Admins report, contracts and Chansiri the 'loser' - Your Sheffield Wednesday questions answered

Sheffield Wednesday fans - you asked, and we delivered...

In this episode, we're joined by football finance expert Kieran Maguire to break down the recently published administrators' report and what it reveals about the Owls' financial situation, ownership, and the club's future.

We also tackle a wide range of supporter questions, including:

⚽ What does the report really tell us? And is Dejphon Chansiri in trouble?
🏟️ Potential stadium improvements and Hillsborough's future
🎟️ Ticket pricing and memberships
📝 Player contracts and what fans should expect moving forward
🔵 Jamie Vardy rumours – realistic possibility or pure speculation?
💰 The latest on the club's incoming Sporting Director
🙋 Plus plenty more questions submitted by Wednesdayites

Transcript

0:00

It looks like Mr. Chan series is potentially the biggest loser, but we will have to wait and see, and perhaps we will never find out. Hello and welcome to this week's edition of The Wednesday with me, Joe Cran. It's been a relatively quiet week at Wednesday, and that is not something we have said very often for quite a while. There was some news out today, though. Um I suppose we say news. It was the administrators' report has been released after you know Bigby's trainer officially moved on from the time looking after Sheffield Wednesday. It's now fully in the Arise Consortium's hands. And I'm going to answer some of your questions today. I asked for some questions on Substack and obviously on social media as well. But before I get into that, I did track down uh the one and only Kieran Maguire to uh to have a chat about what the administrators' report means in in layman's terms, some of the things that stand out for him uh and what it means next for Sheffield Wednesday. This is what Kieran had to say. So we're joined by Kieran Maguire, who is our go-to whenever anything happens like this at Wednesday, whether it's documents, whether it's administrative stuff. Uh Kieran, thank you once again for joining me to try and make this easier to understand. How are you doing? I'm good. It's it's actually fantastic to be able to come onto a Wednesday show with a smile on everybody's face because I've felt for sort of the last few years, let alone during the period of the administration, that I was sort of the grim reaper. Uh, because it tended to be bad news or worse news. But uh yeah, I think everybody's really looking forward to football now, which is a fantastic thing if you're a Wednesday fan. Yeah, no, it's nice to uh to not have your uh our name plastered all over your podcast uh with all this all this bad news that's been going around. Absolutely, absolutely. Yes, we we've got a World Cup, there's the opportunity to sign some players, season tickets are are selling non-stop. There's a real guilt feel-good factor at Wednesday. I get the impression as an outsider. Um, and having been through what you've all been through, it must be an absolute delight. Yeah, no, absolutely. Um we'll get on to why why you're here. The um the administrators' report has has come out today. Uh, before we move into any specifics on it, could you give us a bit of a rundown of of what you see as the main takeaways from the document that's been released? Well, uh, lot there were lots of losers during the administration, it has to be said. It looks like Mr. Chansier is potentially the biggest loser, but we will have to wait and see, and perhaps we will never find out as to whether he will have received anything from the the administration of the club. Uh the the the club has been sold its assets, um, uh which is effectively the badge. Effectively, it's the share that Sheffield Wednesday has in the EFL. And separately, Sheffield III, which is the company which owned Hillsborough, that's the that has sold its assets again via Begbeys, um, and that that money was used to pay off new avenue projects. So that's all dealt with now, and and we can move forwards. The the costs of the administration are very high. Um, are they higher than those of an any other clubs going into administration? Well, there I think Derby County was around about two mil plus expenses. This is closer to four. And the argument there would be that in the case of Derby County, the stadium wasn't put into administration, for example. Um, it was it was a quicker deal, uh, even though they also had uh potential bidders who came and went, um, as we saw here with the board group. I think you've got to give Begbees some credit for persuading the board group to uh put up four million pounds to effectively to keep the lights on during the the the progress of the administration. Um the the administration itself broke even if if you ignore the the administrators' costs, you know, their legal costs, their legal fees, and so on. So so that shows that they that they that they did reasonably well there. Uh the sale of Barry Bannon looked like a one and a half million. Um you know, again, I'm there is a sale of a player, and I'm putting two and two together, so I'm I'm assuming that was the major contributory factor there. The EFL uh monies from the TV deal, they they helped as well. Noticeably the wage bill during the course of the administration at just over five million quid by uh by championship standards, where the average is over 20 million. That's telling you why Shefford Wednesday were relegated. They they didn't have the resources to compete on the pitch. But I think as all Wednesday fans will understand and accept, last season was about existence. Last season was about being able to be a Sheffield Wednesday fan in 26-27 more than anything else. Yeah. It's um it's a lot of numbers, isn't it? You know, it's a lot of uh it's a lot to go through. It's been a like you say, a long, a long process. Do you think I want to just ask you there was a question that I got on um from one of the the