Manchester United: Five questions as Sir Jim Ratcliffe nears £1.3bn deal
A year after declaring his interest in buying Manchester United, Sir Jim Ratcliffe looks set to get his way – sort of – via a £1.3bn minority investment that appears to have won the Glazer family’s approval and could be sealed this week.
But while the deal promises to bring an end to the saga of the Glazers’ possible divestment, it raises several other questions for the club’s US owners, their bankers the Raine Group, the British billionaire and United supporters.
What are the details of the Ratcliffe United deal?
Aside from the fact that Ratcliffe will pay a 100 per cent premium on the share price for a 25 per cent stake, little has been revealed about a proposal that has been through several iterations over the past 10 months.
Will it involve debt? How much voting power will it afford Ratcliffe? And will it go any way towards much-needed upgrades to United’s infrastructure, in particular Old Trafford, which has been allowed to fall behind other Premier League stadia?
Who will run the football side and will fans be happy?
If, as some reports suggest, Ratcliffe gets the keys to United’s football operations it could mean changes to key personnel, with Ineos sporting director and former British Cycling chief Sir Dave Brailsford tipped for a role.
United fans have been desperate to prise the Glazers’ hands off their team, but would joining Ratcliffe’s portfolio appease them? Lausanne have been relegated twice on his watch while, for all that they have started this season well, Nice’s performance has been modest.
What took the Glazers so long to decide on Ratcliffe’s minority deal?
The Glazers’ announced a strategic review in November 2022, days after Liverpool’s owners said they too were exploring a sale. Four months later, Anfield chiefs said they had decided to stay, so why did their fellow Americans prevaricate for eight more months?
In that time they flirted with Sheikh Jassim Bin Hamad Al Thani, who wanted a full takeover for £5bn, until the Qatari gave up last week. A minority sale could have been achieved months ago, when it was apparent the Glazers would not get their £6.5bn asking price.
Raine reputation takes a knock as rivals circle
Raine was a big winner from last year’s sale of Chelsea to the Todd Boehly and Clearlake Capital consortium, achieving a price of £2.5bn plus £1.75bn in guaranteed investment that raised eyebrows across the industry.
The US bank could not repeat the trick with United, however, generating nothing like the breadth or generosity of bids. Raine’s reputation has been dented, just as rivals such as Goldman Sachs make a more concerted grab for a piece of the sport investment pie.
Will Sheikh Jassim buy another club instead of United?
The Qatari banker didn’t give much away during the bid process, never speaking publicly, so very little is known about his wider intentions in sport.
Could he return to the market for another football club in the Premier League or elsewhere in Europe? It would be no surprise but, bruised by his brush with the Glazers, Sheikh Jassim may prefer to lie low – OK, even lower – before dipping his toe again.