Man United takeover: Big Ratcliffe update today - sources
Manchester United co-owner Sir Jim Ratcliffe could put more equity into the club to help fund the new stadium project, sources have told Football Insider.
The Premier League giants have set up an expert task force – which includes Manchester mayor Andy Burnham and ex-defender Gary Neville – as they look to either regenerate Old Trafford or build a new facility altogether.
The task force has initially concluded the best option would be the creation of a new 100,000-seater stadium, with a final decision set to be made by the end of 2024.
The development is expected to cost more than £2billion – double the £1billion expenditure of redeveloping Old Trafford – and take six years to complete.
The proposal has taken a big step forward this week after United, Trafford Council and the Greater Manchester Combined Authority have entered into a partnership to ensure the plans benefit the area around the stadium.
But sources have told Football Insider the Manchester club will have to find ways to fund the stadium project themselves without the help of government funding as the local authorities are only likely to finance the infrastructure in the surrounding areas.
Sir Jim Ratcliffe could help fund Man United stadium development
Football Insider revealed on 1 August United could owe more than £2.6billion if they decide to fund the new stadium development solely by debt.
Ratcliffe has been exploring various potential avenues to finance the project since purchasing his 27.7 per cent stake at Old Trafford in February this year.
The Athletic reported on 26 June the club have held exploratory talks with major financial institutions, including Bank of America, about funding options to raise the necessary capital for the development.
But sources have told Football Insider Ratcliffe could put more equity into United to help fund the new stadium, leading to him taking a much bigger stake and diluting the Glazers’ shares as a result.
The INEOS chief has made a number of significant behind-the-scenes decisions since he arrived in Manchester despite the initial indications suggesting he was only going to be overseeing footballing matters.
Finance expert Stefan Borson told Football Insider Ratcliffe and his staff are now essentially in charge of running everything at Old Trafford as they look to propel the club back to the top of English football.
In other news, update emerges on Man United signing Adrien Rabiot.
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