Billionaire James Ratcliffe Buys $1.3B Stake in Manchester United

Billionaire James Ratcliffe has made a significant investment in Manchester United, purchasing a 25% stake in the Premier League team for a whopping $1.3 billion. This deal follows the withdrawal of a $6 billion bid for the club by Qatari official Sheikh Jassim bin Hamad Al Thani. Ratcliffe acquired 25% of United’s Class B and Class A shares, with the club’s publicly traded stock closing down slightly at $17.50 on Tuesday.

In addition to the stake purchase, Ratcliffe has committed to investing an additional $300 million into the club, earmarked for infrastructure improvements at their stadium, Old Trafford. Ratcliffe expressed optimism about the future of Manchester United, stating that this investment marks the beginning of the club’s resurgence to the top of English, European, and world football. Manchester United has faced a period of competitive decline after enjoying dominance in various competitions from the 1990s to the early 2010s.

The purchase of Ratcliffe’s minority share had been rumored for some time, particularly following Sheikh Jassim’s withdrawal of the $6 billion bid. Manchester United’s American owners had reportedly valued the club at over $7 billion, which Sheikh Jassim found too high. Ratcliffe, with a net worth of $21.1 billion, largely from his founding and majority ownership of petrochemical manufacturer Ineos Group, is now a significant player in the club’s ownership landscape.

The news of Ratcliffe’s investment comes alongside other recent stake acquisitions in Manchester United. Billionaire former hedge fund manager Leon Cooperman purchased over 900,000 shares in the club late last year, valued at nearly $17.5 million. Psquared Asset Management AG, Antara Capital, and Eminence Capital have also acquired stakes valued between $17 million and $30 million since takeover speculation of Manchester United began in 2022.

Manchester United, valued at $6 billion by Forbes, saw bids from only two parties before its April 28 deadline last year: Sheikh Jassim and Ratcliffe’s Ineos Group. The club remains majority owned and controlled by the Glazer family, who also own the Tampa Bay Buccaneers and have an estimated net worth of $10 billion. Despite being one of the most successful clubs in Premier League history, Manchester United has not won a league trophy since the 2012 season. This has led to fan outrage, with supporters accusing the Glazer family of prioritizing their financial interests over the team’s performance.

In conclusion, Ratcliffe’s investment in Manchester United signifies a new chapter for the historic club. With his substantial financial backing and commitment to infrastructure improvements, there is renewed hope among fans for a return to glory on the field. However, the club’s ownership dynamics and fan discontent remain significant factors that will shape its future trajectory.