The Reasons Newcastle United Are Now A Good Buy For Any Investor

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Newcastle United look an excellent takeover target for a consortium or individual who wants to buy a Premier League club.

The game on Sunday that was televised live around the world was very positive for Newcastle United with the NBC commentators praising the club and the fans and the city – “this is real football city” was often heard.

And we held Liverpool to a 1-1 draw, so we have a decent team and of course a world-class manager in Rafa Benitez.

There seems to be a minimum of three buyers after Newcastle since the Chronicle are reporting Chinese investors are interested and there is understood to be interest from a Middle East consortium and possibly a group form the US.

Mike Ashley has talked about getting some investment into the club so we can compete better with the likes of the two Manchester clubs so this could be an investment from interested groups.

On the other hand owner, Mike Ashley has said he would be willing to sell if he got a good offer – reported to be around £380M.

Amanda Staveley on Sunday – her Iranian husband Mehrdad Ghodoussi is on her right

These things very rarely move quickly because there is big money involved and the parties need to study the financial state of the club, and that takes time.

But there seems to be a definite interest in Newcastle and the money the club now gets is a lot higher than the last time the club was up for sale, so the price has risen – and the interest also seems to be there now.

And financier Amanda Staveley was at the game on Sunday, and that was intriguing, and the timing would suggest she’s involved in some way with helping to sell the club to one of her customers in the Middle East.

Newcastle have said she was a guest of former Newcastle manager Kenny Dalglish, who like Benitez has managed both Liverpool and Newcastle – so they are trying to play her presence down.

The TV and streaming money coming into the Premier League will only increase in the near future so it would be a good time to buy a club with the stature of Newcastle United.

We estimate that Newcastle revenues for this financial year could get close to £200M – the highest ever.

So £380M for the club is not an unusually high price – especially when our revenues will be expected to increase in future years with Rafa Benitez at the helm.

And of course, there is the great stadium and fans who must be the best in the world, and the Gallowgate Flags group put on a fantastic display for the worldwide TV audience.

I would definitely pay £380M for Newcastle.

But I had a look in the piggy bank, and I’m quite a few million short.

🙂

What do you think?

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