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Malcolm Glazer is back again bidding for Manchester United (go back to the homepage) Feb 15, 2005 LONDON (AP) - Malcolm Glazer is back again with another bid to buy Manchester United. One of the world's richest and most successful soccer clubs was widely reported Friday to be considering the third takeover bid in six months from the American owner of the Tampa Bay Buccaneers. Glazer, who owns about 28 per cent of the club's shares, is preparing to offer about 800 million pounds (US$1.53 billion, euro1.16 billion) to buy the club. The offer reportedly relies less on borrowed money, which the United board cited in rejecting his last bid two months ago. There was no immediate comment from the Malcolm I. Glazer Family LP. Manchester United and its financial advisers, Cazenove, declined comment. Financial analysts expect Glazer to offer 3 pounds (US$5.65, euro4.40) per share. Shares rose 2.18 per cent to 2.81 (US$5.29, euro4.13) early Friday on news of the pending offer. Man U board members are on record saying Glazer is offering a fair price. They are required by law to act in the financial interests of stockholders, and could face a suit from Glazer if they block the bid. Glazer's prospects were enhanced a month ago when the club announced a 50-per cent slump in half-year profits. Profits slid from 26.8 million pounds (US$50.5 million; euro39.3 million) to 12.4 million pounds (US$23.4 million, euro18.2 million) for the first six months of the financial year. The drop was blamed on the club's early elimination from last season's Champions League, a third-place finish in the Premier League and the cost of signing striker Wayne Rooney from Everton. This season, Man U is in third place behind Chelsea and Arsenal, and was also eliminated early from the lucrative Champions League. The fate of Glazer's bid may rest with major shareholders J.P. McManus and John Mangier. The Irish racehorse owners hold a 29 per cent stake through their Cubic Expression investment company. A sale by the Irishmen would effectively hand control to Glazer. "I think it all rests on Cubic Expression and what they do with their stake," said Roy Kaitcer, a director with Manchester stockbrokers Brewin Dolphin Securities. "It's irrelevant whether the board recommends it or not. They as majority shareholders will decide what they want to do. If they say no, Glazer is going to struggle. I suspect he's already made contact." Stock analysts said the Man United board was likely to take at least a week to consider the bid. There is fierce opposition from the fan-based group Shareholders United. Fans fear Glazer will raise ticket prices and sell off 67,000-seat Old Trafford stadium. There is also opposition to individual ownership - and foreign ownership - of the club. "United fans must wake up and do something before it is too late," Shareholders United spokesman Sean Bones said. Bones said the group would hold anti-Glazer demonstrations on Sunday in Cardiff, Wales, where Man United faces Newcastle in the semifinals of the FA Cup. |