Manchester United have begun paperwork to raise $400 million by selling more shares to the public. The Red Devils have been listed on the New York Stock Exchange for three years, and have announced this Thursday through a filing to the Securities and Exchange Commission that it is considering offering 24 million “Class A” shares to the public.
Currently, the Glazer family have a majority of the Manchester United shares. Furthermore, they own “Class B” shares, which carry 10 times the voting power over the stock sold out to the public. This means the Glazer family has firm control over the way Manchester United is run, and rarely faces pressure from stockholders.
The Glazers have begin the first step needed to issue more shares to the public, and thus raise a substantial amount of capital that will flow into Manchester United operations. If the Man Utd ownership goes through with it, they will raise over $400 million which they will infuse into the team.
Although the funds will likely be spread out throughout the organization, it is likely that a portion of it will be used on transfers. This move by the Glazer family could hint at huge transfer windows coming up this January and Summer.