Manchester United finds itself in major trouble amidst takeover battle, gross debt reaches close to a BILLION pounds

The Red Devils are facing a financial crisis and are in huge debt.

Sheikh Jassim might have to invest more in the club than it was originally deemed. (credit: Goal.com)

Manchester United’s gross debt has been revealed to be around a staggering billion dollars as the club and its current owners continue to look for avenues to sell the club. Reports say the debt may be up to £725 million. United’s debt increased from £58.6 million to £535.7 million by the end of the year 2022.

The considerable debt can be a hurdle for Sheikh Jassim‘s possible takeover of the club from the Glazer family. The club is going under review and is looking for ways to meet the club’s capital investments.

The offer by the Sheikh is about £5 billion despite the club’s debts. He is overlooking the sales part of the club. However, the Glazers, Red Devil owner, want £6 billion.

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Last month the shares of the club hit the lowest on NASDAQ. The amount owed by the club is almost increased by half the debt that the company owes. An amount of £227.7 million is owed in the transfer fee, and an amount of £206.2 million was taken from credit facilities.

Reports state that the club’s financial condition is improving with the help of matchday revenues and pre-season ticket sales. The club revealed a profit of £6.3 million and an increase in the sponsorship revenue of about 43% for £50 million year-over-year.

? REVEALED: Manchester United's STAGGERING gross debt figure amid the historic stain of the Glazer family’s leveraged buyout

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Despite all the profits, the club has seen a downfall in overall revenue by 10%. There should have been a mention in the report of the sale talks between the Glazers and several potential buyers.

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United is looking for a new signing despite all the financial issues they currently face, for which the club is trying to offer many players. Anthony Martial, Jadon Sancho, captain Hary Maguire, and goalkeeper David De Gea all can part ways from Old Trafford.

The goalkeeper’s future is yet to be decided as the contract is about to expire, and the club is showing no signs of extension. However, both the club and the player are in discussion regarding the next step of the Spanish player.