Pre-market trading saw Manchester United’s stock price fall by as much as 22 per cent on Monday morning.
Following news that Sheikh Jassim and the Qatari bid was being withdrawn and that Sir Jim Ratcliffe is now closing in on securing a 25 per cent minority stake in the club – leaving the Glazers in position – United’s shares took a significant slump.
The bidding process, which has been going on for almost 12 months, came down to two offers: one from Qatar, led by Sheikh Jassim Bin Hamad J.J. Al Thani, and one from Ratcliffe, which would go on to be revised to be a minority stake.
Ratcliffe’s minority stake is understood to be valued at £1.4billion.
That bid – which is set to be discussed by United’s board at a meeting on Thursday – would value United at more than £5billion and as a result their potential share price should be almost double the £17 it was trading at last week.
Yet, news that the only offer for a full takeover from the Glazers is now off the table appears to have triggered a negative reaction among traders, with a dip of 22 per cent before losses were pared back in the eight to 10 per cent region by lunchtime.
Ratcliffe’s group are set to take control of football operations at United should their 25 per cent investment be agreed by the club’s board later this week.
The petrochemicals billionaire, a lifelong United fan, will pay around £1.4bn for a quarter share at Old Trafford, in the first step in what is being viewed as a staged buyout.
His proposal is expected to be ratified over the coming days and it is understood that in return, his group will be handed the reins to the sporting side of the business as they seek to restore United to former glories.
Such a move may go some way towards appeasing United’s support, large sections of whom are desperate to see the back of current owners, the Glazer family.
‘We have a good offer,’ Ratcliffe, a lifelong Manchester United fan, said at a media event in July.
‘We would still very much like to do it, and I think we would do a good job if we did.’
Ratcliffe’s INEOS group already own and have stakes in various sports organizations and are thought to be keen to make a swift impact.
Neville noted his longstanding rules regarding the takeover of United, including a new training ground and new or renovated stadium, and added another amid the turmoil surrounding the management of the club in recent years.
The former right-back stated that United require leadership that builds a positive environment and isn’t afraid to make tough decisions.
Neville’s demand read: ‘The club requires leadership that is statesmanlike on major issues that enables a fairer, more inclusive and diverse game. Leadership that builds a positive environment and culture whilst adhering to the clubs’ values and principles and one that is willing to make tough decisions to prevent an erosion in the club’s public image.’
