Manchester United make £140m loan withdrawal to bolster summer transfer kitty

Manchester United have taken a £150million loan from a syndicated revolving credit facility, which could bolster Ole Gunnar Solskjaer’s summer transfer budget.

The Red Devils announced last week that their net debt had increased by £127.4m to £429.1m in the last 12 months, while registering a pre-tax loss of £28.55m in the third-quarter from 1 January to 31 March.

The suspension of the Premier League has hit United just as much as other clubs and though the club’s commercial strength means they’re best placed to find their way through, executive vice-chairman Ed Woodward warned supporters last month not to expect big money transfers this summer.

Nevertheless, Solskjaer wants to add to his squad and Reuters report that United have taken a £140m loan from its £150m syndicate in order to boost the club’s cash reserves.

With broadcast revenue and matchday income plummeting in the last three months, United’s cash reserves have taken a drip – though they attributed this to payments on Bruno Fernandes and Harry Maguire.

However, United told Reuters that the loan would help to ease their cash position, give the Red Devils greater ‘financial flexibility’ and help to maintain liquidity throughout the pandemic.

United had been confident of signing Dortmund superstar Jadon Sancho but the Bundesliga giants are seeking £120m for the England winger.

The Red Devils remain keen but hope to talk Dortmund down from their valuation.

The same stands for Aston Villa captain Jack Grealish, though United believe he could be signed for a cut-price fee if Villa are relegated.

Solskjaer has a number of transfer targets and had hoped to sign three players this summer but in each case he has at least two back-up options, where players are deemed more affordable and more attainable.