Stefan Borson predicts real reason Man City owners have just invested £200m+

Manchester City’s ownership group has likely invested a further £210million to help support all the teams within their multi-club model.

That is the view of former Man City financial adviser Stefan Borson, who exclusively told Football Insider he believes American investment firm Silver Lake is likely to be the party behind the new investment.

A Companies House submission on 28 August confirmed City Football Group (CFG) – the owners of Man City – have issued £210million of A Preference Shares.

Silver Lake initially bought a 10 per cent stake in CFG in 2019, but it has since increased its shareholding to 18.1 per cent, while the Abu Dhabi United Group owns 78.7 per cent.

Man City investors could have increased stake in ownership group

Borson revealed the latest investment could see Silver Lake increase its share in CFG, with the other shareholders’ stakes being diluted as a result.

He told Football Insider: “The group generally has a need for cash and it has had a need for cash since its inception, just because it’s been so acquisitive and they have grown so many of those clubs.

“It’s not a huge surprise that they need to continue to raise money to carry out the sorts out things they are involved in.

“The only slightly interesting aspect is where the money is coming from. We don’t know for sure because they haven’t yet filed the requisite returns to Companies House in the UK.

“That looks like it happens for City around about the end of January.

“But the club has issued A Preference Shares and, historically, the only party that has had A Preference Shares are the Silicon Valley-based investor Silver Lake.

“That would be interesting if it was Silver Lake that was putting the new money in.

“Just to distinguish new money from existing money, it means that none of the existing shareholders have sold any shares to this new party, be it Silver Lake or somebody else.

“It means the company has issued more shares, thereby diluting all the other shareholders and effectively just increasing the capital base of the company.

“It looks like it’s Silver Lake, but we don’t know for sure. If it is, it’s interesting given the timing.

“It’s an interesting sign of commitment from Silver Lake to put another £210million in.”

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