The battle to buy Manchester United heated up on Wednesday as Qatari banker Sheikh Jassim Bin Hamad Al Thani and British billionaire Jim Ratcliffe prepared to raise their bids for the 20-time English champions.
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Both sides are expected to increase their initial bids after the 2100 GMT submission deadline was extended by Raine’s merchant bank, which is helping to sell the club, following confusion over the timing, the BBC reported.
Sky Sports also reported that Sheikh Jassim and Ratcliffe have been given extensions to submit new deals.
A new deadline for the bid is not yet clear, according to the BBC.
United’s owners, the Glazer family, reportedly set a world record £6 billion ($7.3 billion) for a sports club.
Sheikh Jassim’s bid for 100 percent control of the club promises to wipe out United’s $620 million debt and invest in a new stadium and training ground, in addition to supporting the men’s and women’s teams.
A source close to Sheikh Jassim’s offer told AFP that he believed the offer was “the best for the club, the fans and the local community.”
The founder of chemical company INEOS Ratcliffe, a childhood United fan, has been more cautious in his assessment, insisting he will not pay a “stupid” price in a bidding war for one of football’s best clubs.
“How do you determine the price of a painting? How do you determine the price of a home? It has nothing to do with the cost to build or the cost to paint,” Ratcliffe told the Wall Street Journal this week.
“What you don’t want to do is pay a stupid price because you’ll regret it.”
Ratcliffe, who wants the 69 per cent stake owned by the Glazer family, said his interest in United would be “purely to win”, calling the club a “community asset”.
Unpopular with supporters since piling on debt at the club in a £790m leveraged takeover in 2005, the Glazers appear poised to cash in on a big profit when they invite external investment in November.
However, he could still reject the option to sell his controlling stake in the club, with other parties interested in a minority stake.
Initial offers from the first round of bidding last month are believed to be worth around £4.5 billion.
It will surpass the Premier League record £2.5 billion paid for Chelsea last year by a consortium led by LA Dodgers co-owner Todd Boehly and private equity firm Clearlake Capital, with an additional £1.75 billion promised in investment in infrastructure and players. .
Bidders are expected to hear from United next week, with another round of bidding still underway.
If one bid is ahead of the others, it may be selected to enter into an exclusivity period, which will allow further negotiations before the final sale.
– Qatar looks at Premier League status –
Ratcliffe visited Old Trafford last Friday alongside INEOS representatives, a day after a delegation from Sheikh Jassim’s group visited the club’s stadium and training ground to hold further discussions as part of due diligence.
Just months after hosting the 2022 World Cup, Qatar’s successful bid will give the Gulf nation pride of place in the Premier League – the world’s most watched domestic competition.
But it will also be controversial.
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Sheikh Jassim is the son of former Qatari prime minister Sheikh Hamad bin Jassim bin Jaber Al Thani, and his close ties to the gulf nation’s ruling elite will raise questions about another Premier League club becoming a state-backed project.
Premier League champions Manchester City’s fortunes have changed since the 2008 takeover by Sheikh Mansour, a member of Abu Dhabi’s ruling family.
In 2021, the Saudi sovereign wealth fund bought a controlling stake in Newcastle.
Amnesty International has called on the Premier League to tighten its ownership rules to ensure it “does not become an opportunity to launder the sport.”
United, three-time European champions, have not won the Premier League since legendary boss Alex Ferguson led them to their 20th English title last season before retiring in 2013.
But they enjoyed a renaissance under the management of Erik ten Hag this season and ended a six-year trophy drought by lifting the League Cup last month.