THE POWER PLAY regarding Arsenal’s top-brass has taken an intriguing turn with majority owner Stan Kroenke offering his rival Alisher Usmanov over £500m for his 30.4% stake in the club.
Kroenke, a strong supporter of consistently under-fire manager Arsene Wenger, has been the subject of fans’ dissatisfaction for quite a while owing to his perceived lack of ambition and interest in changing what many feel is a stagnating environment.
Usmanov has tried, unsuccessfully, to take on Kroenke several times and his last power grab came in May – at the height of high-profile protests from Arsenal fans, when he bid £1 billion for the American’s shares and promised big-spending and an exciting new era.
But, Kroenke dug in his heels. Now, he’s made a move of his own.
Currently in possession of 67% of the club, Kroenke would take hold of over 97% should Usmanov decide he’s had enough.
The Russian billionaire does not have a seat on the board and remains sidelined from any important business strategy. He’s tried and failed to push Kroenke out the door and may be prepared to raise a white flag.
But, that has its own potential repercussions for the club.
Many feel Kroenke will inevitably turn the club into a private entity if he takes over Usmanov’s incredibly sizeable piece of the pie.
With the remaining shareholders carrying minimal, and easily gettable, shares, Kroenke would have a multitude of possibilities once total control is guaranteed, including using Arsenal to leverage against his other business entities – like the Glazer family did at Manchester United.
It would also mean that the club’s accounts would not have to be published – leading to transparency issues, there would be no need for an AGM while Kroenke could also move Arsenal’s registration to his native United States.
This year’s AGM is set for 26 October and, given this update, it promises to be an explosive one.
Subscribe to The42 podcasts here:
