Wigan Athletic have confirmed that a takeover involving a Spanish bidder is now off the table. The deal was set to be completed in the early stages of this year but a reduced bid led to the breaking down of the takeover.
The news deals the Latics a major blow heading into the second half of the League One season, and the beginning of the January transfer window.
Spanish Takeover of Wigan Athletic Off
Statement From Wigan
Following the news, the joint administrators of the club released a statement, saying: “The Joint Administrators wish to provide an update regarding the current position.
“As of 11 am today, the Administrators have broken off negotiations with the Spanish bidder. 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.
“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.
“However, over this weekend we received a letter from the Bidder reducing the bid by almost 50%. This would not allow us to pay non-football creditors the required 25p in the £ to avoid further sanctions against the Club.
“This would result in a 15 point deduction and would effectively relegate the Club to League 2. 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.”
The hope from a Wigan point of view will be to find a new bidder as soon as possible as the club looks to escape potential disaster.
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