(Football news) The Glazer family, who own majority stake at Manchester United are now open to listening to offers for the Red Devils after a 17 year long ownership which has been marred by controversy and protests. The club is currently valued at around £5bn and is expected to be sold to US investors. A statement was released by the club about plans to identify "strategic alternatives", resulting in the share price increasing by 17% adding almost $400m (£336.4m) to the club's market capitalisation. The Raine Group, who facilitated the sale of Chelsea FC are acting as Manchester United’s exclusive financial advisor with Rothschild and Co performing the same role to the shareholders.
The statement read “Manchester United plc (NYSE:MANU), one of the most successful and historic sports clubs in the world, announces today that the Company’s Board of Directors (the “Board”) is commencing a process to explore strategic alternatives for the club. The process is designed to enhance the club's future growth, with the ultimate goal of positioning the club to capitalise on opportunities both on the pitch and commercially. As part of this process, the Board will consider all strategic alternatives, including new investment into the club, a sale, or other transactions involving the Company. This will include an assessment of several initiatives to strengthen the club, including stadium and infrastructure redevelopment, and expansion of the club’s commercial operations on a global scale, each in the context of enhancing the long-term success of the club’s men’s, women’s and academy teams, and bringing benefits to fans and other stakeholders.”
Executive co-chairmen and directors Avram Glazer and Joel Glazer said "The strength of Manchester United rests on the passion and loyalty of our global community of 1.1 billion fans and followers. As we seek to continue building on the club's history of success, the Board has authorised a thorough evaluation of strategic alternatives. We will evaluate all options to ensure that we best serve our fans and that Manchester United maximises the significant growth opportunities available to the club today and in the future. Throughout this process we will remain fully focused on serving the best interests of our fans, shareholders, and various stakeholders."
The review of financial options includes a potential sale of the club which will finally bring to an end years of protests, boycott and controversy surrounding the Glazer ownership that has seen Manchester United sharply decline on-field. The club have failed to win a Premier League title since 2013 and have sacked a number of managers since Sir Alex Ferguson’s retirement. However, it is also possible that only a partial sale might be considered to bring in new investors in order to raise capital for the overdue redevelopment of Old Trafford and the training facilities. Speculation suggests that a bid in the region of £5bn and £9bn might persuade the Glazer family to sell, especially considering the economic recession that Britain is going through.
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