Man Utd going public on New York stock exchange

tribalfootball.com July 5, 2012, 4:05 am

Manchester United have confirmed that it plans to launch an initial public offering (IPO) on the New York Stock Exchange (NYSE), reports SportBusiness.

The Red Devils have filed a registration statement with the Securities and Exchange Commission to become a listed company on the NYSE.

The listing did not specify stock price and the number of shares, but the club outlined it aims to raise a maximum of US$100 million.

"We intend to use all of our net proceeds from this offering to reduce our indebtedness," the filing said.

United is believed to be using the US listing as a means to position itself as a global media business rather than a sports franchise.

United's owners, the Glazer family, are also well known in the US as the owners of National Football League (NFL) franchise the Tampa Bay Buccaneers, along with their interest in shopping centre developer First Allied Corp.

The IPO plan outlines that the Glazers would retain control of the club through Class B shares, which would have 10 times the voting power of those sold to the public.

"In the Premier League, recent investment from wealthy team owners has led to teams with deep financial backing that are able to acquire top players and coaching staff, which could result in improved performance from those teams in domestic and European competitions," the filing said.

The document also warned of the club's current financial status, explaining that "our indebtedness could adversely affect our financial health and competitive position" and reduce "the availability of our cash flow to fund the hiring and retention of players and coaching staff".

Click here to reach the No1 destination for hard news and exciting gossip on Manchester United

For all the latest football news go to tribalfootball.com.