Club Sale | It’s done!

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NorryKay said:
Guys please I’ve got a few questions I would appreciate answers to.
1. Considering the glazers are split on selling the club is it financially feasible that Avram and Joel can seek financing to buy out their 4 sibling ?
2. If yes what are the possibilities effects of that decision on the club.
3. If the Joel and Avram decide to sell their siblings’ share and maintain their own shares how does it benefit those two financially.
Thanks in advance
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It would further strap the club for the next decade at least and would be a huge gamble by the Glazer's who would hope the club can rise back to the top and be worth 10b at which point they would probably sell.
The financing would be used to buyout their siblings. Where does the money for the squad and rebuilding OT come from? The issue I see is if they did buy out their siblings and remained owners, they're not going to want to spend the money to invest in the infrastructure and squad. We might win the odd cup and finish in top 4 but we won't dominate anything. It will be the same shit we've seen for the past decade and a half. Spending just enough to be relevant whilst playing in a run down OT. Eventually Newcastle will be a force with their new owners and Spurs might be sold. The Glazer's can't compete with those owners.
 
LawCharltonBest said:
I ask again: How does a minority stake sale realistically work with the Glazers involved?

In some cases the current owner of a club might sell shares and reinvest the capital into the club on a stadium etc. If the Glazer's can raise significant stadium money (£1bn plus) they are absolutely 100% definitely unequivocally undoubtably keeping that money to themselves. Which makes the whole "strategic alternatives" stuff null and void. They won't get more for United than they will now without investing their own money (into the billions) into the club. Minority sale does not work!
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A minority stake while keeping Glazers in charge should demand a sanity test of the new investors. You’d have to be pretty stupid to put money into Utd with glazers remaining in charge.
 
Surely minority investment wouldn’t work because only the Glazers who would want to sell would accept it? That means it’s money the club nor the two holdouts would never see?
 
I can’t see a minority stake. Been saying it for weeks and still feel the same.
It would mean the Glazers using some of their equity to fund infrastructure investments.That won’t happen
 
Woziak said:
Many united fans think that the Glaziers are morons, but they are extremely smart business people who are indoctrinated by their Jewish upbringing and know how to squeeze the last pound, dollar, penny, cent from a rich buyer.

The two glazier brothers , Avram and Joel may well want to keep united but they simply can not afford to do it on their own without the other 4 siblings, yes they are reluctant sellers and they want the maximum but this is a clash of cultures too, The Qataris will have a maximum fee in their head and if they don’t get what they want they will simply walk away and target another PL club.
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Is this okay to say? :p
 
It is such a complicated procedure which is so far above 99.999% of the supporters.

Since the whole Super League debacle and aftermath with press releases saying the Glazers would be more open/connected with the fans...which has resulted in jack shit from them...I find it its not worth even having an opinion on the matter unless there is an official release from the club.

It's the hope that kills you.
 
Chief123 said:
A minority stake while keeping Glazers in charge should demand a sanity test of the new investors. You’d have to be pretty stupid to put money into Utd with glazers remaining in charge.
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Exactly. Anyone who looks at the Glazers ownership and says "thats something I want to buy into but leave the Glazers in charge" clearly is so fecking stupid that they would never have the money in the first place. The Glazers have taken what was the biggest and best club club in the country and despite spending huge sums on the playing squad have managed to leave us in a complete mess that we are only potentially coming out of because we have a top top manager at the moment. They have massively neglected infrastructure and the only thing they have really cared about is commercial partnerships which have really started to dry up because we have been so poor for so long. The only thing that has kept them afload is our massive support base and the huge increase in TV rights money.

Thats ignoring the fact that in a normal season we wouldn't see Liverpool and Chelsea being so bloody awful so our league position is likely a little inflated.
 
cyberman said:
Surely minority investment wouldn’t work because only the Glazers who would want to sell would accept it? That means it’s money the club nor the two holdouts would never see?
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Adisa said:
I can’t see a minority stake. Been saying it for weeks and still feel the same.
It would mean the Glazers using some of their equity to fund infrastructure investments.That won’t happen
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But if the 4 siblings sell their shares the money goes to them and not the other two (Avram & Joel) right ? They (Avram and joel) can’t possibly fund the infrastructure expenditure and transfers. Can they ?
 
Didn't they look for minority interest without any success prior to going to Raine? Think that was when they reached out to Apollo?

If so, I do wonder if their minority interest report is just smokes and mirrors to get the bidders more warm to higher offers in the next round of "preferred bidder" interest.
 
