United plans $1 billion Far East flotation – reports

Manchester United’s mooted partial stock market flotation in the Far East is targeted towards the club’s huge Asian fan base, according to a financial expert.

Owners of the Barclays Premier League champion, the Glazer family, are planning to reduce their stake in the club, according to widespread reports on Tuesday. It is believed that an initial public offering (IPO) could raise US$1 billion for a 25% to 30% stake in the club with the flotation viewed as a method to reduce United’s sizeable debt, which has been a continual source of concern for its fans.

Although United has refused to comment on the reports it is believed a listing on either the Singapore or larger Hong Kong Stock Exchange could be approved by the end of the year. The Florida-based Glazer family acquired United for £790 million in 2005 in an agreement that saw the club de-listed from the London Stock Exchange. While the Glazers reportedly plan to remain in control at Old Trafford, a partial flotation would reduce the club’s debt, which exceeds £500 million.

 

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