Fresh Sheffield Wednesday takeover update emerges - it involves the EFL | OneFootball

The Owls and the governing body have been in talks over the potential future sanctions imposed on the club

Sheffield Wednesday and their long-suffering supporters are remaining hopeful that the club's drawn-out takeover process will finally conclude in the remaining weeks of the current season.

The Owls have been in limbo for many months now, with controversial former owner, Dejphon Chansiri, placing the club into the hands of joint administrators, Begbies Traynor, late in October amid fears of a winding-up petition from His Majesty's Revenue and Customs.

After an initial bidding war ensued, a consortium led by James Bord was initially granted 'preferred bidder' status on Christmas Eve, before their £47.8m offer was withdrawn last month after initial controversies surrounding the former Sheffield United recruitment advisor came to the fore.

With the takeover process then reverting to the 'bidding war' stage, it allowed the likes of ex-Newcastle United chairman, Mike Ashley, and David Storch to put a second bid for the Owls on the table after they were both unsuccessful in December.

Storch had previously attempted to join forces with fellow American, John McEvoy, in the process late in 2025 with Begbies Traynor setting out a clear £30m valuation on the South Yorkshire outfit.

He was eventually named as their second 'preferred bidder' late on March 10th, shortly after watching Henrik Pedersen's side come mightily close to achieving just a second Championship victory of the season against Watford.

Arise Capital Partners LLC is made up of Storch, his son Jonathan and Tom Costin, with it being reported that the consortium's offer sat at the £18m mark, still short of the £30m needed to fully pay off outstanding debts and creditors - including Chansiri.

As such, several reports have emerged regarding potential sanctions that Wednesday may face in League One next term, although a fresh update of sorts has now come to the fore on this particular front, involving the EFL.

'Important' Sheffield Wednesday, EFL deadline passes amid David Storch takeover negotiations

Wednesday's current season has certainly been 'unforgettable' for many reasons, with the deduction of 18 points, an extreme lack of financial resources and room to manouvre in the transfer market culminating in the EFL's earliest-ever relegation on February 22nd.

They still remain on minus-six points with seven matches to play, albeit takeover negotiations have, unsurprisingly, continued to dominate headlines in this part of the world.

It has been well-documented that the Owls have been at risk of starting next season on -15 points, with the aforementioned £18m bid still not enough to ensure Chansiri is being paid at least £15m of the £60m owed to him due to the EFL's regulations of creditors needing to be paid 25p in the pound.

It had also been claimed that the club could be hit with an overall wage limit of £7m for 2026/27 and a weekly salary limit of £7,000 per player, as well as the continuation of a transfer fee restriction in place until next winter.

However, it was recently reported by the Sheffield Star that there is optimism that the spending restrictions could be eased to align with League One rules, and that the proposed penalties were viewed as a starting point in the negotiation process.

There is now confidence that Arise Capital will pass the EFL's Owners' and Directors' Test, and that the governing body and Storch's consortium have agreed an acceptable path towards them being handed the keys to the takeover boardroom.

This comes after a lengthy online meeting between members of Arise Capital, the EFL, Begbies Traynor and the newly-introduced Independent Football Regulator on March 28th.

It has been stated that those linked to the preferred consortium were satisfied with the outcome of the meeting, although a full conclusion on the sanctions which could be imposed on the Owls is still to come.

Henrik Pedersen will hope to learn the extent of Sheffield Wednesday's sanctions ahead of League One campaign

At this stage, it still remains to be seen how the Owls' initial rebuilding job will begin in League One.

As such, Pedersen, his players and all associated with the club will hope to learn the full extent of any sanctions prior to the opening of the transfer window, particularly when it comes to attracting new players to S6 if limited funds are available.

Furthermore, a 15-point penalty would also move the goalposts when it comes to the overall aim those at the club may hold, given they would need five wins minimum to make it onto a 'positive' points tally.

However, the aforementioned negotiations still show that the takeover process is moving in the right direction, which will certainly please Wednesdayites at this point.