9 Sep 2010Sheffield Wednesday avoid administration

Football Clubs News | Football Finance News

Sheffield Wednesday have secured the necessary credit to provide a short-term reprieve from the winding-up order recently issued by HM Revenue and Customs, which has agreed to drop its petition.

The League One football club had been given 28 days to pay an outstanding tax bill, but last-minute talks with the Co-operative Bank resulted in an agreement and High Court registrar Christine Derrett approved the proposal.

Chairman Howard Wilkinson told BBC Radio Sheffield that with Sheffield Wednesday still open to takeover offers, any potential buyer must have the financial clout to put the club on an even footing.

"When we do get investment they will have to show they can manage the club properly on a sound basis," the former Leeds United boss said. "Investment is crucial, but investment on its own will not solve the problem."

Barrister Hugo Groves told the hearing yesterday (September 8th 2010) that the Yorkshire side are in "very serious and advanced negotiations" about a possible buyout.

Written by Terry Mitchell

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