Big Sheffield Wednesday takeover update emerges - it involves Mike Ashley | OneFootball

The bidding process to take over Sheffield Wednesday is hotting up

Mike Ashley is among the potential buyers that remains a serious option to purchase Sheffield Wednesday.

According to the i Paper, the former Newcastle United owner is seen as a prospective buyer as we approach the soft deadline for indicative bids.

It’s previously been reported that 11 parties have shown interest in the Championship side to the point where they have provided proof of funds worth up to £50 million.

The Owls were placed into administration in late October, and were automatically handed a 12 point deduction penalty as a result.

But it is hoped that a swift resolution can be found with Dejphon Chansiri no longer in charge of the day-to-day running of Sheffield Wednesday.

Mike Ashley in contention to purchase Sheffield Wednesday

It is understood that the 11 parties will be whittled down to just three or four by the time offers need to be submitted to buy Sheffield Wednesday.

Ashley is believed to be one of the potential investors still looking to buy the club, along with US billionaire John McEvoy.

However, a consortium from the Middle East has withdrawn from the bidding process due to the expected cost of completing a deal.

It has been reported that the reserve price could be as high as £30 million, but that a competitive round of bids could lead to that number increasing.

It is also expected that the actual cost of buying Sheffield Wednesday could rise to £100 million over the next three years when accounting for investments needed in infrastructure and the first team squad.

It remains to be seen who will be named the preferred bidder, with offers needing to be made through the submission of an intent letter, which will provide details for the source of funding a deal.

A date of 5 December has been reported as the potential deadline for when a prefferd bidder could be named.

Sheffield Wednesday are bottom of the Championship table, 17 points adrift of safety, making relegation to League One a near-certainty at this stage.

Mike Ashley’s commitment shows he is serious about Sheffield Wednesday

Ashley obviously sees an opportunity with Sheffield Wednesday, as they are a historically big club in English football that are available at a potentially below market value.

While the Owls are a distressed asset, there is every chance that a wise investor could turn things around in a few years and dramatically increase the value of the Yorkshire outfit.

That Ashley is still involved in the bidding process, despite the competition, shows he is committed to purchasing the club.