Sheffield Wednesday takeover: What is the Dejphon Chansiri issue? | OneFootball

Sheffield Wednesday are still awaiting ratification of David Storch's bid to buy the club

The 1 May takeover target at Sheffield Wednesday is approaching quite quickly with no decision yet made on David Storch’s bid to buy the club.

Arise Capital reached an agreement to take over the Owls in March, but ratification is still needed from the EFL regarding their offer.

The Yorkshire outfit have been in administration since October following significant financial mismanagement under Dejphon Chansiri.

It’s been reported that the Storch bid is around the £20 million mark, which will not be enough to satisfy the EFL’s rules regarding the payment of the club’s creditors at a rate of 25p on the pound.

The money owed to Chansiri is seen as a major stumbling block, which could lead to a 15 point deduction for Sheffield Wednesday next season unless a resolution can be found.

Here we take a look at the latest in what the issue is with Chansiri as talks march on between the former and the prospective new owner at Hillsborough…

Dejphon Chansiri’s Sheffield Wednesday takeover issue

As part of Chansiri’s ownership of Sheffield Wednesday, which began in 2015, he loaned the club up to £60 million.

It is understood that Sheffield Wednesday will owe him around £15 million as part of the EFL’s rules regarding leaving administration.

Failure to meet this payment, or the payment of any of the club’s other creditors, will incur a 15 point penalty from the EFL for next season.

The Owls have suffered relegation to League One this season under Henrik Pedersen, and will be hoping to fight for a place back in the Championship next year under new ownership.

Talks are ongoing between Storch and the Thai businessman but no agreement has yet been reached.

Administrator Kris Wigfield, who has overseen the club’s day-to-day operations over the last several months, offered an update on 17 April in which he claimed all parties were pulling in the same direction.

It was also reported earlier this month that another bidder had come forward that was willing to offer Chansiri the full amount he will be owed in any takeover.

However, there is little scope for them to become the next preferred option to buy Sheffield Wednesday at this stage, meaning it is likely a dead end.

Storch will be hoping to find an agreement that will allow the club to avoid a 15 point penalty, and for the takeover to be completed by the 1 May deadline that’s been set.

Sheffield Wednesday running out of time to meet 1 May deadline

Sheffield Wednesday’s final home game of the season will take place on 2 May against West Brom.

It could be quite the occasion, with a full house expected at Hillsborough, if the takeover is completed by then.

However, failure to reach an agreement with Chansiri by 1 May could lead to the takeover process running on beyond that point.

There are now just days left before this deadline will pass, although it was claimed by reporter Alex Miller late last week that major progress has not been made in talks with Chansiri.

This setback continues to delay Storch’s bid to buy the Championship side, as he seeks any kind of agreement that could prevent a 15 point deduction for the team next season.