NorryKay said:
Guys please I’ve got a few questions I would appreciate answers to.
1. Considering the glazers are split on selling the club is it financially feasible that Avram and Joel can seek financing to buy out their 4 sibling ?
2. If yes what are the possibilities effects of that decision on the club.
3. If the Joel and Avram decide to sell their siblings’ share and maintain their own shares how does it benefit those two financially.
Thanks in advance
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1. Feasible but not advisable - they only have equity to offer as collateral for a loan or potential rights to assets of the club like stadium and land.
2. A further buyout of the club MAY be ruled illegal by the FA as they claimed they had banned leveraged buy-outs - so they will probably have to claim the finance company are "investment partners" offering them equity, rather than borrowing against assets.
3. Joel and Avram would have to offer to buy-out the sibling shares. the price for this is where it would be interesting. They could offer them a "mates rate" at an agreed lower amount but that would tank the remaining value of the club. They could offer them something around market value - say 90% of current share price or the family members may want their "sixth" of what the full sale value would be (ie what the Qataris are prepared to pay.

In all of those cases they would have increased their share of the business, but would have to offer a portion of that to their investment partner....so not a significant increase really - from maybe 15% to 25% max potentially. This could however be a larger percentage of a smaller asset (If the market judges they sold too cheaply, or they have to offer a large % in equity for the financing in order to do it). Or a larger percentage of the organisation, but with a much higher debt load and a reduced chance of selling at a premium down the road.

It makes no sense for the Glazers to stay on at the club, given revenues are shrinking and need for investment is huge. These sort of deals often happen when there is a "management buy-out" of a failing company and it tends to limp along for a few years while the vultures pick the carcass clean. It's not a route that is good for the club.
 
Kaos said:
We're going to be stuck with that anchor aren't we. The feckin parasites.
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We might be, but I wouldn't read too much into any of this noise. We know that Avram and Joel are keen to stay - they attempted to buyout their siblings last summer, but it failed and there is no guarantee they can resurrect a deal now at terms they would find agreeable.

The idea of them remaining is unpalatable to pretty much every United fan in existence, but nearly everything in the press at the moment is likely to be informed by various competing parties in the midst of negotiations (ie it's bollocks). Best to ignore the noise and wait for the outcome (which is probably still at least 4-6 weeks away).
 
VP89 said:
Didn't they look for minority interest without any success prior to going to Raine? Think that was when they reached out to Apollo?

If so, I do wonder if their minority interest report is just smokes and mirrors to get the bidders more warm to higher offers in the next round of "preferred bidder" interest.
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We know they offered the Saudis a minority stake in 2019 (30% of the club for around £700m) and Joel/Avram tried to buyout their four siblings last summer, with Apollo raising the necessary capital.
 
FlawlessThaw said:
I get the comparison with the Milwaukee Bucks but there are a heck of a lot of football teams you can buy while only 32 in the NFL, they also have wage caps and even local governments paying for stadium.

Of course not many teams have the same stature but if the whole point is sportswashing with a relatively big team then you could just go buy Spurs.
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NBA/basketball teams.
But I get your overall point :) and get where you're coming from
 
If we are forced to focus on loan deals this summer and not capitalise on what at this point looks to be a very positive season I can see real troubles coming back in terms of fan anger spilling over once again. Hard to see it all being resolved by then.
 
Glazers own the club and they are do whatever they. If minority stakeholders comes in, he is looking at ROI. Glazers will need to convince them that they will too get their dividend. Glazers will continue to milk this golden goose until it start failing. It was actually failing until ETH came from nowhere to win our first trophy.
They now see a glimmer of hope in ETH, that why they are hesitate to sell and perhaps they can get a better price 3-4 down the road. I think they will take a minority stakeholder for now.
 
r0663664 said:
Glazers own the club and they are do whatever they. If minority stakeholders comes in, he is looking at ROI. Glazers will need to convince them that they will too get their dividend. Glazers will continue to milk this golden goose until it start failing. It was actually failing until ETH came from nowhere to win our first trophy.
They now see a glimmer of hope in ETH, that why they are hesitate to sell and perhaps they can get a better price 3-4 down the road. I think they will take a minority stakeholder for now.
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Here’s a noob question, can they be forced to sell if an offer it too good to turn down by other shareholders? It’s a bear hug if I remember correctly (I get my business knowledge from succession)
 
cyberman said:
Here’s a noob question, can they be forced to sell if an offer it too good to turn down by other shareholders? It’s a bear hug if I remember correctly (I get my business knowledge from succession)
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It's massively complicated but once you reach a certain percentage ownership you can exercise the option to buy out all remaining shares at a certain price (usually above market price) within a period of time. If that gets you close to full ownership you can then exercise a further option in which all remaining shareholders HAVE to sell to you at a fixed price....usually this would be set to be lower than previous price offered.
 
peridigm said:
It would further strap the club for the next decade at least and would be a huge gamble by the Glazer's who would hope the club can rise back to the top and be worth 10b at which point they would probably sell.
The financing would be used to buyout their siblings. Where does the money for the squad and rebuilding OT come from? The issue I see is if they did buy out their siblings and remained owners, they're not going to want to spend the money to invest in the infrastructure and squad. We might win the odd cup and finish in top 4 but we won't dominate anything. It will be the same shit we've seen for the past decade and a half. Spending just enough to be relevant whilst playing in a run down OT. Eventually Newcastle will be a force with their new owners and Spurs might be sold. The Glazer's can't compete with those owners.
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Thanks
 
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