Qatari banker Sheikh Jassim Bin Hamad Al Thani has decided to withdraw his bid to purchase Manchester United.
According to AFP, this announcement comes after nearly a year of speculation and negotiations about the potential sale of the iconic football club.
The possibility of a full sale of Manchester United was initially disclosed by the club around a year ago when they began exploring “strategic alternatives to enhance the club’s growth.” Sheikh Jassim and British billionaire Jim Ratcliffe were at the forefront of the bidding process earlier this year.
However, despite the frustration of supporters towards the current owners, the Glazer family, the sale process had stalled in recent months.
It is now being reported that Jim Ratcliffe is poised to secure a 25 percent stake in Manchester United for approximately £1.5 billion ($1.7 billion).
The Glazers have owned the club since a leveraged takeover in 2005, which came at a cost of £790 million and left the club burdened with substantial debt.
As of March, the club’s debt had ballooned to £970 million.
Sheikh Jassim’s bid had been for complete ownership of Manchester United and included a promise to clear the club’s outstanding borrowings.
However, despite an improved bid believed to be around £5 billion, further negotiations this week broke down.
In contrast, Ratcliffe appears willing to purchase a smaller stake in the club to break the impasse over the Glazers’ £6 billion asking price.
Jim Ratcliffe, the founder of petrochemicals giant Ineos, is a lifelong Manchester United fan and already boasts a portfolio of sports investments, including ownership of French club Nice and Swiss side Lausanne-Sport, as well as the leading cycling team Ineos Grenadiers and sponsorship of the Mercedes Formula One team.
While Manchester United’s commercial success has continued, the club’s on-field performance has seen a decline during the Glazers’ tenure.
The Red Devils haven’t claimed a Premier League title since 2013, and their last Champions League victory was in 2008.
Currently, they sit in 10th place in the Premier League and have lost their first two matches in the Champions League group stage for the first time in the club’s history.
Fans have expressed frustration over a perceived lack of investment in the club’s infrastructure over the past two decades. Old Trafford, the club’s historic stadium, requires significant redevelopment to keep pace with modern facilities offered by rival clubs.
It’s noteworthy that Old Trafford was not chosen for the UK and Ireland’s successful bid to host Euro 2028, with Manchester City’s Etihad Stadium selected instead.
The bid by Sheikh Jassim included a promise of $1.7 billion to finance new stadium and training center plans, along with investments in the transfer market for players.
However, concerns were raised about the potential for increased state influence in the Premier League if the deal with Sheikh Jassim had gone through, given his background as the son of a former Qatari prime minister.
This concern is linked to the precedent set by reigning Premier League champions Manchester City, whose fortunes dramatically improved after a takeover by Sheikh Mansour, a member of Abu Dhabi’s ruling family, in 2008.
In 2021, the Saudi sovereign wealth fund also acquired a controlling stake in Newcastle United. Amnesty International has called for the Premier League to strengthen ownership rules to ensure that they are not exploited for what is known as “sportswashing.”
