United to keep spending amid Glazer share sale

MANCHESTER United expects a “higher level of net player capital expenditures” according to a share prospectus it has issued for the sale of shares by one of the Glazer family.

Edward Glazer, son of former majority owner Malcolm who died in May, is selling three million shares, for around £30m.

The club will not receive any of the proceeds, according to a statement issued to the New York Stock Exchange where 10% of the club’s shares are listed.

But in the sale prospectus setting out the offer United suggested a period of greater investment in players and the Old Trafford stadium.

It said: “To maintain our high standard of performance we anticipate a higher level of net player capital expenditures and player wages to retain talent and enhance the caliber of our team in the near term. We will also continue to invest in our facilities, including the Old Trafford Stadium, to maintain the quality of service, enhance the fan experience and drive their high level of engagement and loyalty.”

It added: “We remain committed to investing in our team, our facilities and other initiatives to continue our many years of success and enhance our brand globally. We expect these initiatives will continue to be key drivers of our sales, profit and leading brand recognition going forward.”

In the three months to September 30, the club saw income fall by 10% from £98.5m to £88.6m, as it missed out on TV and matchday revenues associated with playing in Europe.

However, it moved from a pre-tax loss of £470,000 in the corresponding period last year to a profit of £8.1m. This was down to much higher profits on player sales, up to £18.3m from £1m, and lower finance charges which fell to £6.2m from £9.8m.