Shares in Newcastle United, the Premiership football, soared by nearly 15 per cent after it confirmed that Sir John Hall, its former chairman, had received approaches to buy his 28.8 per cent stake.
The confirmation by the board of United follows yesterday’s report in The Sunday Times that Polygon, the American hedge fund, had drawn up plans to buy Sir John’s shareholding as part of a proposal to take full control of the London-listed company.
The Sunday Times reported that Polygon has been working on the idea with UBS, the Swiss-American investment bank, for “several months”.
Sir John controls his holding through Wynard, a company based in Guernsey.
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Shares in Newcastle were up 7p, or 14.89 per cent at 54p, valuing the club at £71.8 million. The jump values Sir John’s stake, initially taken for about £3 million, at more than £20 million.
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Newcastle did not name Polygon and said the “expressions of interest ... may or may not lead to the disposal of its stake”.
The club added that it would issue a further statement “if appropriate”.
The Sunday Times said talks between Sir John and another potential buyer for his shareholding broke down last November, but that it has been clear for some time that he is open to selling his stake.
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The property developer took control of United in 1991 after a bitter struggle with former owner Gordon McKeag, although he stepped down as chairman in 1997.