Jim Ratcliffe, the Chief Executive of Ineos, is reportedly considering a substantial investment of $300 million into the infrastructure of Manchester United (MANU.N), in addition to his already proposed offer to purchase a 25% stake in the renowned soccer club for over $1.5 billion.
This information comes from a reliable insider source.
It’s worth noting that Ratcliffe intends to personally finance this investment, and it will not contribute to the existing borrowings of the Premier League club, ensuring the financial stability of the team.
This development sent United’s shares soaring by 4% to reach $18.85, as initially reported by Sky News.
As of now, Jim Ratcliffe has not issued an immediate response to inquiries for comments, and Manchester United has also refrained from making any official statements in response to requests from Reuters.
Earlier in October, Reuters had already revealed Ratcliffe’s intention to acquire a 25% stake in Manchester United, with a proposed investment exceeding $1.5 billion.
This offer was contingent on the acceptance of the Glazer family, who currently controls the club.
Although no formal agreement has been reached yet, sources suggest that negotiations between Ratcliffe and the Glazers are progressing and could be finalized in the coming weeks.
In the midst of this development, Sheikh Jassim bin Hamad al Thani of Qatar, a rival bidder for the club, recently announced his decision not to further increase his bid of $6 billion, effectively withdrawing from the bidding process.
Jim Ratcliffe is no newcomer to the world of sports business. Ineos already owns French Ligue 1 club Nice, Swiss Super League side FC Lausanne-Sport, and has ties with Racing Club Abidjan in Ivory Coast Ligue One.
Additionally, Ineos is the driving force behind the Grenadiers, a highly successful cycling team.
Manchester United, a 20-time English champion, boasts a massive global fan base exceeding 650 million, according to market research firm Kantar.
However, many fans have expressed their desire for a change in ownership due to perceived mismanagement under the Glazer family’s control.
Despite winning the League Cup under Erik ten Hag last season, the team’s third-place finish in the Premier League, trailing 14 points behind local rivals Manchester City, underscores the need for a significant turnaround in the club’s fortunes.