Wednesday word readers, Martin Randerson. He said, apart from the new avenue payment, was there any other payment made for the ground? He says getting the club and ground for effective the admin fee plus new avenue and HMRC payment seems like an incredible deal. Um he did say maybe I'm not not understanding the process right. Is is that is that correct? Is that where sort of is that the situation that the that Wednesday found himself in with with Hillsborough and Sheffield 3 and all that kind of business? Well, the the yeah, the the new owners have have acquired the stadium, but it's a bit like me buying a house which has got a hole in the roof, um has has had the kitchen ripped out, um, and the and the gas isn't connected. It you're you're buying a shell. And therefore, it it's not necessarily the cost of the stadium itself, it's the cost of turning Hillsborough back into the stadium. We we want it to be uh a stadium in in keeping with the stature of the club, with the expectations of the fans, and with the ability going forwards to be able to host not just matches in League One, but ideally in the championship and the Premier League in due course as well. And and that is very expensive. When Luton Town were promoted from uh the championship to the Premier League, it cost them, I think, around about 11 million quid just to upgrade Kenilworth Road, which again is a ground which is in a state of disrepair. So I think that would have been built into the calculations of Aspire when they were working out how much to pay for the the overall overall package. And we still don't know, I think. Again, I'm I'm I may have missed these numbers, but we still don't know the the absolute final figure. Yes, we've got the figures from Sheffield 3, but not the figures from the sale of Sheffield Wednesday Football Club itself, um, which was yeah, as a fan, we we're inherently nosy. We we want to know everything because it's our club as a Wednesday fan. Um but yeah, all will be revealed in in due course. One of the things which intrigued me was the administrators saying um, as a result of the price paid by Aspire, there was no money to pay the unsecured creditors. You know, those mainly local suppliers of goods and services who had supplied Shansiri in good faith that they would be paid, probably gave him more credit time than they would do for a normal customer because many of them would have been Wednesday fans themselves, and the last thing you want to do is to make things more awkward, and therefore, to a certain extent, may have been taken advantage of. Again, I'm I'm I'm I may be completely wrong on that, but certainly I'm I'm aware of other clubs where I've spoken to creditors where that has been the case when they've gone into administration. So there's no money to to make those payments. And then I think we come into this interesting issue with the EFL regulations, in that you're supposed to be paying 25 pence in the pound. It looks as if the creditors will get 25 pence in the pound, but perhaps I'm I'm I'm overreading this, perhaps I'm I'm overanalysing. It does say in the administration's report that certain creditors would be paid 25 pence in the pound. So your immediate thought goes, well, if there's one creditor called Chan Siri, is his name on that list? And if if they that name's not on the list, what are his legal team going to do as a result of that? Now, you know, or perhaps he's not got one. He he as as we all know, he he is a maverick, uh and sometimes he thinks he can solve it. I'm conscious that there may be children listening. Um so uh yeah, yeah, that there are that there are some complications. Uh uh, but I I assume that that will have been sorted by Aspire's lawyers rather than those of the administrator. Yeah, the administrator's job ultimately is A to sell the business as a going concern and B to get the best price. If that involves money for the unsecured creditors, great. But by the time you pay off new avenue projects, by the time you've got the cost of the administration itself, which you add it all together and you add in Sheffield 3, it's you're talking well over six million pounds. There's not to be a lot else remaining. You've got your football creditors have to be paid, you've got HMRC in a slightly more advantage, but advantageous position, and so on. Yeah, absolutely. When you mentioned the the transfer fees, uh, I do think that that Barry Bannon left for free in the end. I think he uh did he transfer fees. Well, it certainly is one and a half million pounds of transfer fees. Al might have been part of that, the left back that went to Chelsea. So that you know there was a little bit that got done. Um Jan Valerie went out on loan to to young boys as well, so that could be part of it. But yeah, I think I think with Bazi did actually end up end up going for free. Um, I have had another question come in if you don't mind me asking just something from from Paddy Kenworthy saying the section about investing event investigating the prior actions of the director caught my eye. Would be interested to know what sort of thing this could be, uh, and is there any precedent for that? Well, it is a statutory responsibility of the administrator to take a look at the behaviour of the owners of the business prior to it going into administration to identify, first of all, and and you know, there is no evidence of this, I'm just sort of going through sort of a checklist of things you did. First of all, have they been flogging off assets on the cheap to friends and relatives and so on to leave the administrators with less? Secondly, is there any evidence of fraudulent or wrongful trading? Now, what what we mean by that is where they would have bought goods and services on credit in the knowledge that they'd never be able to pay for them. So, in which case that that would that would be a fraudulent act. That happens in every single administration. The vast majority of those, the