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Manchester United Ownership: From Glazer to Glazer

08 Oct

The Manchester United Football Club has seen it all – ownership changes, bankruptcy, name changes, peak, and downfall. The club has always passed the test of time and is today among the richest, most loved, and prestigious football clubs.

The MU club entered the stock market in 1990s. At that time there was a major power struggle between the manager, Alex Furgeson, and his horse-racing partners, J.P. McManus and John Magnier, who had become the club’s major stock holders.

The situation required directors to intervene and approach more investors so that MacManus and Magnier’s share could be reduced. This is when the Glazer family, which still owns the club, came into the picture.

Avram Glazer was looking for investment in the UK at that time period. He looked at MU as a good option and purchased the family’s first tranche of MU on 2 March, 2003 for around £9 million on a 2.9% stake.

Glazer family took more interest in the club as it saw a lot of potential in it. It slowly started increasing its investment by buying more shares. Glazer’s shares finally reached 3.17%, which required an immediate action from the board as the club was already facing the danger of a takeover.

However, Glazer continued to buy more shares clearing his intention. By December of the same year, he owned around 15% shares of the club. He also met the club’s chief executive, David Gill, to discuss his intention with him. Things started to get clearer when rumors of Glazer interrogating about a possible takeover became public.

By October 2004, he owned 30% shares, a threshold that required him to formally announce a takeover bid. Glazer continued to take interest in the club by buying shares from other major share holders, such as McManus and Magnier.

2005 saw a major change as Glazer successfully got 75% shares, allowing him to delist the club from the London Stock Exchange. Glazer continued to buy more shares reaching a 98% that gave him the ownership status and full control over the club. This also caused a compulsory buyout of all the remaining shares, making Glazer the only owner of the club.

Following the takeover, the club continued to thrive. Glazer continued to work hard and lead the club to the path of success. After this phase, the club won some major competitions and also signed a lucrative sponsorship deal with AIG.

As everything improved, so did the ticket sales. Manchester United FC tickets started selling like hot cakes resulting in a huge increase in the club’s revenue. Glazer family’s other members, Kevin, Edward, and Darcie also got appointed as non-executive directors in 2006, making it clear that the Glazer family had full control over the club.

However, regarding ownership, there was also a major issue of the loan that the Glazer family had taken to finance the club. The loan that was taken against the club’s assets was divided between the club and the family. In 2011, there were rumors of the family having to sell its share to payback a PIK loan, as the official statement announced that none of the club’s assets were used to do so.

All the changes resulted in several hate clubs too with “Love United Hate Glazer” becoming a famous slogan of fans who loved the club, but wanted different owners to run it. Rumors are that a club called “Red Knights” is planning to overtake the club by pooling in billions of dollars from the supporters. People are waiting breathlessly to see what the future holds for MU, which without a doubt is a hot club.

Nevertheless, those who wish to enjoy their time watching their favorite players bring their best can still buy tickets from http://www.onlineticketexpress.com/sports/football/manchester-united-tickets.

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