassim, the chairman of Qatar Islamic Bank and son of a former Qatari prime minister, is aiming to🀅 take 100 percent ownership of United.
He did not travel to Manchester for meetings with club executives, but sent advisers, including Shahzad Shahbaz, who is the president of the Nine Two Foundation set up to complete the takeov༒er.
Another bidder, INEO🌸S owner Jim Ratcliffe, will ♋tour United on Friday.
No othꦏer contenders have publicly declared their intention t⛦o buy United.
Ratcliffe has submitted a bid for majori♔ty ow🌜nership.
It is still not certain the Glazers will cede tot🌄al control of the club the Americans have owned since 2005.
Much will dep♋end on how high the bidding goes, with figures of up to $6 billion 🌳estimated.
That is about twice as much as Premi😼er League rival Chelsea sold for last year when it was bought by a consortium led by Todd Boehly and Clearlake Capital.
Raine also handled that sale.
The Glazers, who also own the Tampa Bay Buccaneers, announced in November that they w🔯ere open to selling United as they explored “strategic alternatives.”
“It is a phenomenal as🌳set with a tremendously loyal following all around the world,” said Christopher Zook, chairman and chief investment officer of CAZ Investments, which has extens📖ive experience in sports investments.
“It is truly a worldwide brand. There are very few assets on the planet that carry that kind of recognition. So yes, buying th🧸at asset would be a fantastic thing to do at the right price.”
That price remains a source of debate and the la🅘ck of public declarations of interest could reflect the limited number of viable candidates able to fund a takeover.
By comparison, a host of would-be buyers c🐻ame forward for Chelsea, including Chicago Cubs owner the Ricketts family, Boston Celtics part-owner Steve Pagliuca and New York Jets owner Woody Johnson. There were also British-based bids and rumored interest from Saudi Arabia.
Chelsea eventua♏lly sold for🧔 just over $3 billion with a commitment to invest a further $2 billion.
Prospective new owners of United would likely need to invest exteဣnsively in the stadium, which could include a rebuild at an estimated cost of around $1 billion.
The tours held this week should give buyers a further indication ⛦of how high to pitch their next bids🍰, which could be made within the next 10 days.
Sheikh Jassim has said he will look to “invest in the footbal🍷l teams, the training center, the stadi🍷um and wider infrastructure."
His bid will also be debt free.
Ratcliffe said he would take “fan-centered approach” to ownership, adding that he is "focusinꦜg on winning the Champions Lea𒀰gue.”
The statements 𒉰from both bidders will chime with United fans who have had to watch rivals Manchester City and Liverpool dominate ๊English soccer in recent years.
Many supporters are also desperate to drive out the Glazers, who have been su꧑bject to numerous protests during their ownership.
Qatari-based ownership would offer the potential to rival the richest clubs in the world such as Abu Dhabi-backed City and Paris Saint-Germain, which also has Qatari owne♊rs.
Billionaire Ratcliffe, meanwh🐟ile, is one of the richest people in Britain and a childhood United fan. Sheikh Jassim is also a longtime United fan.
Zook believes, even at aꦉ premium, United remains an attractive prospect.
“♋It's a scarce asset. That's one 🎀of the things as an investor in professional sport, there's not that many of them,” he said.
"There is a good chance the buyer is going to look at what it can b♕e, as opposed to what it is today, because of the fact that it does have an older stadium and a fanbase it's not exactly been on the best terms with.
“If you were able to really engage the fanbase,&quo꧙t; he continued, "get a new stadium, get a lot more sponsorship, you could change the revenue model quite dramatically of that business, which would mean it would be worth more than what just a fiꦜnancial buyer would say it is today.”
British businessman Martin Bro꧒ughton fronted a consortium that tried to buy Chelsea last year. He also believes the potential to increase United's value, based on its enormous fanbase, could get the Glazers a top price.
“There is a market there which is currently being tapped byꦿ the Googles, Facebooks, Instagrꦍams of this world, which ought to be tapped by the clubs,” he said.
"It is a big market that's worth a lot of money and it could ch💛ange the valuation of the business.
“It's not an easy thing to do. I think it coulꩵd be done. Then you could make the case that the value at 6 billion could be good value.”