Saudi-backed Consortium Abandons Bid To Buy Newcastle United

Deal had been agreed to buy the club for $390m from current owner Mike Ashley in April

An investor group led by Saudi Arabia’s Public Investment Fund has abandoned its proposed 300 million-pound ($390m) takeover of English Premier League outfit Newcastle United Football Club.

The consortium formally withdrew its interest because of the prolonged process and current challenges posed by the ongoing coronavirus crisis, it said in an emailed statement Thursday.

The investor group agreed to acquire the club from billionaire Mike Ashley in April, around the time English football was suspended because of the pandemic. After reaching the deal with Ashley, the consortium had been waiting for approval from the English Premier League on their suitability as owners.

“During the unforeseeably prolonged process, the commercial agreement between the investment group and the club’s owners expired,” the consortium said in the statement. “Our investment thesis could not be sustained, particularly with no clarity as to the circumstances under which the next season will start and the new norms that will arise.

"With a deep appreciation for the Newcastle community and the significance of its football club, we have come to the decision to withdraw our interest in acquiring Newcastle United Football Club."

The buyer consortium also included English financier Amanda Staveley and the British billionaire brothers Simon and David Reuben.

Newcastle is one of the best-supported teams in England and regularly draws crowds of more than 50,000 to its stadium in the northeast of the country. Fans of the club, who have become disillusioned by perceived mismanagement under Ashley, had hoped a new owner would invest in players to make the team more competitive. Newcastle United has not won a major trophy for more than 50 years.

For all the latest banking and finance news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.
RECENT NEWS

UAEs Maseera Acquires Egyptian Fintech ADVA

The move marks a critical milestone in Maseera’s regional expansion strategy Read more

Oman Mandates IBAN For Domestic Transfers From July 2025

The move follows the Oman Central Bank's implementation of the IBAN system for international transfers from March 31, 2... Read more

Egypt And Jordan Thank The European Parliament For New Financial Aid

The European Union members recently approved loans worth $4.4 billion in three instalments to Egypt and $555 million to... Read more

Standard Chartereds SC Ventures To Replicate Asia, Africa SME Model In GCC

SC Ventures to bring its successful SME building strategy in India, South East Asia and Africa to GCC, and plans to rol... Read more

UAE Central Bank Revokes Licence Of Dynamics Insurance Brokers For Regulatory Breaches

Dynamics Insurance Brokers "failed to comply with the licensing terms and requirements issued by the Central Bank and w... Read more

Eid Al Fitr Holidays In The GCC; Dubais 100 Most Influential People; UAE Petrol Prices To Change; Royal Baby Announced – 10 Things You Missed This Week

Eid holidays, the Dubai 100, UAE petrol prices, Royal Baby named, Palm Jebel Ali investments and more top news stories ... Read more