New Reading FC takeover update should hand Royals supporters hope but caution

New Reading FC takeover update should hand Royals supporters hope but caution

New Reading FC takeover update should hand Royals supporters hope but caution is needed: View

The Royals’ fanbase needs to be cautious despite a positive update.

Reading FC is currently subject to four takeover bids, which is a promising development for the struggling club.

The multiple bids suggest that there is genuine interest in taking over the club, despite its current financial and on-field difficulties.

It is important for Reading FC supporters to be cautious about the decision-making process, as the current owner’s track record raises concerns about whether the highest bidder will be the best choice for the club’s future.

Reading are the subject of four takeover bids at this point, according to the Reading Chronicle.

The League One side have been in turmoil for some time now, both on and off the pitch, with the Royals currently sitting at the bottom of the third-tier table, below Fleetwood Town, Carlisle United and Cheltenham Town.

Their league position is currently the least of their worries though, with the Berkshire outfit having severe cash flow problems in the past year.

League One Relegation Zone

 

P

 

Fleetwood Town

 

16

 

-7

 

16

 

22

 

Carlisle United

 

17

 

-7

 

14

 

23

 

Cheltenham Town

 

16

 

-18

 

9

 

24

 

Reading

 

16

 

-13

 

7

 

Not only were they sanctioned for failing to pay wages on time and in full on three occasions last season, but they have also had issues paying HMRC too and this has led to multiple winding up petitions being launched this calendar year.

 

The Royals were charged for owner Dai Yongge’s continuous failure to pay HMRC earlier this month – and another punishment could be on the way for this misdemeanour.

Why is this takeover update good news for Reading FC?

It’s clear that a takeover is much-needed and the fact there are four bids on the table is interesting, with some supporters previously concerned that there wouldn’t be a huge amount of interest in the club with the state it’s currently in.

 

And some fans felt that many interested parties would wait until the club entered administration before making a move, but it seems as though those four bidders are serious about getting a deal over the line before the Berkshire side falls into that state.

 

This report also makes it pretty clear that Mr Dai is willing to sell the club and that’s promising, with the owner currently considering which bid to accept.

 

Reading FC’s Top-10 Best Ever Managers (Ranked)

 

With the Royals reportedly confident of making progress on this issue by the start of next week, a party could potentially be given exclusivity soon.

 

That is promising news because the club desperately needs a takeover as quickly as possible to escape further sanctions and the possibility of falling into administration.

 

The fact there are four bids on the table also gives the Berkshire side the best chance of picking a good next potential owner – because they have a choice rather than just one option.

 

Why do Reading FC supporters need to be cautious about this update?

Make no mistake, this update is a very promising one, and it should be celebrated by supporters who have gone through so much in recent years.

It seems as though the club are heading towards a brighter future every day and, although they may not have hit rock bottom on the pitch yet, they could be heading in the right direction off it.

 

But fans have to remember that the man making the decision on who gets preferred bidder status is Mr Dai, who has made some catastrophic financial and managerial decisions during his six years at the Select Car Leasing Stadium.

 

He will probably want to accept the highest possible bid – but that bidder may not be the best party/person to take the club forward.

 

That bidder may end up being rejected by the EFL after going through the Owners and Directors Test – and that would be good news for the Royals if they aren’t suitable – but it would waste time and that’s not ideal for a club that needs a takeover as soon as possible.

 

Dai needs to listen to useful advisors including Nigel Howe, who will tell the current owner that he would benefit himself by picking a bidder that has the best chance of being a good successor.

 

That will allow the Chinese businessman to sell up as quickly as possible – but whether he listens to those who have the club’s best interests at heart remains to be seen.