The Football Association and Premier League have authorized Sir Jim Ratcliffe’s purchase of a 25% share in Manchester United.
About $1.3 billion (£1.03 billion) is the value of the British billionaire’s acquisition.
The Glazer family will continue to own the majority of the team, while Ratcliffe’s Ineos Group will take over management of the football department.
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After the share offer closes, which happens on Friday night in the US, the deal cannot be finalised.
The completion of the deal is a need for Premier League approval.
Ratcliffe, 71, has also signed the owners’ charter, the Premier League confirmed in a statement. “The Premier League now awaits confirmation of the transaction’s completion,” the league stated.
The agreement is the first to be reached under the revised owners’ and directors’ test of the Premier League, which was accepted by member clubs in March 2023 and entails an assessment by an impartial monitoring body.
On Christmas Eve, Ratcliffe’s contract was finalized. It also includes $300 million (£236 million) in future capital expenditures for the team’s Old Trafford stadium.
The businessman has committed to purchasing up to 25% of the club’s class A shares, which are listed on the New York Stock Exchange, and 25% of its class B shares, which are mostly owned by the Glazer family, who hold 69% of the club and nearly all of the voting rights. Each share is valued at $33.
The deadline to tender class A shares for sale has been extended from Wednesday to Friday at 23:59 EST, according to an update provided to the US Securities and Exchange Commission (SEC) on Monday night.
Ratcliffe has agreed to buy 25% of the class A shares, and thus far 36.7% of shares have been tendered.
Ineos will take charge of the men’s and women’s football operations and academies as part of his takeover of sports authority at the club.
They will also receive two seats on the boards of the Manchester United Football Club and Manchester United PLC.
Ratcliffe has already visited the club’s training facility and Old Trafford multiple times while he waits for the agreement to be approved in its entirety.
In 2005, the Glazer family paid £790 million to purchase Manchester United.
The American family said in November 2022 that they were thinking about selling so they could “explore strategic alternatives”.
