Proposed Reading takeover in doubt as exclusivity ends

Reading have been docked six points in each of the last three seasons due to financial issues

A proposed takeover of Reading Football Club is in doubt.

A statement released by the League One side said a period of exclusivity with an unnamed group has expired.

Reading owner Dai Yongge has been trying to sell the financially troubled club for some time, and the Royals remain under a transfer embargo for the late filing of accounts.

The club has suffered from fines, points deductions and fan protests during Yongge's tumultuous reign as owner and had a previous transfer ban lifted in August 2023.

Former Wycombe Wanderers owner Rob Couhig and ex-Reading chairman Roger Smee both had bids for the club turned down last year.

"Discussions with alternatives are underway with the focus remaining to sell to a buyer who has the intent and resource to take the club forward," a statement on the club website read.

"Several credible bidders have declared interest, some with experience in navigating football transactions, and the club are working with all relevant stakeholders to agree terms at the earliest opportunity.

"Whilst the club acknowledges the previously failed transactions are disappointing for everyone, especially our supporters, it is anticipated the legal and due diligence work completed so far will prove advantageous when trying to move new bids forward."

The club says that despite ongoing funding concerns, wages and payments to His Majesty's Revenue and Customs were paid on time with Yongge contributing funds towards them.

The club sold striker Sam Smith for a fee believed to be in excess of £1m to Wrexham earlier this week, while Tyler Bindon moved to Premier League side Nottingham Forest earlier in January before being loaned back to the Royals.

The club says the sales were not "pre-planned as an opportunity to solve the club's short-term funding".

"In the case of Sam Smith, having previously rejected lower bids, the fee payable by Wrexham ultimately proved too significant.

"Whilst the club was not looking to sell, there was a requirement to balance this versus the short-term financial security such a large fee would provide.

"For Tyler Bindon, the expiration of his contract at the end of this season led to significant external interest.

"The club's priority from the outset was to keep Tyler for the remainder of this campaign given his importance to the first team squad.

"However, an attractive proposal from Nottingham Forest presented an opportunity for the club to benefit financially, as well as retaining Tyler's short-term services.

"Despite several clubs making offers for other players, none were deemed proceedable as the club aimed to maintain the strength of the playing squad."