Qatar’s Sheikh Jassim bin Hamad al Thani has informed the Glazer family that controls Manchester United Plc that he will not improve on his bid to acquire the iconic soccer club for more than $6 billion, people familiar with the matter said.
The move leaves the remaining bidder for Manchester United, Ineos chairman Jim Ratcliffe, in a stronger position.
He has offered to buy only a 25% stake in the club, allowing some of the Glazers to cash out, and it remains unclear whether he will clinch an agreement.
The exact value that Ratcliffe’s bid infers on Manchester United could not be learned, but the sources said it was higher than Jassim’s offer of more than $6 billion.
Manchester United is currently valued by the stock market at $3.3 billion.
Jassim, who had also promised to invest more than $1.7 billion in Manchester United after he acquired it, still wants a deal but has informed the Glazer family that there is no point in remaining in the bidding process following nine months of unsuccessful negotiations, the sources said.
Jassim would not have used any debt to acquire Manchester United and his bid would have paid down the club’s existing debt pile, which net of cash totals more than $600 million, the sources added.
The sources asked not to be identified because the matter is confidential. Representatives for Jassim declined to comment while Manchester United and Ratcliffe representatives did not immediately respond to a request for comment.
Sky News reported earlier on Saturday that Jassim was withdrawing from the bidding process.
