in

REPORTS; Manchester United ready to strike £200m deal as Glazer funding plan emerges

 

ADVERTISEMENT

The Glazers are far more likely to take out a loan than sell a share of future TV revenue to fund stadium expansion at Man United.

 

ADVERTISEMENT

That is the view of finance guru Kieran Maguire, speaking exclusively to Football Insider about the Red Devils’ plans to boost capacity at Old Trafford.

 

ADS

The Times reported last Friday (19 August) that the Glazers are set to be offered a lump sum in exchange for a portion of future media income to fund the project.

As relayed by Sports Pro on Monday (22 August), United want to add 15,000 seats at a cost of around £200million.

The club has since responded to The Times article, claiming that no such funding plan is in place.

 

And Maguire suggests that the Glazers will instead pursue more traditional funding methods for the expansion.

ADVERTISEMENT

 

“I think one thing we do know based on their track record is that any funding for the stadium expansion won’t be coming from the Glazers themselves,” he told Football Insider’s Adam Williams.

 

“Therefore, looking for alternate sources makes sense. My personal view is that United are considered to be a very good credit risk. Therefore, they will be able to borrow at low rates.

 

 

“If you extrapolate the growth that can come through alternative forms of broadcasting, it’s exponential. To give 10 to 15 per cent of that away to somebody else for a zero-risk project doesn’t make a whole lot of sense.

“So, I think the club would be smarter to pursue traditional funding methods where the lender gets a fixed return.
APPLY NOW:  Why Bayern Munich may be making a wrong decision with the signing of Sadio Mane
ADVERTISEMENT

Leave a Reply

Your email address will not be published.