Tension continues to mount today in what has become a sparring match between the media giants of the British industry. A mystery bidder has reportedly launched a rival bid for the Manchester United FC, after last week saw both Sky and Man Utd constantly in the headlines following Sky’s £623.4 million takeover offer.
US investment bank Salomon Smith Barney confirmed today that it is acting on behalf of a secret client, who asked the company to approach Manchester United for information which could be evaluated in view of making a bid.
However, reports are emerging this afternoon that rock star Roger Taylor, of Queen, has been named as the mystery benefactor, but that he has pledged £10,000 to the Independent Manchester United Supporters Association to help them fight the BSkyB bid for the club. Many fans are against the takeover bid from Rupert Murdoch’s giant media enterprise which, if it goes ahead, would give the media magnate a tactical advantage in the battle for pay-television viewers.
At a press conference last week, Martin Edwards, Manchester United’s chief executive, announced that the Board had accepted Sky’s offer, and would not be interested in any other bids. However, the club are legally obliged to consider the possibility of a higher offer.
BSkyB’s takeover bid for Manchester United FC (see Newsline) sparked a trend which has snowballed in subsequent days. Carlton has propositioned Arsenal (see Newsline), and further reports this week include Enic (the leisure group with extensive interests in European football) offering a £80 million bid to Tottenham Hotspur FC; Aston Villa receiving a bid from Granada and Sony reportedly offering £220 million for Newcastle United FC.
Tottenham Hotspur is understood to have turned down a bid from Enic today. Reports suggest that Enic and Alan Sugar, chairman of Spurs, were divided on price. Both Newcastle United and Aston Villa denied that they were in takeover talks.
Southampton FC on the other hand, has declared itself open to offers from media companies, courting the current media interest in soccer clubs.
As the trend for such media interests continues, so does speculation on their outcome. Either way, any such deals clearly hold large-scale implications which raise important questions about the relationship between ownership, viewing, sport and competition. These issues are highlighted by the approaching launch of major digital television networks, on which sports coverage is an invaluable feature.
BSkyB: 0171 705 3000 Manchester United Commercial Department: 0161 872 3488 Carlton Communications: 0171 663 6363
