Tottenham could kill Qatari interest because of Daniel Levy stance – Finance expert

Football finance expert Kieran Maguire has explained how any new owners of Tottenham might have to gradually phase out Daniel Levy and suggested that the Spurs chairman’s negotiating tactics might put off many prospective investors.

Over the last two weeks, we have seen a number of reports suggest that a group of private investors from Qatar are looking to buy out Tottenham from ENIC, with negotiations thought to be ongoing.

Some sources have even claimed that a Tottenham takeover deal has already been struck while others have insisted that that an agreement is nowhere near completion.

The big talking point at the moment seems to be around the suggestions that the Qatari investors are willing to hand Daniel Levy a long-term contract to continue running the club if their takeover attempts are successful.

Kieran Maguire says Daniel Levy could be phased out

Kieran Maguire has suggested that like Crystal Palace chairman Steve Paris, Levy might not be too keen on surrendering complete control of the club just yet.

He explained that the Tottenham supremo’s demands might put off potential investors and suggested that they could follow a similar model to INEOS at Man Utd, with the takeover being completed in stages.

When asked about Levy potentially continuing on as chairman despite a potential Tottenham takeover, Maguire told TBR Football: “Daniel Levy doesn’t want to give up his position. If we take a look at some other deals, Steve Parish is first and foremost a Crystal Palace fan and, even though he only owns 10 per cent, he is the chairman and wants to be involved in operational decision-making with a minority stake. This could be an element of pragmatism from potential Qatari owners.

“Levy doesn’t need the money from the sale of shares because he does extremely well out of his Spurs salary, so if he is going to play hardball, which is his default position, we now have hardball squared. That is enough to put off many potential investors in Spurs even though it is an incredibly attractive business proposition.

“A staggered approach has some merits. It will also allow new owners to become familiar with the unique nature of the football industry and, more specifically, the Premier League while Levy remains the face of the club. That might work or it might not. We have seen at Man United where there is a potential staggered arrangement with Sir Jim Ratcliffe.

“He has the rights to match any offer for the Glazers’ shares and he has operational control of the club. But that doesn’t always lead to a smooth operational control. You could see how that might be the case at Spurs in a post-ENIC environment.”

Private investors will mainly be concerned about the bottom line

Any group of private investors who spend billions of pounds to buy Tottenham Hotspur will first and foremost be worried about the return on investment, not on-field success.

They might recognise the work Levy has done in building revenue streams and making the club sustainable and want him to continue doing the same. Fans who think that a change in ownership will immediately translate to on-pitch success are living in cuckoo land.

Even if Spurs are taken over by a state-backed entity like Man City or Newcastle (who would care more about success than their bottom line), the current PSR regulations mean that owners cannot simply pump money into the club, with each team’s spending being limited by the revenue that the club generates.

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