New Chelsea chief Peter Kenyon has left behind a club at the centre oftakeover talk, writes Matthew Garrahan

When Peter Kenyon walked out of Manchester United to become the new chief executive of Chelsea this week, he left behind a football club that has spent the past two years at the centre of takeover talk.

With a handful of individual investors, including Irish horse racing millionaires John Magnier and JP McManus, holding more than 20 per cent of Manchester United, speculation has grown that an attempt may soon be made to take the club private.

Mr Kenyon's departure is likely to heighten the fears of those Manchester United executives expecting a hostile bid.

Although the club moved swiftly in appointing David Gill, managing director, as Mr Kenyon's successor, the departure of the chief executive has left United looking increasingly vulnerable.

Add a very public spat between Sir Alex Ferguson and Mr Magnier over the ownership of a racehorse, together with the high-profile failure to land a number of this summer's transfer targets, such as the Brazilian star Ronaldinho, and potential bidders might think this was a good time to strike.

Should Manchester United be bracing itself for a bid? Shares in the club closed yesterday unchanged at 168p (239 cents) but are still more than 5 per cent lower than the day before Mr Kenyon resigned.

However, the shares are way off their 12-month low.

"One would assume, if the Irish were going to bid, they would have done so at the beginning of the year when the shares were 103p," said Andrew Lee, leisure analyst with Dresdner Kleinwort Wasserstein.

The consensus among analysts is that Manchester United's shares are near to being fully valued. Factor in a takeover premium of between 30 and 50 per cent and anyone contemplating a bid would have to offer about £550 million to get an offer on the table.

One observer said: "Barring another \ Abramovich and, given where the shares are, who is going to be willing to pay that much? It's a serious chunk of change."

However, the Russian billionaire's takeover of Chelsea raises interesting points about the future of quoted football clubs.

The £160 million Chelsea deal and the extravagant spending on players that followed - Mr Abramovich has spent £111 million on top stars to date - showed that football is capable of attracting individuals willing to spend substantial amounts of money regardless of whether their investment yields a return.

Clearly, anyone contemplating a bid for Manchester United would have to pay more than Mr Abramovich has invested so far in Chelsea. But it would be unwise to rule out interest in the north-west club from another wealthy trophy asset hunter.

Manchester United has played down the suggestion that Mr Kenyon's departure had left the club more vulnerable.

"We've got heavyweights on the board like Sir Roy Gardner from Centrica," said one person close to the club. "These guys have a lot of City experience and in our view, a takeover is no more likely today than it was a week ago."

Chelsea's extravagant spending on top stars, such as Hernan Crespo and Damien Duff, and its capture of Mr Kenyon, has prompted talk of a shift in the balance of power from Manchester United - off, as well as on the pitch.

However, in his first statement since being appointed chief executive, Mr Gill said Chelsea would never be able to match Manchester United's commercial success or attract as many supporters.

"Peter is an able businessman and I am sure he will have ideas to take Chelsea forward but we have 54 million fans around the globe," he said.

"We have 11 million in the UK and these fans are with us from cradle to grave. With all due respect to Chelsea, [the fans\] won't change \.

"Some are fickle and some youngsters might choose Chelsea if they are much, much more successful, but the majority are here for life.

"Peter is precluded in his contract against deliberate or blatant poaching [of our staff\]. But knowing the man as I do I don't think there will be a lot of that."

It has emerged that Mr Abramovich had approached Sir Alex Ferguson, Manchester United's manager, this summer in an attempt to lure him to Chelsea.

Mr Gill said he hoped to emulate the successful working relationship Sir Alex had with Mr Kenyon.

"I know Alex and we have worked together over the years but it would be wrong to say I have had the close working relationship with him that Peter had," he said. "That is something we will work on. He will get to know my style and I will get to know his, and we'll work closely together." - (Financial Times Service)