English Premier League club Manchester United was put up for sale last November by a US banking group. The current owners, the Glazer family, wanted £6 billion.
One of the bidders interested in the club, Sheikh Jassim, owner of the Qatar Banking Group, offered £5 billion for the club. A consortium group led by British billionaire Sir Jim Ratcliffe offered less than £4 billion.
The difference between the two bids is the size of the stake. Sheikh Jassim offered £5 billion plus alpha for all of United’s shares.
Sir Jim Ratcliffe, on the other hand, is interested in acquiring stable management, so he is only looking to acquire around 60% of the shares. This is because the current owners, the Glazer family, want to retain a stake in the club even if they hand over control.
In the end, however, a group of Qatari banks led by Sheikh Jassim agreed to pay nearly £6 billion, more than initially expected, to acquire 100% of the club. All that remained was the announcement.
As the announcement of the sale dragged on, reports emerged that the price of the club had jumped to a whopping £7.3 billion. “Manchester United’s Glazer family are set to announce a staggering £7.3 billion sale,” The Sun reported on Thursday. The reports are based on claims by the current owners of the English club.
Mehmet Dahman, a Turkish banker and owner of Cardiff City in Wales, has revealed that the Glazers are set to announce the sale of Manchester United for a staggering £7.3 billion, according to The Sun. That’s £1.3 billion more than the £6 billion the Glazers originally wanted and £220 billion more than they were willing to pay.
The rationale behind Mahomet Dahlmann’s claim is that the value of the soccer club has suddenly skyrocketed in recent years.
American private equity investors are now looking to invest in English soccer teams, which Dahlman claims is driving up the price of soccer teams. In particular, the price of Champions League clubs has increased dramatically. Manchester United is playing in the Champions League this season.
Dahlman says even second-tier clubs like Cardiff City can get a triple return on their investment.
“I’ve met a lot of American private equity investors,” Dahlman says, “and the value of soccer clubs is skyrocketing. The Americans are very determined to get into this market,” he explains.
In fact, in the English Premier League, Chelsea was recently sold to Todd Boeli, co-owner of the Los Angeles Dodgers. Earlier, fifth division team Wrexham was sold to an American movie star. This month, NFL legend Tom Brady became a board member after taking a partial stake in Birmingham City.
“We spoke to the Leeds owners when we were there, and they valued the Championship club at three times the money they were making,” Dahlman said. “Manchester United is expected to announce a sale for £7.2 billion to £7.3 billion, which is about 10 times their investment.”온라인바카라
“Two or three years ago, we were looking to sell Cardiff City for £20-30 million,” Dahlman says. Now the price has jumped to £90-100 million.” “The valuations of Championship League clubs have really jumped,” he said.