UK Billionaire Jim Ratcliffe Acquires Up to 25% of Manchester United, Transforming EPL Club’s Future
British billionaire Jim Ratcliffe has secured a minority stake in Manchester United, a prominent Premier League football club. Ratcliffe, the owner of INEOS, a petrochemical giant, and one of Britain’s wealthiest individuals, has agreed to invest in up to 25% of the club, renowned for being 20-time league champions. This investment includes a $300 million commitment towards the refurbishment of Old Trafford stadium.
The agreement also entails Ratcliffe taking over the management of the club’s soccer operations. He is set to provide $200 million upon the completion of the deal and an additional $100 million by the end of 2024. The total value of this transaction is estimated to be around $1.6 billion, inclusive of the stadium funding. However, this deal is pending approval by the Premier League.
A native of Failsworth, Greater Manchester, Ratcliffe had initially aimed to acquire a majority share of approximately 69% owned by the Glazers, the American proprietors of the club. Expressing his pleasure, Ratcliffe, a lifelong supporter of Manchester United, highlighted his commitment to unlocking the club’s potential, which he believes has not been fully realized in recent times. He plans to leverage INEOS Sport’s global knowledge, expertise, and talent to foster improvements at Manchester United and ensure future investments in Old Trafford.
This transaction will be financed by Trawlers Limited, a company owned entirely by Ratcliffe, without incurring any debt. This approach contrasts with the leveraged buyout by the Glazers, which had been criticized by United fans for burdening the club with debt and perceived underinvestment.
The Glazer family, United’s executive co-chairmen and directors, welcomed Ratcliffe and INEOS, acknowledging their commercial experience and financial commitment. They expressed optimism about the club’s future, citing the potential improvements at all levels to bring more success to their fans.
The Glazers had announced their intention to seek new investment last November and had engaged the US merchant bank Raine to manage the process, which included the possibility of a complete sale. Ratcliffe had been competing with Qatari banker Sheikh Jassim bin Hamad Al Thani for the Glazers’ shares, owners of the NFL’s Tampa Bay Buccaneers. However, Sheikh Jassim withdrew his bid in October, leaving Ratcliffe in a position to acquire the minority share.
Ratcliffe paid $33 per share for his stake in Manchester United, marking a significant development in the club’s ownership and management structure.
