Report: In sale negotiations, Manchester United is negotiating exclusivity with Qatari bidders

English soccer team In negotiations to sell itself for more than $6 billion, Manchester United is contemplating providing exclusivity to the consortium headed by Qatar’s Sheikh Jassim bin Hamad al-Thani, according to persons familiar with the situation.

Although a transaction is still doubtful, the development marks a significant step in Sheikh Jassim’s ambitions to acquire the renowned sports brand. Sheikh Jassim is the son of Qatar’s former prime minister and one of the wealthiest people in the Gulf state.

One of the sources added that as part of the planned transaction, members of the Glazer family, who hold minority shares in Manchester United and control it as a result of a dual-class share structure, would get cash payouts.

The sources noted that the Glazers presently see the Qatari offer more favorably than a proposal from British billionaire Jim Ratcliffe, the creator of chemicals manufacturer INEOS. The Ratcliffe bid assumes the Glazers will continue to be somewhat interested in Manchester United.

For the duration of the exclusivity period, Manchester United would not be permitted to talk with any other bidder save Sheikh Jassim.

How long this phase may endure was unknown. The sources warned that the situation was still shaky and that Sheikh Jassim may not be able to secure exclusivity if Ratcliffe made a fresh offer.

The sources asked to remain anonymous since the information is private. Requests for feedback from Sheikh Jassim and Manchester United representatives were not immediately fulfilled.

On hearing the news, Manchester United shares increased as much as 15%. On Thursday afternoon in New York, they were up 10% at $25.53.

The sale of Manchester United for $6 billion or more would be one of the largest transactions in sports history, after the earlier this year selling of the Washington Commanders of the National Football League for a sum almost equivalent to that.

Additionally, it would come with a sizable premium above other soccer contracts. A consortium of investors headed by Todd Boehly and Clearlake Capital purchased Chelsea Football Club last year for $3.1 billion, valuing it at 5.7 times sales from the previous fiscal year.

According to Refinitiv statistics, a sale for more than $6 billion would value Manchester United at more than 10 times its yearly income from the previous year.

According to market research company Kantar, Manchester United, a record 20-time English champion, has more than 650 million supporters globally. They have been demanding a change in ownership in great numbers.

This is due to the fact that the Glazers have presided over a considerable decline in the club’s fortunes, with the team only winning its 20th and last top-flight championship in 2012–2013, under former manager Alex Ferguson.

Under Erik Ten Hag, Manchester United won the League Cup this season, but the magnitude of the turnaround needed is shown by the fact that they finished third in the league, 14 points behind local rivals and triple winners Manchester City.

While some fans may think that a new Qatari owner’s huge finances could help United close the gap with Manchester City, which is supported by Abu Dhabi, others have voiced “deep concern” over Qatar’s human rights record.

The argument that certain Middle Eastern countries are seeking to “sportswash” their reputations stems from the enormous expenditures they have made in sport in recent years.

The 2022 FIFA World Cup was held in Qatar, whose state-run Qatar Sport Investments (QSI) also owns Ligue 1 team Paris St. Germain.

Newcastle United and the independent LIV Golf Series, which just decided to join with the PGA Tour, are both supported by Saudi Arabia’s Public Investment Fund (PIF).