Kroenke secured a controlling stake that clears the way for him to become the fifth U.S. owner of a Premier League club.
While the Denver investor said he would bring “new success” to a club in the midst of a six-year title drought, he did not mention a commitment to spending heavily on new players.
Kroenke’s stake in Arsenal will rise from nearly 30 percent to nearly 63 percent after agreeing to buy shares from fellow directors, including Danny Fiszman and Nina Bracewell-Smith. The deal values the club at $1.2 billion.
By going over the 30 percent threshold, the 63-year-old Kroenke is obliged to mount a full takeover bid by making a mandatory cash offer for the remaining shares.
“We are excited about the opportunity to increase our involvement with and commitment to Arsenal,” Kroenke said in a statement to London’s Plus Market. “Arsenal is a fantastic club with a special history and tradition and a wonderful manager in Arsene Wenger. We intend to build on this rich heritage and take the club to new success.”
Trophies have been lacking at Arsenal since the London club won the FA Cup in 2005 and Premier League a year earlier. The 13-time English champions are seven points behind Manchester United with seven matches remaining in the current title race, but with a game in hand over the leaders.
“It’s the end of an era but it’s also the beginning of an era,” Arsenal chief executive Ivan Gazidis said. “I don’t think we will see dramatic changes. At the same, I do think that Mr. Kroenke brings experience in the sports arena. He’s got tremendous experience in the United States and also experience now over here in England.”
Manchester United fell under American ownership in 2005 when Malcolm Glazer took charge, and he has been followed by compatriots John Henry at Liverpool, Randy Lerner at Aston Villa, and Ellis Short at Sunderland. Chelsea, Manchester City, Fulham, Blackburn and Birmingham are also owned by foreigners.
Leveraged takeovers at Liverpool by Tom Hicks and George Gillett Jr., who were forced to sell the club to Henry’s ownership group last year, and the Glazer family at Manchester United enraged fans by loading their teams with new debt.
Kroenke insisted on Monday that his takeover “will not be funded by way of any debt finance.”
Kroenke has also pledged to “support and adhere to the self-sustaining business model” at Arsenal, which has a tradition of being well run, avoiding big transfer fees and relying on talent developed through its youth teams.
“I have worked with Stan Kroenke at board meetings over the past couple of years and I believe he has the best interests of Arsenal at heart,” Wenger said. “He understands the club’s heritage and traditions and our ambition to run the club in a way which protects our long-term future.”View Entire Story
Independent voices from the TWT Communities
Entertainment News and Reviews from Washington, D.C. and beyond.
A carefully guided tour through the confusing world of modern bookselling and publishing.
Empowering mind/body/spirit and health dialogue along with cutting-edge, conscious social, political, and world commentary with Adam Omkara. Join the Evolution!
A politically conservative and morally liberal Hebrew alpha male hunts left-wing viper
World's Ugliest Dog Contest
Spelling Bee finale
Marines train Afghan soldiers
Rolling Thunder 2013
Benghazi: The anatomy of a scandal