United takeover bid on ice

TAKEOVER talks between Manchester United and Malcolm Glazer have come to a halt after the club expressed concern about the high level of debt it would have to take on if the American won control.

The club said it had not received a firm offer from Mr Glazer, who owns 28.1% of its shares, but said from discussions with his advisers it understood he would have to borrow hundreds of millions to finance the bid.

“The board has decided to inform all shareholders that it would regard an offer which it believes to be overly leveraged as not being in the best interests of the company,” it said in a statement to the stock exchange yesterday. Though a wealthy businessman, Mr Glazer would have to spend close to €1.2 billion to get outright control of United. His bankers were willing to lend him close to €600 million. The loans would then become United’s and fans feared Mr Glazer would use the club’s assets to repay his borrowings meaning higher ticket prices and less money for player transfers.