As reported by a person who is familiar with the situation, Jim Ratcliffe, the chief executive of Ineos, is considering investing $300 million in the Manchester United’s (MANU.N) infrastructure on top of his $1.5 billion plus bid to purchase a 25% share in the soccer team.
The source stated that the billionaire will personally fund the investment, which is meant to update the club’s aging infrastructure, and won’t increase the Premier League team’s current debt.
Following Sky News’ initial report on the story, United’s shares increased 4% to $18.85.
An attempt to reach Ratcliffe for comment was met with no response at all. When Reuters asked Manchester United for comment, the team declined.
In October, Reuters revealed that Ratcliffe’s offer to buy a 25% share in United, if approved by the family of Glazer that owns the famous soccer team, would set him back more than $1.5 billion.
Although the Glazers and Ratcliffe have not yet finalized a deal, the source stated that one is anticipated to be done in the upcoming weeks.
The alternative bidders for the club, Sheikh Jassim is the bin Hamad al Thani of Qatar, informed the family of the Glazers just recently that he had decided to withdraw from the bidding process and would not be increasing his $6 billion offer. This information has already been reported by Reuters.
Ratcliffe established Ineos Corporation in 1998 and holds a two-thirds ownership in the chemical company. He serves as chairman and CEO.
The wealthy British is not new to the sports industry. Nice, a Ligue 1 team in France, FC Lausanne-Sport, a team in the Swiss Super League, and Racing Club Abidjan, an Ivory Coast-based Ligue One team are all owned by Ineos. Additionally, the Grenadiers, regarded as one of the most renowned cycling teams in the world, are powered by it.
Globally, United, the record 20-time British champions, have over 650 million supporters, according to marketing research firm Kantar.
However, a sizable portion of them have been demanding a transfer to new owners because the Glazers had been responsible for a notable decline in the team’s success.
Under Erik ten Hag, Manchester won the League Cup the previous season, but their Premier League performance was in third place, 14 points behind their local rivals and triple winners Manchester City.