The owners of Manchester United are hoping to sell the club for an astronomical price of between £6bn and £7bn.
This is according to The Athletic’s Laurie Whitwell, who reports that United’s exclusive financial adviser, the Raine Group, an investment banking firm, is aiming to get the highest possible fee from the Glazers as they prepare to part ways with United.
The Athletic reports: “Raine is targeting a full sale in the first quarter of 2023 at a price between £6bn and £7bn.
“Whether that money and timetable can be achieved, only time will tell, and there are people in the City of London who believe that such an assessment far exceeds reality.”
“They [Raine Group] they want to amplify optimism to increase the amount of cash bidders are willing to pay. They have privately communicated that many parties have registered an interest. Negotiations are meant to start with a large number.”
Whitwell insists that while the Raine Group led by Raine’s co-founder and partner Joe Ravitch has a deadline, they insist they won’t be in a rush like they were during the Chelsea talks.
The investment bank spearheaded the sale of Chelsea and the sale of United is expected to follow a plan similar to that of the London club.
The problem with this is that potential bidders can hang in there and wait for United’s already dire financial situation to collapse further before making their move; this would have the effect of strengthening the bidder’s position during the negotiations.
Athletic stipulates that a potential buyer of the Red Devils that has been considered is Amazon. Amazon already has a level of involvement in European soccer. They have a manga sponsorship with Napoli and have the authority to broadcast some Premier League games.
Another suitor is British billionaire Sir Jim Ratcliffe, who Whitwell says may have made a bid for United in the summer that was turned down by the Glazer brothers.
Athletic confirms that the reports of interest from Apple and the Ortega family, owner of Zara, were wrong.
Despite the great interest, serious talks have yet to start, mainly due to the ridiculous valuation of the Glazer family. The Raine Group is also believed to be desperate to keep genuine bidders out of public discourse.
