Leeds United takeover news: Andrea Radrizzani expected to stay in ‘massive gamble’ after 49ers deal voided
Andrea Radrizzani is now expected to remain as owner of Leeds United after relegation to the Championship “voided” his deal to sell to 49ers Enterprises, industry experts have told i News.
The Italian was in line to part with the 56% share holding he has in the club for around £220million if the club had stayed in the Premier League, but the 4-1 defeat to Tottenham on the final day (28 May) sealed their fate.
The total valuation of the club is thought to have fallen from around £420million to just £170million with the failure, and despite fans making clear they wanted him out with chants from the stands at Elland Road there is reportedly a “strong suggestion” in the industry he will either stay or attempt to renegotiate the sale price.
According to i News: “Industry experts believe Radrizzani’s Aser Ventures’ business model will favour them keeping hold of the club rather than selling on the cheap.
“Ben Peppi, head of sport services at JMW, told i Radrizzani would be taking a ‘big gamble’ if he decided to keep hold of the club but there was logic underpinning the idea.
“‘It’s a massive gamble if they don’t sell now,’ he said. ‘You’re probably looking at relegation costing anywhere between £85m to £100m and Leeds’ valuation has taken a huge hit now.
“‘So the question is for Radrizzani, do you sell now? Within year one you are facing a reduced valuation but it’s still a reasonable one because you get 55 per cent of broadcasting revenues through parachute payments.
“‘If your stay in the Championship drags on longer, in year two or even three, they will take a huge hit, especially when parachute payments disappear. Things will then look a lot bleaker.'”
Nightmare
This may make sense in terms of Radrizzani’s bank balance but it is the last thing Leeds United fans want to see after a season with the Italian at the helm which has been chaotic virtually from start to finish.
The end of the three-year stay in the Premier League is the headline from a campaign that saw him run through four managers, the team concede a league-worst 78 goals while winning just seven times, Victor Orta eventually dispatched after disagreements over the managerial changes, and numerous signings not pan out.
Radrizzani then spent most of the week that the Whites were relegated in Italy attempting to rescue already-down Sampdoria, and despite flying to the US for more negotiations with the 49ers was then was not in attendance at Elland Road on Sunday, not that it would have been very useful if he had been.
The 49ers have been waiting in the wings to take full control for months now, and while it is impossible to say with certainty how it would go until they are in charge, appear to have ambitious plans for the future with funding available that the current chairman can’t provide.
They do have to shoulder a certain amount of the responsibility for the mess this season turned into, but Radrizzani has been in charge and it is hard to see any particular benefit to the team to be stuck in ownership limbo for another year or more.
If he is set to stay then at the very least he needs to get the operation for next season set as a matter of priority, with questions that need answering at every level.
In other Leeds United news, one Sky Sports pundit blasted the team after he saw the “ultimate slap in the face for the fans”.