administrators say, no, there's there's insufficient evidence or there's no evidence. Um, so you know, I'm I'm I'm not in a position to comment, and and the administrators won't be commenting, I'm sure, at this point in time, because they have to go through their due processes. Um, I suspect that they will have completed their conclusions and in due course, or that might have happened already, they will have submitted uh an appropriate report on Chanseer effectively as to whether his behaviour prior to the administration of the club is such that there is a case uh which will be determined by DTI or some other government body as to whether he should be allowed to be a director of a company in the UK going forwards. Okay, interesting. Um, and then just lastly, before we let you go, uh what happens now? Obviously, the the takeover's been completed. Hillsburg's back with with the club, Ariser in in ownership of it, the the administrators' report has come out. Is is that it? Like, is that it from that sort of chapter now of Sheffield Wednesday? Is it now just moving on to the Arise ownership and what comes with that? Yes, I mean a Arise of bought the assets. So again, they they they bought the stadium from Sheffield 3, they they bought the badge, they bought the share in the in the EFL and all of the sundry bits and pieces that are owned by the football club. Um the administrators will publish a report in in another few months, but their role these days is it's sort of just just keeping things ticking over until the club's formally put into liquidation, the old company. And I suspect what will happen is that there is a fair chance that Sheffield Wednesday Football Club Limited, we might see a change of name in a few months' time to let's say just call SWFCLT. And that will, and at the same time, the Aspire Group, once that goes through, sort of within seconds, the Aspire Group will set up a new company called Sheffield Wednesday Football Club Limited. That's certainly what we've seen in the case of Derby County. It's got a slightly different name, but it you know what it means. Um, so that that might be the case. If that is the case, there is absolutely nothing to worry about. It's simply a case of, as a Sheffield Wednesday fan, you would like there potentially to be a Sheffield Wednesday Football Club Limited company in existence. In the case of Derby, I think they now call it Derby County Brackets, the Rams Ltd. Um as opposed to Derby County Football Club. Um so sometimes you will see a change of name take place, but that purely is an administrative issue. It's just a a box-ticking exercise to free up the name. Um and and I I know that some football fans uh when when the name has not been picked up, they will then set up a company called Sheffield Wednesday Football Club Limited, and they'll set it up for 100 quid and they'll print it up, you know, and they'll stick it on the on the on the bathroom wall. Um I own Sheffield Wednesday Football Club Limited. So and in order to stop that, if Aspire have got any uh yeah, Aspire could quite easily deal with that by setting that company up themselves. Yeah, I think the the days of us uh panicking every time anything gets published on on company's house are hopefully behind us um because it was it was lit to the point where it's like, oh no, what I don't even know what this means, but what what's gone on now? Um but Kevin, that's um that's brilliant. Thank you for everything, not just today, but everything you've helped with over the entirety of this period. Your um your explanations have been crucial to me understanding what the hell is going on. And I know a lot of Chef for Wednesday fans feel the same way. Well th well, thanks very much. I I support a football club in blue and white stripes that has been through very similar things. You know, we we lost our stadium, we ended up in in League Two. I'm a Brighton fan of people don't know me. And the one thing I always cling on to is that from the worst depths of despair, you you can progress back to where you want to be, where you dream of being. Um, so you know, if I was a Wednesday fan, I it's it's it's time to dream again. So that was Kieran Maguire, some really insightful stuff as usual. He's always very helpful at making things understandable for us, you know, people who aren't necessarily mathematically minded like myself. Um so it's always good to chat to Kieran, and it's nice to see that he's uh he's rooting for Wednesday as well. So yeah, that's really, really lovely. Um, but yeah, we will get on to uh on to your questions, I suppose. I did ask for them, so uh we'll we'll move straight on to that because there are a few sort of burning questions around Sheffield Wednesday at the moment. The first one from Mark Blagden, um, what's holding up the sporting director announcement? I'm not sure there's much holding it up at all. Um, I think that obviously we we did a story um feels like a while ago now, about Simon Wilson and him coming in at Sheffield Wednesday as a sporting director. Um, you know, David Bruce has said since then that without naming him, obviously that that things were close, uh, but there's still not been an official announcement. I think with him being contracted to to Stockport, that has maybe just put a little bit of a hold on on things, you know, waiting for their season to finish. I'm sure there's some some loose ends to tie up there. But I do know that that Simon Wilson has been involved a little bit at Wednesday. Um there's been conversations taking place and and that sort of thing. He was he was in Sheffield not too long back as well. So I don't think there's anything to be concerned about. I think we're not used to not having things to be concerned about Wednesday. Given what Wednesday fans have been through over the last 10 years, it does just kind of feel like any uh anything like this is is is worry. It causes sort of anxiety. But I don't think that's