Manchester Football Club To Go on Spending Spree?

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Manchester Football Club To Go on Spending Spree?

The end of the FIFA 2008-2009 soccer season has arrived. The transfer season now settles in, and it is usually the teams with big bucks that get great players. One team has to get a few new players to show their skills in the world.

Manchester City Football Club is an English professional football club based in the city of Manchester. The holding company of Manchester City F.C., Manchester City Limited, is a private limited company. The club has approximately 54 million shares in issue.

In the summer of 2007, the major shareholders agreed to sell their holdings to UK Sports Investments Limited (UKSIL), a company controlled by former Thailand prime minister Thaksin Shinawatra. UKSIL then made a formal offer to buy the shares held by several thousand small shareholders.

Prior to the Thaksin takeover, the club was listed on the specialist independent equity market PLUS (formerly OFEX), where it had been listed since 1995. On July 6, 2007, having acquired 75 percent of the shares, Thaksin took the club off of the list and registered it again as a private company.

By August, UKSIL had acquired over 90 percent of the shares and exercised its rights under the Companies Act to squeeze out the remaining shareholders, and acquire the entire shareholding. Thaksin Shinawatra became chairman of the club and two of Thaksin's children, Pintongta and Panthongtae, also became directors.

Former chairman John Wardle stayed on the board for a year, but resigned in July 2008 following Nike executive Garry Cook's appointment as executive chairman in May. The club made a pre-tax loss of £11 million in the year ending on May 31, 2007, the final year for which accounts were published as a public company.

Thaksin's purchase prompted a period of transfer spending without precedent at the club, spending in excess of £30 million, whereas over the previous few seasons, net spending had been among the lowest in the division. The publication of the club's accounts up to May 31, 2008 showed that this spending was financed by new debts.

On Sep. 1, 2008, Abu Dhabi United Group Investment and Development Limited completed a takeover of Manchester City. The deal, worth a reported £200 million, was announced on the morning of Sep. 1.

It sparked various transfer "deadline-day" rumours and bids such as the club's attempt to gazump Manchester United's protracted bid to sign Dimitar Berbatov from Tottenham Hotspur for a fee in excess of £30 million. Minutes before the transfer window closed, the club signed Robinho from Real Madrid for a British record transfer fee of £32.5 million.

This transfer season Manchester City and their coach, Mark Hughes, should be looking for stars. It has been rumored the Swedish player, Zlatan Ibrahimović, wants to leave Inter; this is the club's big chance.

Gianluigi Buffon is also willing to sacrifice for Juventus and move to a club for a large amount of money. Hopefully, Robinho will have some players to back him up.

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