Former Newcastle United owner Mike Ashley is preparing a £10 million bid to purchase Sheffield Wednesday, hoping to finalise a deal swiftly.
The Championship side is currently being sold by administrators Begbies Traynor, who were appointed last month after owner Dejphon Chansiri placed the club into administration to avoid liquidation, following repeated failures to pay players and staff on time in five of the past seven months.
Begbies Traynor has asked all potential buyers to provide proof of at least £50 million in funds to qualify for the process. The club’s sale is being handled through an open auction, meaning the final price will depend on the highest offer.
Ashley, aged 61, has reportedly submitted sufficient financial documentation to gain access to the club’s data room and accounts for due diligence. His familiarity with the English Football League (EFL) could speed up approval if a deal is reached, as there are no concerns about his funding sources.
Although Ashley has been away from direct football ownership since selling Newcastle United to Saudi Arabia’s Public Investment Fund four years ago, he has remained active in the sporting business world. He notably purchased Coventry City’s CBS Arena in 2022 and sold it back to the club this summer for around £40 million, more than double what he paid.
Ashley faces competition from several interested parties, which could increase the club’s price. According to Kris Wigfield of Begbies Traynor, there are “four or five serious bidders,” including American billionaire John McEvoy, a minority stakeholder in the NHL’s Nashville Predators and MLB’s Colorado Rockies, as well as at least one other British and American consortium.
Ashley’s strategy of investing in financially distressed sports assets aligns with Wednesday’s current situation. He previously explored potential deals for Derby County and Reading during their financial crises before both clubs were sold to other investors.
Begbies Traynor, which has overseen the sales of Bolton Wanderers, Wigan Athletic, and the Worcester Warriorsrugby club, is aiming for a quick transaction. However, under EFL regulations, Sheffield Wednesday must remain on the market for at least 28 days following their entry into administration on 24 October.
“If everything progresses smoothly, we could know the club’s new owner by the end of November,” Wigfield said.
The club, however, faces a bleak short-term future. Sheffield Wednesday have been docked 12 points for entering administration, leaving them bottom of the Championship on minus-six points, with further sanctions expected due to Chansiri’s financial mismanagement.
An independent commission will hear cases concerning late wage payments from March and May, while a newly established financial review panel will assess similar breaches from June, July, and September. Both proceedings could result in additional points deductions, and Wednesday are banned from paying transfer fees until the summer of 2027.
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