British billionaire Sir Jim Ratcliffe has offered to buy 69 per cent of Manchester United – the exact shares which are owned by the Glazer family, Sky Sport report.
United are currently in the process of a possible takeover. Sir Jim and Sheikh Jassim are currently the front-runners to take control of the club from the Glazers.
It is now reported that the former plans to buy 69 per cent of the Red Devils owned by the Glazers. He may try to buy out the remaining shareholders in future.
At things stand, 31 per cent of the shares are currently in the New York Stock exchange, but Sir Jim would have full control of United if his takeover bid is successful.
Sir Jim faces stiff competition in takeover race
Sir Jim has the financial backing from Goldman Sachs and JP Morgan for the takeover bid. He plans to take a loan but his company INEOS will incur the debts.
Hence, United will be debt-free but the big question is whether Britain’s richest man can compete with Sheikh Jassim, who has proposed to purchase 100 per cent of the club.
The Qatari Investment Bank (QIB) chairman is prepared to buy out the Glazers as well as the Class A shares in the stock market which seems the better solution.
Sheikh Jassim appears willing to fund the redevelopment of Old Trafford with his own financing. The same can’t be said for Sir Jim, who may seek another loan.
In our opinion, QIB currently have the more favourable and winning bid, though there could be more undisclosed investors that could be revealed soon.
