English Premier League, FA ratify Jim Ratcliffe’s Manchester United stake

LONDON – British billionaire Jim Ratcliffe’s acquisition of a 25 per cent stake in Manchester United was ratified by the English Premier League on Feb 13 after he passed the organisation’s owners’ and directors’ test (OADT).

The US$1.25 billion (S$1.69 billion) deal, in which the Ineos chairman will also invest US$300 million into club infrastructure and take charge of the club’s football operations, was struck in December but still faced hurdles, including Premier League approval.

“Sir Jim Ratcliffe’s acquisition of 25 per cent of Manchester United, and further investment of $300 million in the club, has been approved by the Premier League board following the completion of the OADT,” a statement read.

“The board agreed to the change of the club’s ownership structure last week, and this has now been officially ratified by an independent oversight panel. The Premier League’s owners’ charter has also been signed.

“The Premier League now awaits confirmation of the transaction’s completion.”

The Football Association has also given the green light to the 71-year-old’s investment in United.

A US Securities and Exchange Commission statement revealed the FA’s approval “has already been obtained” as Ratcliffe edges closer to sealing his place in the Old Trafford boardroom.

His investment, which will give him control of football operations at the club, cannot be completed until the tender offer for Class A shares is finalised.

The period in which holders of Class A shares can tender them for sale has been extended from Feb 14 until 11.59pm on Feb 16.

Shares in the club rose eight per cent on the New York Stock Exchange, on course for their best one-day percentage gain since Aug 7.

Lifelong supporter Ratcliffe’s purchase ended more than a year of uncertainty after majority owners, the Glazer family, said in November 2022 they were looking at strategic options for investment into the club they took control of in 2005.

The Glazers have come under heavy criticism from fans who blame the Americans for a steady decline in the fortunes of the 20-time English league champions after a period of domination under manager Alex Ferguson, who retired in 2013. Many fans had hoped the Glazers would sell the club outright, although Ratcliffe’s investment has been welcomed.

In its statement, the Premier League said it was the first acquisition of control to be reviewed and approved by a new independent oversight panel following changes to the process which were agreed by Premier League clubs in March 2023.

The changes included a lowering of the control threshold requiring Premier League board approval from 30 per cent to 25 per cent.

Ratcliffe’s Ineos, one of the world’s largest petrochemical companies, has a large sporting portfolio. It also owns French Ligue 1 club Nice and Swiss Super League side Lausanne-Sport as well as top cycling outfit Ineos Grenadiers.

“We are here for the long term and recognise that a lot of challenges and hard work lie ahead,” Ratcliffe said in December.

“Our shared ambition is clear. We all want to see Manchester United back where we belong, at the very top of English, European and world football.”

Since then, he has conducted a series of meetings with club staff and associates. He has met leaders of the independent Manchester United Supporters Trust and spoken with local leaders.

He was at United’s home game against Tottenham Hotspur in January and also attended the Munich air disaster memorial last week.

United have shown signs of improvement under Dutch manager Erik ten Hag of late after suffering their worst start to a campaign since 1962. A

2-1 victory at Aston Villa

on Feb 11 left them sixth in the standings.

Apart from returning the club to the top of the English game, Ratcliffe is expected to upgrade the iconic Old Trafford stadium which is now showing its age. REUTERS, AFP