14 October 2023 , 18:33
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Qatari banking tycoon Sheikh Jassim bin Hamad al-Thani has withdrawn his £5 billion bid to buy Manchester United - with Sir Jim Ratcliffe set to swoop in for 25 per cent of the club.
United refused to comment on reports that Sheikh Jassim has finally ended negotiations with the Glazer family after the latest round of talks failed to find an agreement to move forward.
But he has informed Raine Group, the New York investment banking firm tasked with finding new investors, that he has terminated his interest.
Ratcliffe is now the only bidder left at the negotiating table - although the deal being proposed by Britain’s richest man would see the despised American owners remain in control.
Ratcliffe's offer values United at just over £5 billion - but he would initially purchase just a 25 per cent stake in the club. The Glazers, who have owned the club since 2005 and have been unable to halt a decline on the pitch that began with Sir Alex Ferguson's retirement a decade ago, are demanding £6 billion to sell up.
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But two members of the American family - Joel and Avram - have made it clear they would prefer to bring in outside investment to help finance a £1 billion-plus Old Trafford revamp. They believe United’s value could eventually reach £10 billion with the right backing.
British INEOS Group chairman Sir Jim Ratcliffe (BERTRAND GUAY/AFP via Getty Images)And their stance appears to have opened the boardroom door for Ratcliffe, the petrochemical magnate who was a United fan during his childhood in nearby Oldham. United’s militant fans are demanding the departure of the Glazers and are unlikely to be pacified by any compromise.
Demonstrations against the club’s owners have been a regular soundtrack to United matches. It is estimated that United’s owners have taken around £1.5 billion out of the club in dividends and debt repayments since completing their controversial £790 million leveraged buy-out.
Sheikh Jassim has pulled out of the running to buy Manchester UnitedThat instantly plunged the club £500 million in debt. Latest figures show they now owe more than £1 billion. United have spent more than £1.5 billion in the transfer market and burned through four managers since Ferguson stepped down after winning his 13th title.
Current boss Erik ten Hag has lavished £335 million on new players since he arrived at Old Trafford in the summer of 2022. But United have lost four of their opening eight Premier League games and have been beaten by Bayern Munich and Galatasaray in the Champions League.
When the Glazers announced they were undertaking a “strategic review” of the club almost a year ago, there was hope amongst United fans that they were selling up.
But the process has become a huge distraction as it became clear that the Glazers were looking at ways to strengthen their hold on the club rather than walk away.