Singapore stock market float may solve Manchester United debt woes

A SOLUTION could have been found to resolving Manchester United's debts, with part of the club being sold off in Singapore in a deal which would also see them further develop their business in Asia.

The Barclays Premier League champions currently have debts of more than 500 million but they could hope to clear a large proportion of that by floating on the Singapore Stock Exchange.

The club has lodged a submission to launch an Initial Public Offering (IPO) - a flotation - with the intention of being listed on the stock exchange by the end of 2011.

The submission process will take between four and 12 weeks, followed by a further fortnight of administrative proceedings which will see United floating in the fourth quarter of the year. The English club already have 192 million supporters in Asia, out of a worldwide total of 333 million, and the flotation means they can develop commercial links and increase their fanbase.

In contrast to much of the western world which is in a deep recession, Asia's economy is continuing to grow, rebounding quickly after a short slump. It is not yet certain what proportion will be floated or how much the Glazer family, United's American owners, are hoping to raise, although some reports are estimating between 400 million and 600 million.

United were not commenting yesterday. A spokeswoman for the Singapore Stock Exchange, when asked about United's proposed flotation, said: "We have a policy of not commenting on any individual company or entity."