Dr Dan: Leeds United £475m valuation is inflated

We’re delighted to welcome football finance expert Dr Daniel Plumley as our exclusive columnist. Each week he’ll be giving his views on the biggest talking points at Leeds United...

Based on current accounts, Leeds United are realistically worth only between £200 million and £250 million.

That’s according to Dr Dan Plumley, who claims that the Whites valuation has been inflated after the revelation of a takeover option.

In early December, The Athletic reported that San Francisco 49ers have a deal in place to complete a full Leeds United takeover for a fee that could be north of £400million which could even rise to £475million.

It also includes full ownership of Elland Road and a full buy-out is set to be executed by 2024.

Andrea Radrizzani may retain a small minority stake should the takeover go through.

Speaking exclusively to MOT Leeds News about the possibility of the club being overvalued, Dr Dan, the Sheffield Hallam University expert, said:

"It's difficult to get an exact valuation on Leeds because they have negative equity which skews the calculation a bit.

"Based on revenue and staying in the Premier League, which is important, and in terms of the value of the stadium and long-term commitment of the owners and factoring in some of the intangible stuff, you're looking at a valuation of £200million-£250million.

"But at the end of the day, the valuation is how much they've agreed to pay for it."

January 2024 is understood to be the deadline for this takeover, but there is a feeling that it could happen sooner.

Currently, the 49ers own a 44 per cent stake in the Yorkshire-based football club, with an increase of 7 per cent coming in November 2021.

In other Leeds United news, the club want to sign a ‘Phenomenal’ centre mid & his side are desperate to sell him