The Official Man Utd Thread - Part 3.

[Monty Burns]

The horsey boys final two fingers to Ferguson. As if they didn’t know the Glazers form.

The fear liverpool and United fans will have now is who will hold the veto on any potential sale.

If say a Jim Radcliffe type offers £4.5bn with no debt loading or another leveraged yank hedge fund offers £4.5bn+£1 will the current owners do what’s best for the club or what’s best for their pockets?

Also it cant go unmentioned that two major events in the last 48 hours involving United’s main rivals hasn’t forced the Glazers into re-evaluating their position.

Pep signing a 2 year contract extension at City, and even more worrying for Utd, Curtis Jones signing an extension at Liverpool surely had the Glazers throwing their arms up in despair.

I can't see any leveraged buy out getting the green light.

A United operation not crippled by debt should have the financial heft to be back challenging for major honours.

The Glazers reefing the club has had them competing with one hand behind their back.


City were never a real club , just a petro dollar plaything.

 

[Orchard thief]

I can't see any leveraged buy out getting the green light.

A United operation not crippled by debt should have the financial heft to be back challenging for major honours.

The Glazers reefing the club has had them competing with one hand behind their back.


City were never a real club , just a petro dollar plaything.

The problem with the bolded bit is it’s impossible to enforce after the club is sold.

If a vulture fund has the initial cash available to buy the club outtright there’s nothing to stop them re-mortgaging the club down the line to fund other ventures.

Say if you set up a company and put €300k of your own money into it. The company then owes you €300k.


Monty Ltd buys a house outtright for cash for €300k. The sellers of the home insist only cash buyers will be considered to ensure a quick sale.

So Monty Ltd now owns an asset worth €300k.

He can now borrow on the value of that property to buy more property.

So he buys another gaff for €300k, all borrowed.

The rental income from the initial house is used to pay Monty a living and also to finance the total repayments Monty owes to the banks.

Monty Ltd has assets worth €600k but owes Monty €300k and owes the bank €300k.

Tldr-

Just because its an initial cash offer doesn’t mean the club will be debt free going forward.

 

[Monty Burns]

The Cork Scousers creating fantasy disaster situations already.

Face it m8, we're back™

 

[Monty Burns]

https://twitter.com/x/status/1595324703144808449

Fenway got the Glazers out.

#YNWA

 

[Orchard thief]

Ronaldo is worth over £1/2bn.

Hopefully he will apply for the first time buyers grant and buy the club himself.

Viva Ronaldo FC

 

[Rebel CNC]

Fenway got the Glazers out.

#YNWA

I foresee long debates on Social Media along the lines of "Our sportswashing, murderous regime new owners are not as bad as your sportswashing, murderous regime new owners"!!

 

[Philby]

Loading a lot of debt on a football club (either as part of initial buy-out or by ramping up debt down the line) was easy when debt was cheap.

But in the current interest rate environment it's much tougher to do. As much as anything else, the rising cost of capital (at a time when Old Trafford needs a refit/replacement) will have contributed to the Glazers looking to call time on their outstanding stewardship.

A heavily leveraged buy-out now, when interest rates at 15 year high, for either club would be very surprising.

If the differential between the highest bidder and the most suitable long-term "custodian" of the club is sizeable, I wouldn't fancy either ownership group to do the right thing. Neither spend much time in either city as it is, and its pretty conceivable that neither would ever return afterwards regardless.

With both clubs on the market at the same time it's effectively like a turbo-charged transfer battle for the ages

Factoring in the required infrastructure at Utd, you'd think any potential bidder would need to factor in commiting upwards of what...£1bn extra to buy them vs Liverpool?

 

[Monty Burns]

Yeah but Liverpool is a shithole and its supporters are scum.

This will surely factor in the plans of any potential buyers.

 

[Philby]

Great to have you back Hank

 

[Stacky]

Loading a lot of debt on a football club (either as part of initial buy-out or by ramping up debt down the line) was easy when debt was cheap.

But in the current interest rate environment it's much tougher to do. As much as anything else, the rising cost of capital (at a time when Old Trafford needs a refit/replacement) will have contributed to the Glazers looking to call time on their outstanding stewardship.

A heavily leveraged buy-out now, when interest rates at 15 year high, for either club would be very surprising.

If the differential between the highest bidder and the most suitable long-term "custodian" of the club is sizeable, I wouldn't fancy either ownership group to do the right thing. Neither spend much time in either city as it is, and its pretty conceivable that neither would ever return afterwards regardless.

With both clubs on the market at the same time it's effectively like a turbo-charged transfer battle for the ages

Factoring in the required infrastructure at Utd, you'd think any potential bidder would need to factor in commiting upwards of what...£1bn extra to buy them vs Liverpool?

Manchester United being the bigger club and a bigger global brand is far more attractive than Liverpool.

The debt will be parked long term anyway and a few hundred million £££ investment in facilities etc will be nothing to any cash rich Middle East investor who is struggling to park all the $$$ from the recent rise in energy prices.

The British economy is focked anyway so it is a great time to come in and carpetbag and get things done for less.