Liverpool owner Henry rules out sale of the club, but Man United still on the market

Manchester United executives David Gill (left), Joel Glazer (third left) and Avram Glazer (fourth left) and Ed Woodward prepare to ring the Opening Bell at the New York Stock Exchange on 10 August 2012 in New York City. (Photo: Ben Hider / Getty Images via NYSE Euronext)

By Aadi Nair and Anirban Sen

21 Feb 2023

In uncertain economic times two of world soccer’s biggest clubs, Manchester United and Liverpool, remain sought-after properties.

Liverpool’s American owner, John Henry, has said there are no plans to sell the Premier League club after the Merseyside outfit’s owners said in November they were exploring a sale.

Fenway Sports Group (FSG), which completed a £300-million ($358-million) takeover of the club in 2010, said three months ago that it would explore the option of bringing in investors if it was in Liverpool’s “best interest”.

After FSG’s initial statement, Liverpool chairperson Tom Werner said there was no urgency to complete any potential deal.

Henry was quoted by the Boston Sports Journal in an interview on 19 February: “I know there has been a lot of conversation and quotes about Liverpool, but I keep to the facts: we merely formalised an ongoing process.

“Will we be in England forever? No. Are we selling Liverpool? No. Are we talking with investors about Liverpool? Yes. Will something happen there? I believe so, but it won’t be a sale. Have we sold anything in the past 20 plus years?”

Liverpool’s rivals, Manchester United, owned by the American Glazer family, are also exploring a sale, with confirmed bids from British billionaire Jim Ratcliffe’s INEOS and Sheikh Jassim Bin Hamad Al Thani, a son of Qatar’s former prime minister.

Formal bids

Sheikh Jassim officially launched a bid to buy Manchester United on 17 February.

A deal for United is expected to shatter records for the sale of a sports business. The club’s current majority owners, the Glazer family, are seeking a valuation as high as £7-billion ($8.42-billion), Reuters has previously reported.

The record 20-time English champions have more than 650 million fans worldwide, according to market research firm Kantar.

Sheikh Jassim is the son of Sheikh Hamad bin Jassim bin Jaber Al Thani, one of the richest men in the Gulf state.

“The bid will be completely debt free via Sheikh Jassim’s Nine Two Foundation, which will look to invest in the football teams, the training centre, the stadium and wider infrastructure,” said a spokesperson representing Sheikh Jassim, who is the chairperson of QIB, one of the top banks in Qatar.

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However, Qatari state investors, who own a stake in French champions Paris Saint-Germain, could face challenges structuring a takeover of Manchester United, since rules forbid two clubs with the same owner taking part in the lucrative Champions League.

Sheikh Hamad is the owner of PSG and it is unclear how the Qatari bid will be structured.

Liverpool chairperson Tom Werner said there was no urgency to complete any potential deal. (Photo: Billie Weiss / Boston Red Sox / Getty Images)

Suitors have been asked to submit a bid amount and proof of funds after which Raine Group, the investment bank running the sale process, will draw up a shortlist.

Number of offers

The Qatari bid is one of a number of offers United have already received, according to sources.

British billionaire Ratcliffe, a lifelong United fan and founder of chemicals firm INEOS, also put in a bid, along with US private equity firms, sources told Reuters.

Ratcliffe has previously openly expressed an interest in buying the Old Trafford club.

On 16 February, the Daily Telegraph reported that Saudi Arabia too had submitted a bid for United.

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A deal for Manchester United is likely to exceed the biggest sports deal so far, which was the $5.2-billion – including debt and investments – paid for their London-based Premier League rivals Chelsea, sources told Reuters previously.

United are the fourth-richest soccer club in the world, according to an analysis by Deloitte. They are widely seen as one of the most prized assets in all of sport.

The Glazers bought United for £790-million in 2005 as part of a highly leveraged deal. The club has said it expects to generate up to £610-million in revenues in its 2023 fiscal year, and adjusted earnings before interest, tax, depreciation and amortisation of up to £140-million.

United’s Premier League rivals Tottenham Hotspur are expected to receive a bid worth $3.75-billion from Iranian-American billionaire Jahm Najafi.

‘Support progress’

Any new owner of Manchester United must commit to continuing the Premier League club’s progress on the field and respect the rights of LGBTQ+ fans, the Manchester United Supporters Trust (MUST) stated.

United fans have been clamouring for a change of ownership and the Glazers have been criticised as the team have not won a major trophy since 2017.

Under new manager Erik ten Hag, however, they have improved and are third in the Premier League table. They have also reached the League Cup final, where they will face Newcastle United on 26 February.

United’s women’s team, founded in 2018, are top of the Women’s Super League standings.

“Everyone can see the progress the (men’s and women’s) teams are making,” MUST said. “It is clear that enormous strides are being taken. Any prospective bidder needs to explicitly commit to continuing this progress and backing plans to restore Manchester United to glory.

“We urge all bidders to open a dialogue with fans groups alongside the bidding process with the club, in order to discuss their proposals including the above issues.”

In December, MUST published an open letter laying out 12 demands for prospective owners.

They reiterated their demands on Sunday, before pointing out specific concerns over bids from Ratcliffe’s company INEOS and Sheikh Jassim.

INEOS bought French Ligue 1 club Nice in 2019, while French champions Paris St Germain are owned by Qatar Sports Investments.

European soccer governing body Uefa’s rules forbid two clubs with the same owner both taking part in the lucrative European Champions League.

“There are questions about sporting integrity, given the exceptionally close links between some bidders and the owners of other European clubs including Paris St Germain and Nice,” MUST said.

Read in Daily Maverick: “Liverpool FC owners weigh sale of historic UK football club”

The Daily Telegraph reported that Saudi Arabia has also submitted a bid. Homosexuality is illegal in both Saudi Arabia and Qatar.

Rainbow Devils, a Manchester United LGBTQ+ supporters group, this week expressed “deep concern over some of the bids that are being made”.

“We also note the importance that any owner respects the rights of all people, particularly women and the LGBTQ+ community,” MUST said.

“Concerns have been raised by other fans groups which we fully support.”

Sky Sports reported on Sunday that chemicals producer INEOS, which confirmed a bid for “majority ownership”, had bid for 69% ownership of United – which is what the Glazer family currently has. Reuters/DM

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Formal bids

Number of offers

‘Support progress’