• Premier League

Red Knights close to United bid

Soccernet staff
April 14, 2010
The Red Knights want to take control of United from the Glazers © Getty Images
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The Red Knights consortium has convened to finalise plans to launch a takeover of Manchester United and are hopeful terms of an offer will be ready this week.

However, the group of wealthy United fans, which includes Goldman Sachs chief economist Jim O'Neill, a former United director, and Mark Rawlinson, a partner at leading London law firm Freshfields, do not expect to make a formal bid for the club before the end of the season.

Wednesday's talks were held to confirm exactly where the money will come from to fund a bid and to determine the level of fan involvement in the proposed ownership structure.

A key discussion was also to focus on the £509 million bond taken out by the Glazer family, who currently own United - it is likely any takeover bid would have to entail retaining the bond.

Investment bank Nomura have been advising both the Red Knights and the Manchester United Supporters' Trust (MUST), who have been broadly backing the takeover bid.

A source close to the talks said: "We are now developing the financial model before making a bid. This is very much getting into the details of funding and future ownership."

The Glazers bought United for £800 million in 2005 but loaded debt on to the club - the total debt now tops £700 million.

© ESPN Sports Media Ltd.
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