Yankees deal boosts Man United share price

Manchester United shares rose by more than 9 per cent today on news that the world's biggest football club is set to sign a joint…

Manchester United shares rose by more than 9 per cent today on news that the world's biggest football club is set to sign a joint marketing deal with the New York Yankees, the world's richest baseball team.

Under the joint marketing agreement a 'Superclub' will be formed with the two clubs selling themselves to potential sponsors and TV networks.

There will also be an exchange of merchandising with the clubs selling each other's souvenirs and kits.

Despite the share price rise, Manchester United's value is still way offside compared with what it was a year ago.

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Along with many other publicly listed clubs it has seen its value fall amid concerns about the rising cost of players' wages and growing fears that transfer system changes will affect their bottom line.

In March last year, Manchester United shares peaked at around £4.75 sterling, valuing the company at more than £1 billion.

But even after today's news, its share price stood at £2.24 sterling, valuing the company at just over £600 million sterling.

PA