Home » Triple deal worth £100m a year awaits Man United with new investors, says finance expert

Triple deal worth £100m a year awaits Man United with new investors, says finance expert

by David O'Neill


Manchester United could be looking at a triple deal worth over £100m-a-year should new investors come in.

Football Insider claims that such parties would consider selling the naming rights to both Old Trafford and Carrington alongside front-of-shirt sponsorship.

United are currently looking to replace their current sponsors TeamViewer, who recently came under pressure for failing to reap the rewards of their multiple sports sponsorship deals.

Their deal with the Red Devils – worth £47m a year – was unmanageable for a company of TeamViewer’s size and profile, leading to an agreement to dissolve the deal once new sponsors are found.

For United, that sum would be dwarfed by a triple deal and it is something that new investors may well take advantage of.

Talks took place earlier in January with Visit Saudi, the tourist board of Saudi Arabia, over a front-of-shirt sponsorship deal.

But with many interested suitors, chiefly from rival Gulf states, a deal is some way off.

Matters are, of course, complicated by the uncertainty surrounding United’s ownership situation.

Were, for example, Qatar Sports Investments to purchase a stake In Manchester United as has been mooted as a possibility, it would be at odds with the business interests of Visit Saudi, given that both groups are backed by rival states.

Commercial expert and London head of sports services for JMW Solicitors Ben Peppi went into detail on the value and possibility of a triple deal when talking to Football Insider:

“Beyond naming rights, a front-of-shirt deal is the most valuable piece of the sponsorship inventory.

“That is clearly very attractive to a potential new owner. We also know that the United sale process might involve certain infrastructure commitments – redeveloping the stadium and the training ground.

“So, it’s not just front-of-shirt rights we’re looking at here. It could also be naming rights for the training ground and Old Trafford, which together might be worth around £100m.

“The target to conclude a sale in the first quarter of 2023 is looking tight. But it is not untoward to say that United will have a new owner and front-of-shirt sponsor ready for the 2023-24 season.

“The upper limit will depend on the length of the deal and other elements connected to the ownership group. We can, however, be certain that it will go beyond what TeamViewer paid.

“United have a history of signing record deals and the ability to leverage their global fanbase. They continue to promote the fact that they have over 1billion global followers.

“If someone is spending billions on United, there is every chance they might want both front-of shirt and naming rights.”

Such financial benefits to the club would certainly help with the infrastructural changes Peppi mentioned, and those are improvement that the club has been crying out for over years under the Glazer yoke.

How fans would feel about a renamed Old Trafford would be a matter for consideration, however.
 




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