According to the Observer, around 30 wealthy Red Knights investors would take control of United by setting up a new company that would later invite fans from around the world to subscribe to new shares. The proposal is being studied by the bidder's financial adviser, Japanese bank Nomura.
The move would resemble the ownership structure of Spanish rival Barcelona which is owned by its fans and profits are ploughed directly back into the club. United's profits are currently being used to service huge debts acquired by the Glazers when they bought United in 2005.
Nomura met with wealthy supporters of the Red Knights campaign last week. The Red Knights are backed by investment banker Keith Harris and Paul Marshall, founder of London-based hedge fund Marshall Wace. Negotiations are taken out by Guy Dawson, the man who set up financial advisory boutique Tricorn before it was recently acquired by Nomura.
The newspaper also reports several sovereign wealth funds have expressed an interest in the Red Knights and five British individuals are willing to invest £10 million each.
United's chief executive, David Gill, defended the Glazers' ownership of United, saying funds are available for the manager to use in the transfer market this summer.
