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Manchester United for sale? Glazers plan to raise 600m with Singapore share floatation

16 Aug 2011 19:40:13

Manchester United for sale? Glazers plan to raise 600m with Singapore share floatation

The Glazer family are considering selling 30 per cent of Manchester United, raising ?600million in the process. And that will open up manager Sir Alex Ferguson and chief executive David Gill to public scrutiny by investors. Newson Tuesday that the owners have appointed a bank - thought to be CreditSuisse - to look into the partial flotation of the club on the Singapore stock market has raised the possibility of United not being owned 100 per cent privately for the first time since 2005. Protest: The Glazers have been unpopular owners of Manchester United Though the Glazers would still hold an enormous majority share interest and essentially retain the right to run things however they wish, it is thought the club would again be required to hold annual meetings and produce detailed yearly finance reports. Ferguson and Gill have no cause for concern, but the development would give supporters some insight into how the club is being run. In the Glazers' six-and-a-half years in charge, fans have been frustrated by a lack of accountability. Whether any of the ?600m raised by a flotation would be funnelled back into the club is open to question. Experts suggested last night it is more likely to be used to pay off some of the debt the Glazer family have racked up. None of the shares made available in Singapore are likely to fall into the hands of regular United supporters. Instead they would be bought by investors in Asia. Raising money: The Glazer family set to cash in The Manchester United Supporters Trust hinted last night they would look to find a way to invest. A statement said: 'It is possible shares will not be available to ordinary supporters and MUST will have to provide a mechanism for supporters to buy shares.' Growth area: around 190 million United fans live in Asia How the deal could workThe Glazers are said to be looking to offload 30 per cent of United by selling shares on the Singapore stock market. How much money do they hope to make? It is thought the move could raise around ?600million. By selling about a third of the company the Glazer family would keep control and could use the money to pay down debts of more than ?500m which accrue hefty interest. It would also establish a price tag for the club. So how much are United worth? If the Glazers raised ?600m by selling 25 per cent that would value the club at ?2.4bn. However, reports suggest the final stock market valuation would be closer to ?1.7bn. The Glazers paid ?780m in 2005. Why Singapore not London? Of the club's 300 million fans, more than 190 million live in Asia, which is seen as a growth area for the club's revenues. So is this a good time to be attempting such a move? The stock market wobble will not help - and don't forget United made a ?105m loss in their last set of accounts.  Crisis, what crisis? Smalling confident he and Jones can replaced injured Vidic and FerdinandLindegaard ready to be United's No 1 after De Gea's poor start at Old TraffordYoung calls on United to use West Brom win as inspiration for title defenceAll the latest Manchester United FC news, features and opinion


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