Explosive documents reveal concerns over Sheikh Jassim bid for Manchester United

For much of last year the process around the proposed sale of Manchester United focused on Sheikh Jassim bin Hamad al-Thani and his Nine Two Foundation potentially acquiring the club.

The chairman of the Qatar Islamic Bank, a member of the Qatari Royal Family and son of the former Qatar Prime Minister, Hamad bin Jassim bin Jaber Al Thani, had appeared for so long to be the front runner ever since his interest in acquiring United came to the fore in early 2023.

At that time the potential for a full sale of the club appeared on the table, with the Glazer family seeking options for either a minority or majority deal just a week after Liverpool owners Fenway Sports Group had sought to test the water in a similar fashion.

READ MORE: Why Glazers chose Sir Jim Ratcliffe offer for Manchester United after 10 bids for club

READ MORE: Dan Ashworth appointed, John Murtough decision - the brutal steps Manchester United must take

The prospect of significant wealth arriving and a changing of the guard at the top at Old Trafford, something long called for by United fans, had created a buzz around the potential sale of the club to Sheikh Jassim. As recently as August it was widely reported that the Glazers had accepted a £6bn bid for the club.

Sir Jim Ratcliffe, who ended up concluding a deal to acquire 25 per cent of the club on Christmas Eve in a deal worth £1.2bn that would allow him and his INEOS team oversight of football matters, had been in the race alongside Sheikh Jassim from early in the process, but it was the latter who had been reportedly in the box seat.

But the process has been laid bare in revealing documents filed with the Securities and Exchange Commission (SEC) in the United States, where United had raised concerns over Sheikh Jassim’s proposal to acquire all of the Glazers shares, with filings claiming that he withdrew from the process in October having never provided proof of funds through financing commitment letters having been repeatedly asked to do so.

Sheikh Jassim is not named in the filings but is referred to throughout as ‘Bidder A’.

Sheikh Jassim lodged his first offer for the club in February 2023, with the offer including the acquisition of all the shares at $25 per share. Towards the end of that month, representatives of United and Raine Group, the firm engaged to lead on the process on the club’s behalf, held virtual meetings with Sheikh Jassim to discuss the details around his proposals, informing him and his bid team that they would be required to submit details of how the deal would be financed. According to the filings, those details never arrived.

In April, Sheikh Jassim increased his offer to $28.54 per share before submitting another improved bid of $30 per share a month later. However, neither of the submissions made to United and Raine “provided updated financing commitment letters to support its proposal.”

Following that, Sheikh Jassim and the Nine Two Foundation were informed “for guidance” that a price of $35.25 would be considered per ordinary share given there was a lack of support among shareholders of United for his bid to move ahead.

In June of last year, the Qatari returned for what would be a final bid, offering $34 per share for Class B shares and $24.81 for Class A, a bid that was noted as being “$5.20 less than the per Class A Share consideration in May.”

That move opposed what the shareholders of United had been seeking, which was the same treatment for both the Class A and Class B shares, which carry different voting rights.

The filings noted: "Representatives of Manchester United continued to inform Bidder A that the Board of Directors was not prepared to move forward with a transaction whereby the holders of Class A Shares received less per share consideration than the holders of Class B Shares and that the Board of Directors would require sufficient evidence of the financing and customary financing commitment papers."

Further correspondence was held between United, Raine and Sheikh Jassim and his team but no more bids arrived and Sheikh Jassim formally withdrew from the process in October to leave Ratcliffe with a clear run, and improved leverage, to complete a minority investment in the football club, something that is likely to gain Premier League approval imminently.

There was also no mention in the SEC filings of the reported pledge of $1bn to invest in the club’s facilities.