Leeds United: Kieran Maguire issues 'not enough' 49ers Enterprises shares update at Elland Road
Leeds United owners, the 49ers Enterprises purchased shares in Elland Road Limited in the past year, but not enough to take control of the stadium, according to Kieran Maguire.
The American investment group reached an agreement with erstwhile chairman Andrea Radrizzani in the summer to assume control of the Championship side.
However, Radrizzani still controls Elland Road Ltd, which owns the majority of the stadium.
As outlined by finance expert Maguire on Twitter on Tuesday (10 October) following the release of Elland Road Ltd’s accounts for the year ended 30 June, the company charges rent of £1.7million a year to the football club and made a profit of about £1.5m in 2021-22.
Maguire added that “some shares were sold in the year to SF49’ers but not enough for them to take control of the stadium”.
Leeds fans may be glad to have entered a new era under their new American backers, but the figure of Radrizzani still looms large over the club, having purchased the iconic ground for £25m in December 2020.
The Whites are being charged £1.7m a year in rent to play at Elland Road, with that lease running for another nine years.
The 49ers Enterprises could have done with taking control of the stadium, but that is not the case.
It means United are effectively haemorrhaging money that could be going straight back into the club, whether to pay for upgrades or to simply cover general day-to-day running costs.
It may well be that the situation changes in the coming months or years, but for now, Radrizzani is still earning money from Leeds.