Investing
Fergie factor: Man Utd shares drop 5% after Sir Alex’s shock exit
Shares in Manchester United have fallen at the start of US trading after it was announced manager Sir Alex Ferguson is to leave after 26 years.
In a surprise announcement Ferguson – the most successful manager of an English team in history – said he will leave the club later this year.
The Scot, 71, has won 38 trophies during his time at Old Trafford and will now become a director and ambassador for the club.
In response, shares in Manchester United dropped 5.2% in early trading to stand at $17.79 apiece, before recovering slightly to trade down 3.2% at $18.18.
That remains above the company’s IPO price of $14, the club having listed on the New York Stock Exchange last August.
Though a dual share structure means the club remains majority controlled by the Glazer family, key holders of the free float include George Soros and BlackRock, which bought 3.3m shares to take an 8% stake in the company at the start of 2013.
The Glazer family holds Class B shares in the club, which carry ten times the voting power of ordinary, publicly traded stocks.
Ferguson’s trophy haul at Manchester United includes 13 league titles, two Champions League crowns, five FA Cups and four League Cups.
“The decision to retire is one that I have thought a great deal about. It is the right time,” Ferguson said.
While bookies have tipped Everton’s David Moyes to take over, and Jose Mourinho also thought to be in the running, investors today ditched shares in the football club.
