Leeds United’s owners, 49ers Enterprises, may finalize an acquisition of Rangers in the near future, with sources stating that talks had advanced this month.
The 49ers will undoubtedly be focused on Daniel Farke leading Leeds back to the Premier League following Monday night’s stunning win at Bramall Lane, but they also have other plans in the works.
Over the weekend, reports surfaced alleging that Leeds chairman Paraag Marathe was leading negotiations to finalize a takeover of Scottish powerhouse Rangers, with those talks moving further.
Jim White and Simon Jordan react to Leeds and Rangers’ multi-club ownership under 49ers.
If the 49ers complete their reported purchase of the Scottish Premiership club, Leeds and Rangers will become the latest multi-club ownership model, a hotly debated topic in football but one with undeniable benefits for the clubs involved if carried out correctly.
Jim White, host of talkSPORT (25/2, 10:12am), said the following:
“All of a sudden, this lot could become a powerhouse in the UK game, Leeds United and Rangers, at the top of these two clubs, wow.”
Simon Jordan responded:
“I don’t think Rangers will become a powerhouse because they will continue to operate in the Scottish Premiership, which limits their opportunities.
“There’s only so much money you can make by putting people inside football stadiums and selling some merchandise; real money comes from broadcasting deals; the reason Manchester City, Manchester United, Liverpool, and Arsenal have turnovers of £500-600 million is because broadcasters pay the majority of it, with the rest coming from commercial deals and, of course, fans in attendance.
“The owners of Leeds United bought a Premier League football club, the original deal was to be involved with a Premier League football club, to buy out (Andrea) Radrizzani on the basis of being a Premier League football club, they probably got a discounted price because they dropped down into the Championship, but they’ve not set up to be a Championship football club.”
Can Leeds stay in the Premier League despite a significant financial difference with the major clubs?
The challenge for the 49ers is not only to ensure that Leeds and Rangers are the best in their respective divisions, but also to aim to accomplish more in the big picture.
For Leeds, that means not only achieving promotion, but also reinstating Leeds as a fixture in the top division once more, which will necessitate a massive financial turnaround, according to Jordan:
“Again, that’s a beautiful thing (a large fanbase), and it can’t be overstated, but it’s not the deciding element when it comes to winning on the field and catching up with the others.
“How will Leeds overcome the similar obstacles that Newcastle and Aston Villa faced in the current configuration? How do you go from a £200 million annual turnover to £700 million?
“The only way you can do it ultimately win on the field, and get better players, in order to do that you’ve got to spend, and you can’t because the current system handicaps you from doing that.”
The 49ers face a difficult double task at Leeds and Rangers.
If the 49ers take over at Ibrox, they will have to work hard to get Rangers up to the same level as their Glasgow rivals, who are now lightyears ahead.
It is not inconceivable, given the funds that they are likely to be able to put behind a rebuild in Scotland, but the same cannot be said for Elland Road.
If Leeds get promoted, the squad will need to be overhauled, and that is the only way we can stay up.
