The Glazer family, amid their decision to sell Premier League giants Manchester United to ‘explore strategic alternatives’, have not taken their semi-annual dividend, the club’s latest financial results have disclosed.
United, in its first-quarter fiscal results, noted that the board of directors did not approve the payment of the semi-annual dividend for 2023.
In the previous financial results, posted in September for the year up to June 30, 2022, the club paid £33.6million out in dividends. Most of it was to the Glazer family. With a £20million increase in revenue – from £590m to £610m – from last year, United’s total payments rose to £155m in seven years.
Manchester United supporters have been criticising the Glazer family for making money out of the club rather than investing in it. There have been calls, urging them to quit.
The Glazers, who own NFL outfit Tampa Bay Buccaneers, bought United for $942 million in 2005. They sold 10% of their holding via the 2012 U.S. listing. The club’s valuation as a public company peaked at $4.3 billion in 2018, Reuters reported.
In 2021, one semi-annual payment was deferred due to the COVID-19 pandemic. However, three were made in the 2022 financial year. The club posted a net loss of £115.5million last year but the dividend payment in 2021 was around £10million.
As per reports, the Glazers are not taking the semi-annual dividend – for the first time since 2016 – due to heavy investment made in the squad in the 2022 summer window. The club spent £225.4m in signings.
“The process is designed to enhance the club’s future growth, with the ultimate goal of positioning the club to capitalise on opportunities both on the pitch and commercially,” the Glazers had announced they were willing to sell the club.
“As part of this process, the Board will consider all strategic alternatives, including new investment into the club, a sale, or other transactions involving the Company.
“This will include an assessment of several initiatives to strengthen the club, including stadium and infrastructure redevelopment, and expansion of the club’s commercial operations on a global scale, each in the context of enhancing the long-term success of the club’s men’s, women’s and academy teams, and bringing benefits to fans and other stakeholders.”