The Special One's pull is raising Manchester United's share price

Mourinho's presence will ensure that all eyes will be on Old Trafford when the new season kicks off...

The Special One's pull is raising Manchester United's share price

Jon Super / AP

Manchester United shares rose on the New York stock exchange by 2.4% in early trading yesterday as the club formally announced that it was to part ways with Dutch coach Louis van Gaal.

He is expected to be replaced by former Chelsea coach Jose Mourinho who will ensure that the spotlight remains on the red side of Manchester win, lose, or draw during the 2016/17 season.

 

Shares in Manchester United closed just under 1.37% higher last night at $17.04.

The club's profitability has become increasingly tied to 'commercial activities' these are defined as three streams through which it monetises the power that its brand has accumulated, through "sponsorship; retail, merchandising, apparel & product licensing; and mobile and (media) content."

Its sponsorship revenue was £154.8m for the year ended 30 June 2015 - retail, merchandising, apparel & product licensing revenue was £31.6m and mobile & content revenue was £10.4m. 

 

Manchester United predicts that its revenues will grow from £395m to over half a billion in 2016.

Its third quarter results note that five major sponsorship deals were secured during the past three months, and broadcasting revenue will increase by "40% for the 2017­/19 cycle."

The average attendance at Manchester United matches is over 99% and matchday revenue amounted to £90.6m during the 2014/15 season.

Man United is expected to invest in new players during the summer months, with Zlatan Ibrahimovic expected to join in a player/coach role.

The new boss faces a summer tour of China to take part in the International Champions Cup where it will face Borussia Dortmund and Manchester City.

The club will have to do without Champions League football next year, it previously said that failure to qualify would cost it £30m.