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United set for Singapore flotation

19 Aug 2011 07:00:19

United set for Singapore flotation

A solution could have been found to resolving Manchester United's debts, with part of the club being sold off in Singapore in a deal which would also see them further develop their business in Asia, Press Association Sport understands.

The Barclays Premier League champions currently have debts of more than £500million but they could hope to clear a large proportion of that by floating on the Singapore Stock Exchange. The club has lodged a submission to launch an Initial Public Offering (IPO) - a flotation - with the intention of being listed on the stock exchange by the end of 2011.

The submission process will take between four and 12 weeks, followed by a further fortnight of administrative proceedings which will see United floating in the fourth quarter of the year.

The north-west club already have 192 million supporters in Asia, out of a worldwide total of 333 million, and the flotation means they can develop commercial links and increase their fanbase. In contrast to much of the western world which is in a deep recession, Asia's economy is continuing to grow, rebounding quickly after a short slump.

It is not yet certain what proportion will be floated or how much the Glazer family, United's owners, are hoping to raise although some reports are estimating between £400m and £600m.

Manchester United were not commenting.

On the pitch, United will have to wait until after the weekend for their second game of the Premier League season.

Sir Alex Ferguson's side travel on Monday night to White Hart Lane to face Tottenham, who have not yet played after the postponement of their scheduled opener following the riots in Haringey.

United won 2-1 at West Brom last Sunday although it took a Steven Reid own goal off Ashley Young's low drive across the box 10 minutes from time to see them claim all three points.

The Red Devils had been in control with Young and Wayne Rooney combining for their opening goal, but a miserable league debut for David de Gea in goal changed the tempo of the match.


PA

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