Manchester United expect record revenues casting doubts on whether Glazers will sell club

UK billionaire Jim Ratcliffe and Sheikh Jassim Al Thani are still waiting for update after protracted bidding process

Manchester United fans protest against club owners the Glazer family at Old Trafford on June 27, 2023. Reuters

Manchester United has predicted record annual revenue for the recent season, raising doubts about whether the Glazer family will sell the club.

The Premier League outfit has been courted by UK billionaire Jim Ratcliffe and Sheikh Jassim Al Thani, after a protracted bidding process that began in November.

Man United is expecting revenue to reach between £630 million and £640 million for its fiscal year 2023, according to a statement Tuesday for its third quarter results to the end of March. Previous guidance was between £590 million to £610 million.

The team finished the season in third place, securing a lucrative return to the Uefa Champions League. United also won the League Cup and reached the final of the FA Cup before losing to crosstown rivals Manchester City.

The record revenue could make the Glazers less keen to pursue a total exit from the club. Sheikh Jassim – who is bidding for the entire shareholding of the club, has made it clear that he will not make any further bids after submitting a fifth takeover earlier this month.

Sheikh Jassim’s main rival for control of the team is Ineos head Ratcliffe, who has bid on majority control of the shares. Manchester United has also received offers for minority stakes from investors including Carlyle Group Inc., Elliott Investment Management, and Sixth Street Partners.

The late Malcolm Glazer bought Manchester United in a 2005 leveraged buyout that saddled it with massive debts, and the family has faced distrust from supporters ever since.

While this was mitigated in the early years of their ownership as the team continued to win trophies under storied manager Alex Ferguson, resentment has grown steadily after the coach’s retirement in 2013.

The team’s non-current borrowings were $650 million as of March 31. United have funds available to buy new players from a £300 million revolving credit facility, a spokesman said.

Revenues were up 11 per cent at £170 million for the latest three months, reflecting stronger match-day revenue. Ticket sales surpassed the previous record set in 2016/17 with a cumulative 2.4 million tickets sold.

Despite the forecast of higher revenue for 2023, United posted a loss for the nine months to March 31 of £30.79 million, which is down from £57.8 million in the comparable period last year. The team’s operating expenses are £507.96 million, including finance costs.