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Sport Football Football League Wigan takeover off after bidder reduces value of offer by almost 50 per cent Club have been in administration since the start of July
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Your support makes all the difference. Close Read more Wigan ’s prospective takeover is off the cards after the Spanish bidder reduced the value of their offer by nearly 50 per cent.
A bid was accepted by the club in September , but the process had dragged on and a Latics statement on Tuesday morning revealed bad news for supporters of the League One club.
“As of 11am today, the administrators have broken off negotiations with the Spanish bidder,” the statement read.
“The facts are that as late as Christmas Eve the bidder indicated that they wanted to complete the deal immediately and had wired money from Spain to their UK solicitors.
READ MORE: Wigan confirm sale of training ground to Preston North End
“This was confirmed as being received by their solicitors over the Christmas period. The sale contract was agreed, the documentation had been signed in relation to the assignment of the leases with the council [stadium] and college [training ground] and completion was planned to take place in between Christmas and New Year.”
Wigan have been in administration since the start of July , when a 12-point deduction saw them relegated to League One.
News of a serious bidder appeared to give them a route out, but last month the English Football League (EFL) said it was still unable to sanction the deal.
In Tuesday’s statement, the club explained why such a big reduction in the bid was not acceptable and said they were resuming discussions with other interested parties.
The statement continued: “Over this weekend we received a letter from the bidder reducing the bid by almost 50 per cent.
“This would not allow us to pay non-football creditors the required 25 pence in the pound to avoid further sanctions against the club. This would result in a 15-point deduction and would effectively relegate the club to League Two.
“The purchaser was insistent on offering the reduced price but was not prepared to conclude the deal unless the 15-point deduction was waived. Under the EFL insolvency policy, this is not possible and the deal is therefore unable to be concluded.
“We have informed the EFL and are now starting to talk to other bidders who have expressed interest and will provide an update when there is any definite news.”
Wigan currently sit in the League One relegation zone in 22nd place, two points from safety.
The club have also been hit by coronavirus and their next two fixtures have been called off following an outbreak in the camp.
PA
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