Manchester United fans are facing the nightmare scenario of at least two of the Glazer family continuing to take money from the club following the latest round of bidding.
Both Sir Jim Ratcliffe and Sheikh Jassim bin Hamed Al Thani have tabled offers that value the club in excess of £5billion. But the richest man in Britain now appears to have an edge over the Qatari banking tycoon because his proposal puts a greater value on United and would allow the six American siblings to trouser the most cash.
While Sheikh Jassim’s offer is for 100 percent of the club, Ratcliffe wants only to buy the shares held by the Glazer family.
The Oldham-born petrochemicals has also put forward an alternative proposition that would see him take a controlling interest whilst allowing Joel and Avram Glazer to maintain their 20 percent stake.
Both offers are still almost £1billion short of the Glazers’ £6million valuation.
United’s current owners also have significant offers of outside investment on the table to finance an Old Trafford redevelopment or rebuild. That gives them the option of deciding to hold onto the club and cash-in on further dividends until the conditions for a sale improve.
A deal which would see Ratcliffe own just over 50 percent of United would keep the two brothers who oppose a full scale sale in the corridors of power.
Both of those outcomes would infuriate fans who have opposed the Glazers since their controversial leveraged buy-out in 2005.
But the process has now turned into the bidding war the Glazers wanted when they indicated they were willing to listen to offers in November.
Sheikh Jaseem has promised to wipe out all of United’s debts if his bid is successful. He would, however, face an FFP conundrum.
Any attempt to pay off United’s debts would need to pass the Premier League ’s profit and sustainability regulations. Under current rules, owners are allowed to invest £90 million of their own money over a three-year monitoring period.
United’s latest accounts showed that the club's long-term debt stood at £535.7 million. When other borrowings and outstanding transfer fees were added to the bottom line, that figure ballooned to £969.6 million.
Ratcliffe has indicated he would continue to use United’s vast revenues to service debts rather than wipe them out completely.
