desperately hoping for anyone extremely wealthy (or any wealthy group) to purposely make a bad investment. what a situation
So, if the buyer commits to either a new stadium/facilities or to completely renovate Old Trafford, would naming rights be a non-starter?
The Apple move is interesting given their recent moves into the media consumption space. It's a clear play towards streaming I think.
🚨 Saudi Arabia's sports minister has confirmed its government would "definitely support" private sector Saudi bids for Manchester United and Liverpool. 🇸🇦(Source: BBC) pic.twitter.com/V4Ig3UgcZQ— Transfer News Live (@DeadlineDayLive) November 24, 2022
Pretty much would be cheaper than doing licensing deals over a longer period of time. Also we have potential to generate tons of cash if dividends are not taken out and debt financing isn't done.
Agreed....it makes a lot of strategic sense and could really give them a smart edge over Amazon, Facebook and Google. Although, it could possibly lead to one of those making a similar move into the space. If they were so inclined, I bet Apple could also build one hell of an amazing, interactive, stadium/museum experience.
how does this make sense for apple? they arent getting live matches because the league sells its rights collectively. and if they bid for that, would their bid be rejected because they own manchester united? one unsourced article from the daily star is probably not the most reliable data point. apple is also notoriously tight lipped. its cool to think about, but seems a bit implausible.
I think the most interesting acquisition is some kind of vertical integrator For Abu Dhabi, City is basically a media platform for a brand family. and destination I wonder if a lifestyle brand could try something similar (a bit like Redbull)
The Apple speculation doesnt make much sense to me; - live competition match rights are subject to collective contract rights of the competition owners, not the clubs - having highlights, old games, radio ie MUTV type rights is not of great commercial value - risk of alienating brand to followers of other clubs - not much alignment with other parts of their business - can get sponsorship type deal for next to nothing in Apple terms at fraction of cost of owning a club - similarly could get deal on behind the scenes prog for minor outlay (eg Arsenal got $10m from Amazon Prime) So unless Tim has a desire for a vanity project or is just looking at this for poops and giggles, then doesnt make much sense to me and will only believe it when I see it.
Apple would only be doing it to diversify and keep getting the tax breaks they’re accustomed to. Plus it’s free advertising reach especially to Asian markets where they don’t currently dominate. But I agree they are still very unlikely. The most likely buyer, IMO, is somewhere from one of the Arab nations.
Pretty clear why the Glazers are looking to sell - debt too high and cash balance too low, so they can’t take dividends for fist time in years. The have mis-managed the club to a point that the parasite can no longer feed off the host. Quite major development: “On 15 November, the Board of Directors did not approve the payment of the semi-annual dividend for fiscal 2023.”Glazers not taking a dividend for first time since 2016.#MUFC— Laurie Whitwell (@lauriewhitwell) December 8, 2022 Manchester United had a pre-tax loss of almost £2.5m a week in the first quarter of 22/23, despite a 7% decrease in wages as pay cuts kicked in following non qualifying for Champions League pic.twitter.com/80W3cMOnv3— Kieran Maguire (@KieranMaguire) December 8, 2022
Just to put in perspective how crazy our debt is, we paid £9.6 million in interest THIS QUARTER, that’s nearly 40 MILLION A YEAR. 💰🔴— UtdPlug (@UtdPlug) December 8, 2022 🚨💰 Total net interest paid by Manchester United since being acquired by the Glazer family in 2005 is £917,000,000, which works out as £1.02 million a week. @KieranMaguire #MUFC— UtdPlug (@UtdPlug) December 9, 2022
I would speculate that the reason they are not taking dividends out now is not because they financially cannot, but because it makes the books more attractive etc for a sale. Usually when you are marketing for a sale these discretionary payments are held off.
Not sure I agree with that. The interest payments should be added back when you are doing a valuation. Well let me qualify that. I have never dealt with anything close to the level of Manchester United but in the mom and pop business that I work with, interest expenses are added back and any dividend payments are adjusted depending on what the aim of our projections are .