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Manchester United Goes Public, Who Cares?

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  • Description

    Ed Butowsky of Chapwood Investments discusses the IPO of the soccer club.

  • Duration 3:41
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-- -- He manages the money of sports bonds he's got -- -- look to to say about man U and whether or not -- invest in it.

Would you touch it with a ten foot pole and -- now not had a chance in the world they mean.

You know it that doesn't surprise -- I mean these companies go public and oftentimes we'll go and as an IPO.

And it's there's a lot of greed involved with that because when you take a company public -- usually get about.

60% more or 15% more than if there was a private transaction so when I see companies going public I see that -- reaching as quickly as they can to make as much money as they can.

And would glaze or -- benefiting from this that shouldn't surprise anybody.

-- by the way the company -- team I should say I guess is a company is loaded up with debt.

Delays -- -- -- -- debt when -- -- the company that the team in the first place.

That -- loaded it up with -- -- its profitable.

I think he's trying to take money from the friends.

In order to take his money out but he still retains full control all of the team -- that is most interest.

Well I don't know how that negotiation went by it but there's absolutely no question about it that -- take away the -- Manchester United just say it's company a company a going public anybody who's an institutional investor looks of that they would not look and buy this stock right now because of the debt because of the valuation you run away from -- they're -- -- a lot of those shirts.

To really justify even what is going at right now it's Friday.

So with Seoul would stay on sports because you're -- sports guy you manage the money as some -- pretty well known sports stars I want to bring to your attention.

Dwight Howard.

I believe he's gonna play for the latest and I am told that that makes the lake is possibly the new super dream to you -- -- -- Right.

-- without question fact Dwight has been out there the last three weeks hanging out in Los Angeles I have friends of mine who seen him and talk to them so this is not a surprise this this deal has been in the works for a very very long time and what you really have now are these super teams and we hear it and baseball all the time -- between you know the Yankees which are my team.

And some of the other big teams you know -- heavily loaded up their talent and you're gonna see a little bit of a separation you're gonna see that Miami Heat the lakers and some other teams really try to go out of their way pick up a lot of big talent and try to win that championship that year.

The problem I have with the Stuart there's no loyalty anymore in any sports you there's no team out there that really builds their talent from the bottom up the last -- we heard about was Tampa Bay which went on to the World Series which I really liked.

-- well you know it's estimated didn't various sports super teams are emerging these of the teams with massive amounts of money that acquire all the -- And they just the run away from the rest of the field menu is like -- in software and -- yeah.

-- -- like back in Spanish soccer.

May -- the the lakers will do that in by a basketball -- America the -- do it in in baseball in America but he is one thing I really like about -- how.

It doesn't have any tattoos does.

Not.

Dwight I I actually know -- he is one of the nicest people you'll ever meet in your life.

And there's an image that a lot of people have about these athletes and and most of it is unjustified I get to know these guys pretty well and you'll never find a guy nicer than -- he's a great great guy and he's he's the kind of guy that you would feel very comfortable having your daughter go out okay.

By the way I'm told it's not a done deal yet I think that's accurate right now.

That is correct there's still a lot of other things and you never know what David Stern's gonna -- -- If you allowed.

Miami -- to do -- they did I'd be surprised that this deal doesn't come through all right didn't wanna jump adult I don't want at Patel senior thank you very much indeed have a great weekend that we'll -- uses you to sort.

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