'Two of the City figures who led an attempt to prise Manchester United from the Glazer family's control a decade ago have urged them to loosen their grip in the wake of this week’s European Super League debacle.
Sky News can reveal that Lord O'Neill - the architect of the Red Knights campaign in 2010 - and the hedge fund manager Sir Paul Marshall have written to Joel Glazer, the Manchester United co-chairman, to demand a string of immediate corporate governance reforms.
In the letter, which was sent on Friday morning and has been seen by Sky News, the pair told Mr Glazer that his family should scrap the New York-listed club's dual-class share structure and introduce a single class of voting stock.
The Glazers should also, according to the letter, commit to reducing their combined stake from the current level - which stands at roughly 75% - to a maximum of 49.9%.
These moves would, Lord O'Neill and Sir Paul argue, "encourage a broader group of investors to consider ownership in the club in the future if they have the same voting rights as everyone else, especially you and your five siblings".
They added that the family should reduce its stake to below 50% by selling down part of their shareholding at the original $14 IPO price "as a gesture of your desire to do things right".
In 2012, the Glazers floated Manchester United on the New York Stock Exchange for $14-a-share, raising just over $230m (£165m).
Since Sir Alex Ferguson's retirement as manager in 2013, the side has failed to win another Premier League title, and won only three trophies in the period since.
Qualification for UEFA's Champions League remains a critical driver of financial success for top European clubs, with Manchester United currently almost guaranteed to secure a place in next season's competition.
Although members of the Glazer family have sold chunks of equity at various points since the initial public offering, they retain an iron grip on Old Trafford by virtue of their dual-class stock.
On Thursday, the shares closed in New York at $16.31, giving the club a market value of $2.7bn (£1.9bn).
In their letter to Mr Glazer, they requested that the Glazers create a new supervisory board on which Manchester United fans would have overall voting control.
This board would have powers including a veto on "join[ing] any new league or competition, changes in ticket prices, and an annual commitment of £10m-per-year to Manchester-based charities".'
https://news.sky.com/story/red-knights-demand-glazers-loosen-manchester-united-grip-after-super-league-row-12284461
Red Knights back in the picture?
posted on 26/4/21
The Spotify bloke is teaming up with Henry, Bergkamp and Vieira to launch a takeover bid for Arsenal.
That will be music to the ears of Arsenal fans.
posted on 26/4/21
Also LOL at the Glazers citing the club's heritage as a USP when they've spent their entire tenure doing their very best to dismantle that heritage in various ways.
The cuuuuuuunts.
posted on 26/4/21
comment by Red Russian (U4715)
posted 18 minutes ago
The letter will do nothing on its own, but there are no silver bullets in situations like this. If there is a combination of sustained pressure from supporters and increased risk of shifts in regulation that kerb the freedoms of owners to extract wealth from clubs, then this kind of message from the financial community might just be heard in a different context. I'm not massively optimistic but every little push in the right direction is welcome.
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Exactly. It's about riding the wave now and hopefully doing what we can to keep the momentum up.
Pressure, pressure, pressure from all corners.
posted on 26/4/21
comment by rosso - time to #takefootballback #GlazersOut (U17054)
posted 2 minutes ago
Also LOL at the Glazers citing the club's heritage as a USP when they've spent their entire tenure doing their very best to dismantle that heritage in various ways.
The cuuuuuuunts.
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That bit made me grimace
posted on 26/4/21
Jim O'Neill was on the United We Stand podcast yesterday. Listening now.
posted on 26/4/21
Their ESL plans would have probably doubled the value of United up to around £4B which I suspect has always been the Glazers Exit strategy. They would have then realised United at their asking price soon afterwards. But now the ESL is dead (for now) the Glazers will have to be content with continuing on as parasite owners of their United cash cow, as before.
This is why I am convinced that the ESL project isn't actually dead, but just on hold, whilst these tw@ts concoct a revised proposal to chuck in our faces in the not too distant future.
posted on 26/4/21
We are the knights who say O'Neil O'Neill O'Neil
posted on 26/4/21
comment by RB&W - Always a Legacy (U21434)
posted 2 hours, 33 minutes ago
Their ESL plans would have probably doubled the value of United up to around £4B which I suspect has always been the Glazers Exit strategy. They would have then realised United at their asking price soon afterwards. But now the ESL is dead (for now) the Glazers will have to be content with continuing on as parasite owners of their United cash cow, as before.
This is why I am convinced that the ESL project isn't actually dead, but just on hold, whilst these tw@ts concoct a revised proposal to chuck in our faces in the not too distant future.
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They'll keep periodically shedding Class A shares (in the process converting them to Class B) whilst continuing to milk the club for dividends.
I don't think they're very interested in finding a buyer. Avram Glazer put about £70m of his shares up for public sale last month, representing about a 3% share in the club. By doing so, he relinquishes absolutely none of the family's control of the club, as the shares the new shareholders inherit will have next to no voting rights.
They can keep doing that - a few million shares here and there raking in tens of millions at a time.
Theoretically, the ownership model would allow them to move to a minority stakeholding position whilst still retaining control of the club.
posted on 26/4/21
Interesting to see that the Italian Football Federation have, just this afternoon, added a new rule that forbids any breakaway club from playing in Serie A.
So, certainly no Italian clubs involved in any future ESL proposal.
It's a start.
posted on 27/4/21
These clowns are at it again. Last time they significantly undervalued the club.
Not sure why anyone takes them seriously.