Usmanov builds toward 25 percent in Arsenal

Alisher Usmanov increased his holding in English Arsenal by one percent, and now holds 24 percent. That leaves him 0.1 percent off of majority shareholder Danny Fiszman.

Through Red and White Holdings, Usmanov paid GBP 1.7 million for 190 shares. Usmanov originally controlled 14.7 percent from former club vice-chairman David Dein, who was ousted after his attempts to bring in overseas investment, including U.S. investor Stan Kroenke.

Usmanov has been open in that he wants to take a 25-percent holding on the team, and holding a blocking share. If his holding company hits 29.9 percent, Usmanov would be obligated to make a takeover bid. That would be interesting as most of the board opposes him, and lead to perhaps the first hostile takeover attempt in English football.

Arsenal's board as a lockdown agreement prohibiting them from selling shares to Usmanov. The agreement originally was intended to subvert Kroenke's attempts to buy into the club, and lasted through April 2008. That agreement was extended by a year in the face of Usmanov's buying spree.

The agreement can be ended in October 2010. It does provide that, after it expires, the board members have first options on each other's shares. Kroenke has supported the lockdown.

Source: euFootball.BIZ © Copyright 2006 - All rights reserved.