Mr Malcolm Glazer's €1.1 billion bid to own Manchester United plc received a setback yesterday when the company's board signalled that it would not recommend his revised offer.

It confirmed in a statement that the US billionaire's firm, the Glazer Family Partnership, is willing to offer £3 (€4.35) a share for the business, subject to receiving a minimum of 75 per cent acceptances and to getting access to the company's books.

His new indicative offer includes less debt than the €700 million he proposed in a bid last autumn. It is understood that the proposal allows for borrowings in the region of €430 million, with the remainder covered by preference shares.

The Manchester United plc statement said that, if the current proposal were to develop into an offer, "the board considers that it is unlikely to be able to recommend it as being in the best interests of Manchester United, notwithstanding the fairness of the price".

However, the statement said that the board believes it is possible that the proposal could be delivered and that a majority of shareholders would want it to be developed.

It also made it clear that the board would have to give Glazer some access to the company's books, something it refused the partnership last autumn.

"The board has concluded that it now must provide limited due diligence, following which Glazer will be able to determine whether it wishes to put an offer to shareholders," the football club's statement said.

Responding to the news, the Mr John Magnier and Mr JP McManus-owned Cubic Expression, which holds 28.89 per cent of the company, said the latest development "changed nothing" and emphasised that the Irishmen were long-term investors in the club.