Financially stricken Reading are in takeover talks with a new prospective buyer after American businessman Robert Platek walked away from a deal for the League One club.
Platek, co-head of global credit at BDT and MSD Partners, entered into a period of exclusive negotiations with current owner Dai Yongge but that has now elapsed.
The EFL has given Yongge until 22 April to sell after disqualifying him as a director, and Reading say they are already progressing negotiations with another suitor.
“The exclusivity period with the prospective buyer has now expired, and club representatives are now in advanced dialogue with an alternative bidder,” said Reading.
“Negotiations between the parties are proceeding in a professional and positive manner, with full recognition from all concerned of the need to bring a sale of the club to a conclusion for all stakeholders, including players, staff and supporters.
“Following a request from the club, last week the EFL extended the time allowed for Mr Dai to divest his interests in the club until April 22. The parties are working to complete negotiations at the earliest opportunity and expect to meet the EFL’s requirements.”
Yongge, who has been the subject of long-running protests from Royals fans, was disqualified by the EFL last month, reportedly over outstanding judgements in his native China.
Reading had been confident that Platek would bring their takeover saga to a conclusion despite concerns being raised by other clubs regarding a potential conflict of interest.
BDT and MSD Partners has loaned tens of millions of pounds to other EFL clubs including Burnley, West Brom, Derby and Sunderland, as well as Premier League Southampton.
A number of those loans give MSD security over the club’s stadium in the event of a missed repayment, leading to concerns that Platek could have influence of several clubs.
The EFL was aware of the issue and was not expected to block a takeover, having green-lit a previous bid for West Brom that was ultimately not completed.
Any deal for Reading is complicated by the fact that former Wycombe Wanderers owner Rob Couhig, who has a claim on the club’s Select Car Leasing Stadium.
Couhig agreed a £25m deal to buy the club last summer but it collapsed in September and Yongge last month failed with a bid to injunct the American, accusing him of blocking a sale.
Despite the ongoing uncertainty over finances and ownership which have put the club’s survival in doubt in recent months, Noel Hunt’s team are sixth in the third tier and with five games to go are well placed to secure a play-off spot.
