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Football clubs like Manchester United are getting more expensive

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Manchester United: the business tactics that could lead to a record multi-billion-pound sale

It seems that another item can now be added to the long list of things that are getting more expensive: football clubs. The bids coming in to buy Manchester United, reportedly in the region of £4.5bn (the owners are said to want £6bn) would make it the largest amount ever paid for a club.

Given that the current US owners, the Glazer family, bought Manchester United in 2005 for around £800 million, the current valuation makes it unsurprising that a sale may be on the cards.

But can a football club, even one as famous as Manchester United, really be worth £6bn?

For comparison, in 2021 one of its rivals, Newcastle United, sold for a fraction of that sum, at around £300 million. Yet given that Newcastle had been bought for £133 million in 2007 (about £200 million in today’s money), that controversial sale was still seen as providing a decent return.

But it was Chelsea, sold in May 2022, which started the sale bonanza among the biggest British clubs. Manchester United, Liverpool and Tottenham Hotspur have all been linked to potential sales since then.

Chelsea had been bought for £140 million by Roman Abramovich in 2003, when it was struggling financially. Two decades later, its £2.5 billion price was achieved despite the club being what is known as a “distressed asset” (something that needed to be sold because Abramovich had been sanctioned by the UK government), meaning that bids were probably lower than if the sale had been on the open market.

Crucially though, Chelsea had also become a more impressive club, winning a number of trophies (two Champions League, two Europa League, five Premier League titles and five FA Cups). (The profit from the Chelsea sale is now earmarked for humanitarian causes in Ukraine.)

Another important element behind a club’s value is, of course, how much any potential owner is willing to pay. Research suggests that owning a football club is generally something that loses money, so owners normally fit one of three categories.

First, there are those who view clubs as a trophy asset; second, fans or local benefactors who want to support their side; and third, those that think they can make money from the club by making changes.

The Glazers fall squarely into the last category, and took the opportunity to buy a club through a leveraged buyout – in essence, using comparatively little of their own money – and taking money out annually through dividends.

That leveraged buyout meant that some of the money used to buy the club was secured against the club itself, like a mortgage, so the debt was borne by the club rather than the owners.

And that debt was considerable. Over the ownership of the Glazers, £837 million has been spent on interest payments alone.

Another reason for the increase in value of clubs has been the increase in revenue they can generate. The Premier League, for example, has been significantly increasing its income from selling overseas broadcasting rights (the latest US deal is more than double its previous one), and this leads to more money for the clubs. Increasing global interest in the Premier League has also added value to the small number of clubs which feature in it.

Other things that affect the value of clubs have nothing to do with football. For example, the pandemic led to the very rich getting richer and so there is more disposable income at the billionaire potential owner level.

But ownership comes with plenty of risk too and, like winning matches, financial success is never guaranteed. Around 40% of football clubs in the top four leagues of English football have gone into administration since the Premier League began, including eight of the original 22 Premier League members.

The culture of spending above your means in English football may, in the long term, be tempered by the proposed implementation of an independent regulator. In the meantime football club ownership remains, for most, a loss-making business.

For the Glazers though, selling their club for around £5 billion would surely be seen as a big win. They put in relatively little of their own money to buy it, have taken money out in dividends, and are now expected to make a massive profit on the sale price. Divisive tactics they may have been, but very lucrative too.

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Russia missile strikes force Ukraine nuclear plants offline amid safety fears

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Ukraine’s energy and nuclear safety systems have come under severe strain after a major Russian missile and drone attack struck critical power infrastructure, forcing all nuclear power plants in Kyiv-controlled territory to halt electricity generation and triggering urgent international warnings.

The February 7 assault damaged high-voltage substations supplying nuclear facilities, destabilising the national grid. The International Atomic Energy Agency said the disruption compromised nuclear safety, with one reactor shutting down automatically and others reducing output due to grid instability. IAEA Director General Rafael Grossi called for military restraint, warning of potentially dangerous consequences.

Nuclear terrorism

The attack targeted infrastructure across eight regions as Ukraine faces a deep freeze, with temperatures in Kyiv forecast to fall to minus 19 degrees Celsius. Emergency power outages have been introduced nationwide, while energy companies report extensive damage to thermal power plants.

President Volodymyr Zelensky condemned the strikes as nuclear terrorism and called for a global response. The IAEA also confirmed a recent loss of off-site power at the Chornobyl site, raising concerns that continued attacks on energy infrastructure could increase nuclear risks beyond Ukraine’s borders.


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Trump lifts India tariffs after New Delhi halts Russian oil imports

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President Donald Trump has moved to reshape US trade policy on two major fronts, signing executive orders that both ease tariffs on India and threaten new levies on countries that continue to trade with Iran.

The rollback of tariffs on India follows New Delhi’s commitment to halt imports of Russian oil, a move welcomed by Washington as it seeks to tighten pressure on Moscow’s energy revenues. The decision signals a thaw in trade tensions between the two nations and underscores the administration’s willingness to reward partners that align with US foreign policy priorities.

At the same time, Trump warned that nations maintaining commercial ties with Iran could face fresh US tariffs, escalating economic pressure on Tehran and its trade partners. The move reinforces a hardline strategy aimed at isolating Iran economically, while using trade measures as leverage in broader geopolitical negotiations.

Together, the twin decisions highlight the Trump administration’s increasingly assertive use of tariffs as a diplomatic tool, targeting both allies and adversaries. From the Indo-Pacific to the Middle East, the approach underscores how trade policy is being deployed not just to protect US industries, but to advance America’s strategic interests on the global stage.

#Trump #India #TradePolicy #Tariffs #USIndiaRelations #GlobalTrade #RussiaOil #Ticker


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U.S. ramps up Cuba aid as energy crisis deepens

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The United States has announced an additional $6 million in humanitarian aid for Cuba, bringing total assistance since Hurricane Melissa struck the island in October to $9 million. The new relief package will focus on Cuba’s eastern provinces, including Holguín, Granma, Santiago de Cuba, and Guantánamo, providing staples like rice, beans, pasta, canned tuna, and solar lamps. U.S. officials said embassy staff will monitor distribution to prevent the government from diverting supplies.

The announcement comes amid worsening energy and fuel shortages. Cuba has faced widespread blackouts, leaving millions without electricity in several provinces, while rising food prices and limited fuel supplies have intensified humanitarian pressures. Officials warn that without sufficient oil imports, hospitals, transport, and essential services could be severely affected. The crisis has escalated following U.S. restrictions on Cuba’s oil shipments and Venezuela’s inability to supply fuel, forcing Cuba to turn to Mexico as its primary energy partner.

Humanitarian situation

Cuba’s President Miguel Díaz‑Canel accused the U.S. of imposing an “energy blockade,” while Mexican officials work to deliver fuel without triggering U.S. tariffs. Díaz‑Canel expressed willingness to engage in dialogue but insisted talks must respect Cuba’s sovereignty. U.N. Secretary-General António Guterres has voiced serious concern, warning that the humanitarian situation could deteriorate further if oil supplies remain restricted.

As Cuba struggles to balance disaster recovery with an ongoing energy crisis, the international community faces a delicate challenge: providing humanitarian support while navigating complex geopolitical tensions.


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