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Both takeover bids for Manchester United have passed the first stage and the Glazers have given bidders Sir Jim Ratcliffe and Sheikh Jassim bin Hamad Al Thani the green light to start more serious negotiations.
According to Telegraph Sport, both bidders have been informed that the sale is a three-step process and they will enter the second stage.
So far, the Glazers have not shared detailed financial information despite the fact that more than fifteen days have passed since the presentation of their indicative offers.
United sale reaches Round 2
As it is, the bids submitted by the two bidders are considerably less than what the greedy American family is aiming for.
But recent reports have indicated that a compromise could be reached between the two prices with Americans expecting £6m while offers are likely to be less than £5m.
Potential new owners are contemplating financing a new stadium and training ground, or renovating both.
There is also the need to prepare a summer transfer budget to help Erik ten Hag continue to improve the team with the same momentum. All of this could add up to between £1bn and £2bn.
????????????| NEW: The sale is a three-stage process and the top contenders have been told they have entered the second stage now. [@TeleFootball]
— central devils. (@centredevils) March 4, 2023
On top of this, the Glazers plan to keep the debt for the new owners to handle. The report mentioned that United’s gross debt, according to its latest accounts, stands at £680 million.
The Telegraph report also detailed how both sides are approaching the offer.
“Sheikh Jassim is offering to buy out the entire minority shareholders of Glazers and United, pay off the club’s debts and invest in a new stadium, training ground and playing equipment.
“Ratcliffe, who is being advised by Goldman Sachs and JPMorgan, does not plan to saddle the club with any new debt and hopes its local ties could prove significant.”
April the new goal
There is also the possibility that the Glazers will stay with the help of an investment partner.
US hedge funds Elliott Management and financial firms Oaktree Capital and MSD Partners have submitted proposals that include offering financing to potential suitors.
The Glazers have asked the Raine group and all brokers associated with the deal to be finalized by the end of April.
Recent reports had indicated that the first series of face-to-face meetings between the bidders and the club could take place within the next two weeks.
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