Bloomberg reported that shares of Manchester United Plc experienced a significant surge on Tuesday following a tweet from a Qatari newspaper encouraging speculation of an imminent sale of the Premier League football club. The stock witnessed a large one-day jump of over 13% at the close, marking the largest increase since February. The tweet from Al-Watan referred to ‘press reports’ suggesting that a bid for the club from Qatari businessman Sheikh Jassim had achieved ‘success’.
However, the tweet did not specify the sources of these reports. So, this has to be considered highly speculative right now.
No confirmation yet
Neither Qatari officials nor Manchester United provided any comments regarding the ongoing bidding process. Sheikh Jassim and Jim Ratcliffe, the head of Ineos, are currently competing for control of Manchester United. The club is still owned by the Glazer family. Sheikh Jassim recently submitted his fifth and final bid for the club.
The surge in stock resulted in an increase of over $340 million in market capitalisation on Tuesday, according to Bloomberg’s report. So, will this report continue to encourage buyers? Or will the report be contradicted? Investors should be aware that these kind of unconfirmed reports without clear sources are notoriously unreliable. Will we see Manchester United’s share prices fall over the coming days or will a buyer soon be confirmed from official sources?
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