Sir Alex Ferguson has confirmed that he will be retiring as Manchester United manager at the end of the current Premier League season. To say this is a moment in sporting history is likely an understatement. Manchester United have announced current Everton manager David Moyes as Ferguson’s successor.
Whether United are able to maintain their level of success without Ferguson is an open question. One indicator we might look at for an initial reaction is the change in the club’s publicly traded stock price. On May 8th the MANU traded down at the open and dropped to a low of $17.75 (-5.4%) before recovering to end the day at $18.45 or just a bit below the previous close.
So the market seemed to shrug off the departure on the day of, we’ll have to see what happens in the coming months and when results from Moyes’ reign start coming in.
So what happened to all the Manchester United IPO chatter? Last we heard the Glazers were in the middle of trying to price a deal in Singapore to sell between 25-33% of the club into the market.
The market indigestion of last fall, caused by the unpalatable downgrade of the United States’ credit rating and exacerbated by Europe’s continuing refusal to eat its peas, dropped these plans straight into the tank. Since then equity and credit markets have largely recovered their losses and are off to their best start to a year since 1994. I updated the graphic from last time to show market performance and some key events which have occurred since:
As it is likely that the Red Devil IPO-talk will start cooking again I thought it might be valuable to review the background and details of the transaction.
Continue reading “Summing Up the Manchester United IPO”
How much revenue will Manchester United lose by going out of the 2011-12 Champions League? Excel boredom follows:
So in the worst case United will earn €13m less than their 2010-11 European campaign in addition to the loss of five matches of revenue. In the case of a run to the final and a win United will earn €9.7m less plus the benefit of two extra matches.
As a note these figures are based off of 2010-11 payments as UEFA does not release figures (to the public at least) until after the season is over. For a great breakdown of the 2010-11 distribution of UEFA European League money check out Avoiding the Drop.
Culture matters, in business and in sport. The set of principles which guide the employees, managers and shareholders of a business are what produces results and culture plays a similar role at soccer clubs. Both clubs and corporations are organizations focused on accomplishing a set of goals, it follows that there are parallels in organizational style. Read on for the long lost corporate twins of your favorite clubs.
The rest of the ‘Company’ series: Arsenal, Chelsea, Liverpool, Manchester City, Manchester United
So which company is paired with Manchester United, the greatest English club of the past twenty years? Only one headed by a visionary leader and which is the undisputed king of its industry will do and it must be Apple.
As a child is to a parent, Apple is to Jobs. It was his creation and his company to save when it went astray. Thinking of Apple apart from Jobs is to ignore that his psychological DNA is at its core of its structure. Likewise you cannot distinguish between Manchester United and Sir Alex Ferguson. Continue reading “Which Company is Manchester United Most Like…?”