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Selling Sheffield Wednesday – watch the story of the club’s fight for survival.
Sheffield Wednesday’s supporters had long accepted their fate.
It wasn’t just relegation from the Championship that awaited them, but also the prospect of starting next season in League One on -15 points.
That deduction seemed inevitable because Arise Capital Partners, who completed a takeover of the struggling South Yorkshire club on Saturday, were not going to meet the obligations to pay unsecured creditors.
The EFL’s insolvency policy required those debts to be settled at 25p in the pound, but Arise’s offer fell well short of that level.
So, on top of the 18 points deducted this season for entering administration and other financial breaches, the Owls appeared destined to begin next season at the bottom of the third tier.
Even so, a sell-out crowd—dressed in a Honolulu party theme—flocked to Hillsborough for Saturday’s 2-1 win over West Brom.
The fans were there to welcome the new ownership, a consortium led by David Storch, his son Michael, and Tom Costin.
Supporters had been urged to arrive early—and they weren’t disappointed.
After the group was introduced, the big screen changed to show “-15” points, then ticked to -14.
As the countdown continued, the Wednesday fans cheered louder and louder. Then it reached zero.
Out of nowhere, the Owls had two massive reasons to celebrate: new owners and no points deduction.
But how did they manage it?
Image source: Getty Images
Image caption: Hillsborough requires significant investment to meet modern standards.
**Owls turn to sports legal expert De Marco**
On 15 April, David Storch issued a statement that left fans fearing the worst.
The American businessman said the 15-point penalty was “set to be imposed” and that a request for arbitration had been “refused” by the EFL.
The details of what happened next may never be fully known, but Storch did what many clubs do when challenging the establishment—he turned to Nick De Marco.
De Marco is widely regarded as one of the leading sports lawyers. In 2020, he helped the Owls reduce a points deduction related to financial fair play from 12 points to six.
A case as complex as this—weighing the interests of the club, the EFL, and former owner Dejphon Chansiri—required De Marco’s expertise.
Chansiri had claimed £64m in loans, meaning Arise would need to pay £16m to satisfy the 25p in the pound rule.
Storch and his team were uneasy about paying Chansiri for failure, especially given the significant investment needed for the stadium and training facilities.
Was there a way around this that would satisfy the EFL?
**Deferred debt offer put to Chansiri’s team**
Reaching an agreement with Chansiri was never going to be straightforward.
During the administration process, the Thai businessman received several offers on his debt, which were either outright rejected, ignored, or not taken in good faith.
“The EFL had to take into account the intransigent attitude shown by Mr Chansiri and his reluctance to engage with offers made by the bidder,” football finance expert Kieran Maguire told BBC Sport.
It was only last week that things fell into place.
Chansiri was presented with an offer that would see him receive payments equivalent to about 25p in the pound.
But he wouldn’t receive a penny immediately—it would all be based on the club’s future success.
“We’re probably talking about promotion first back to the Championship, and in due course to the Premier League. He could then get his 25%,” Maguire says.
The EFL said the offer must remain on the table for a short period to demonstrate it was credible and serious.
But there was one final act that might sum up Chansiri’s tenure, as reported by the Sheffield Star.
A response to the offer had to be received by 12:00.
