As if elimination from the European Cup were not distressing enough for Manchester United’s supporters, their anxiety will be increased over the coming days as Malcolm Glazer, the American sports tycoon, steps up his efforts to buy the club.
Glazer and his two sons, Joel and Avi, have failed with two previous takeover bids, but they are expected to approach United’s plc board by the start of next week with a revised proposal that will include concessions designed to win the support of the board.
Having studied the club’s accounts as part of the due diligence procedure, Glazer and his bankers, JPMorgan, have spent the past ten days making adjustments to their previous bid. That proposal was rejected a month ago when David Gill, the United chief executive, concluded that, although it was fair in terms of its valuation of the club at about £800 million, “Glazer’s business plan assumptions are aggressive and that the direct and indirect financial strain on the business could be damaging”.
Changes to the structure of that bid would put Gill and the board under intense pressure to recommend that it is accepted, but it is understood that the revised plan will again include large levels of debts.
United’s supporters, many of whom have protested against the sale of the club, will continue to place their faith in Gill but, even if the latest bid proves acceptable to the board, the prospect of a takeover will remain far from clearcut. The fans will hope for support from the unlikely source of John Magnier and J. P. McManus, whose Cubic Expression Company owns a 28.9 per cent stake. The intentions of the pair are unclear, but it may take more than the rumbling takeover battle at Old Trafford to distract the Irish horseracing magnates from the Cheltenham Festival, which starts on Tuesday.