Kieran Maguire verdict on PIF being frozen out as Newcastle United takeover details emerge
The Saudi Public Investment Fund made the right choice to buy Newcastle United as opposed to a minority stake in Man United where they would effectively have been frozen out of the decision-making process.
That is the view of finance guru Kieran Maguire, speaking exclusively to Football Insider about the latest details pre-dating PIF’s historic Tyneside takeover.
PIF spent £305million to purchase 80 per cent of Newcastle in October last year and have since stamped their authority on the club with a total executive and operational overhaul.
As quoted by The Athletic on Tuesday (4 October), PIF governer and Newcastle chairman Yasir Al-Rumayyan revealed that the group were offered a 30 per cent stake in another Premier League club for £700million before they took the reigns at St. James’ Park.
It is believed that the club in question is Man United, who are owned by the controversial Glazer family.
Maguire claims it is easy to understand why Al-Rumayyan and his PIF colleagues opted for Newcastle, where they would have total autonomy.
“If the 30 per cent opportunity is correct, you can understand why their approach was to go for Newcastle,” he told Football Insider’s Adam Williams.
“It looks as though it wouldn’t have been fresh capital. It would have been a case of giving money to the Glazers if it was Man United, as has been suggested.
“Secondly, what exactly are you getting in return for that investment? They wouldn’t have had a seat at the table.
“I, therefore, think the approach taken by PIF has been the appropriate one.”
In other news, Newcastle United set sights on signing Luke Shaw after Man United update.