CroJack
Key Player
PART I
Ownership
Ownership
Kevin McCabe and his family, and Prince Abdullah Bin Mosaad Bin Abdulaziz Al Saud (Saudi Arabia’s minister for youth and sport) 50 per cent each of Sheffield United after a deal between them in 2013. The stadium and training ground, which are currently on a long lease at a favourable rate, are owned by Kevin McCabe and his family.
In 2013 Prince Abdullah paid £1 and invested £10m in return for 50 per cent of the club, then in League One, while McCabe kept the other half and full ownership of its properties, including stadium and training ground.
McCabe boasted of finding the perfect investor for the Blades, a Saudi royal and sports fan with the connections to build a bright future.
Prince Abdullah had considered Leeds, Derby and Charlton before turning to Sheffield United but his interest seemed to drift, and he became Saudi Arabia’s minister for youth and sport in June 2014.
He continued to pay his way and play a key role in the decision-making process but has been spotted at Bramall Lane only twice in nearly five years and those employed to represent his interests have not made a positive impression.
Moreover, the partnership has failed to transform Sheffield United into anything it wasn’t before. Although back in the Championship, the club still operate at a loss, and are propped up by the co-owners, whose working relationship soured before it collapsed after promotion in May 2017.
McCabe decided to end the partnership, even if this meant also ending his family’s long association with the club.
In December, he offered to buy the Prince’s 50 per cent for a deliberately low price of £5m, aware this would trigger a ‘Russian Roulette’ clause in the original deal which meant the prince had to accept the offer or counter it at the same price.
If the counter-offer was made the first shareholder was bound to sell. But if the prince bought McCabe’s share for £5m it would trigger another clause, because any one party owning 75 per cent of the club would be obliged to buy the properties owned by McCabe at their market value.
Prince Abdullah served his intention to buy at £5m but not until two days after moving 80 per cent of his own shares to a brand new company called Up The Blades 2018. By parking shares in UTB 2018, he could take full control for £5m without breaking through the 75 per cent barrier with a single company, thus avoiding the obligation to buy properties which are currently on a long lease at a favourable rate from McCabe.
When McCabe realised what had happened he refused to sign off the shares, the prince launched legal proceedings against McCabe for breaking the terms of agreement and McCabe responded with his defence and a series of counter-claims.
This summer they headed for the courtroom, where Mr Justice Fancourt said the ‘manoeuvre’ by the Prince has ‘caused consternation and considerable upset for the McCabes’ who felt ‘tricked out of their entitlement’.
Sheffield United’s executive officers told the court the club needed an injection from its owners of £2.5m to stay solvent and a further £7.5m for transfer fees and new wages in order to satisfy Wilder and keep building towards the Premier League.
But as the two sides bickered and reached an impasse about how to provide the money, the sale of Brooks to Bournemouth, with £4m up front, presented a convenient solution.
Even with the sale, recruitment has been limited, and the same problem will recur until the power struggle can be resolved.
With a court date months away it will be a testing season for Wilder and the co-owners. This dispute must be resolved before Sheffield United can truly prosper."
http://www.dailymail.co.uk/sport/fo...oardroom-dispute-threatens-derail-season.html