Protest: The Glazers have been unpopular owners of
Manchester United
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.
News on Tuesday that the owners have appointed a
bank - thought to be Credit Suisse - 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.
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.
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.'
Raising money: The Glazer family set to cash in
Growth area: around 190 million United fans live in
Asia
The 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.
