Arsenal MD issues investment warning

With speculation mounting that American billionaire Stan Kroenke is set to launch a takeover bid, Gunners managing director Keith Edelman reiterated the board's opposition to such a move.

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Kroenke, who currently owns just over 12% of the club's parent company, is thought to be keen increase his financial involvement.

He could yet face competition from Formula One supremo Bernie Ecclestone, who has links to ousted Arsenal vice-chairman David Dein and who yesterday refused to rule out the possibility of a takeover.

Edelman insists the board "welcome" Kroenke as a shareholder but added on Arsenal.com: "That is the beginning and the end of the story at this juncture.

"I think the current shareholders have committed themselves to the club and believe in the club.

"You see talk about Arsenal needing a billionaire owner to put more money into the club but Arsene has always said, and the board also believe, that a football club can only really be run from the revenues that it generates itself over the long term.

"If you look at some of the other clubs with billionaire owners, their debts are mounting up.

"Anybody who invests in a club, particularly from overseas, who maybe doesn't love the club the way our shareholders do - and they do buy in to Arsenal more out of the love than financial return - will be looking for financial returns in the short, medium or long term.

"And if someone is looking for financial returns, they will in the long term take more money out of the club than they put in.

"The only exception we have seen is Roman Abramovich at Chelsea who has invested significant funds in the club over a number of years. But even they are - if you read what the Chelsea executives and Abramovich are saying - looking to balance their books over the long term."

Edelman claims this philosophy is what separates the current board from would-be investors.

"Our current shareholders have been incredibly generous with the club and haven't taken a dividend for very many years," he said.

"I just want to make sure that fans really do understand that if a billionaire buys any club in the country, it doesn't automatically mean that they're going to have success or be able to invest further sums in the squads.

"What is really important is that the business runs from the funds that it generates itself. Part of my job is to make sure that we generate the maximum amount of revenue that we can so that we can invest in the squad.

"I think the Arsenal board also take the fans into consideration. If we were a normal business and we balanced the demand we have against the supply we've got then we would have increased our ticket prices substantially on the basis that we could easily fill the stadium with a price increase of five, or even 10%.

"The board recognises the loyalty and the commitment of fans though and reflect that in the prices we charge. As such, we have frozen prices this season."