the case with with Simon Wilson and his position coming in as sporting director. I think it's just a matter of time. Look, it's it's this is the only time of the year really when football people get to take some time off. It's been a long whole season for Wednesday, it's been a long season for for Simon Wilson at Stockport. So I wouldn't be overly concerned. Um it's uh look, if I hear it otherwise, I I will let you guys know. But as far as I'm aware, this is just uh, you know, just it it'll happen when it happens. Um I've not heard anything to suggest that it's it's not going to you know go through or anything like that. Um question from DDJD Should we really be considering signing a 39-year-old? Uh he didn't mention a name, but I'm pretty sure this is about Jamie Varde. Look, the Jamie Varde thing's an interesting one because you know, with with what he brings as a footballer, with what he brings as a marketing element, uh I think what he brings as a Wednesday fan as well, you know, there's there's a there's a lot that sort of it ticks a lot of boxes from a Sheffield Wednesday perspective. Um I I also think that you know this is this is a player that he he did he did well for a struggling team in in Syrie A last season. You know, I I still think he can do a job at in League One. Obviously, the the finances have got to be right on something like this. You know, Wednesday have spent too much money on players without a future um in the past, and it's been a it was a mistake that was made many times in the Chan Serie era. So uh yeah, I think it has got to be something that if if Wednesday do pursue it, and it is something that could happen, which I'll be honest, I I'm not sure it's something that is going to be going through. You know, obviously there's a lot a lot been said. Um his documentary came out, he's spoken again about him being a fan of Wednesday growing up. So there's all these moving parts, but I'm not sure where we're at. As far as I know, it was just a sort of a conversation about whether it might be possible, whether he might fancy it. Um, I've not heard anything more on that front. But should we be considering it? I think yes, because it's not your average 39-year-old. I think there's a lot more to to consider with with Jamie Varde. Um, but yeah, I won't I won't go too deep into that just yet because it feels like we're we're still too early doors to be uh to be saying big yeses or big no's to a Jamie Varde transfer. Um up next we've got Gaz Flint saying, do you know when the club plans to announce membership packages and match day prices? All I was told on on that front um is later in the summer. So I think that again is just something we've got to wait for. You know, the membership thing that that's something that uh will come at some stage. The match day prices is an interesting one because I think you know the the the first phase of uh season ticket sales has gone brilliantly. I mean, Wednesday fans are unbelievable. It's it's genuinely incredibly it's just impressive that the work that's been done um by fans to get involved for next season. Uh but there are only two two stages to that. There's no, you know, creeping up, creeping up, creeping up like there was on the Chan Serie. There's the first stage and then there's the second stage, and that starts on June 15th. And I think after that, we'll get a pretty even if it's maybe not announced officially, I think we'll get a pretty decent idea of of what sort of match day prices we're looking at. Um and membership stuff, you know, that'll come, like I say, a little bit further down the line. I don't imagine it'll be too far away, but I haven't had any sort of definite dates put in front of me, that's for sure. Uh, question from Stephen Lunn saying, heard that Odin Bailey's been lined up. Have you heard anything? Uh I I've heard the rumours. Um, not that I've that's not to say that I I know anything at this point. You know, I I I think he's exactly the sort of player Wednesday should be looking at, you know, what he's what he's done uh last season. And I I think him he's definitely a player that could make Sheffield Wednesday better. Uh but whether there's anything in that other than, you know, a couple of conversations, I'd be shocked if he's not been discussed. But I'm not sure if we're at a point where he's sort of being lined up, so to speak. Stephen, you you may know better than me. This is uh this is definitely a possibility. There's a there's a lot of people that hear a lot of things, and you know, we're we're not always the first ones to get him. But yeah, we're definitely looking into that. I'm um I've I've sent out a few messages and made a few calls already. So he's on uh he's on the list, as are plenty of others that we'll be uh I'll write about in in due course. Um I've combined a question here from Nathan Bloomer and and Welsh Howells. Uh Welsh Howells, sorry, because they're similar lines. Any update on the players offered contracts at the end of the season? So we're talking Max Lowe, Will Granger, Piers Charles. Um ultimately no that I think it is a little bit of a strange period now just because of everything going on. There's there's players away on international duty, there are um you know people just on holiday. So I think we we know that there's been sort of budget conversations, so the club is in a little bit of a better space now in terms of knowing what it can offer to people. Uh so I know that yeah, you know, there's like there's the ones I mentioned, Lowe, Granger. Granger's not out of contract, but they're trying to get him on a pro deal because obviously in the current world, uh, you know, a scholarship contract's not worth the paper it's written on, really. So yeah, he's 17 now, they can they can sort of pro. But there's you know, there's also guys like um Liam Cooper and Jarvis Thornton. These are all sort of ongoing conversations. Reese Johnson, um, Bruno Fernandes, like I say, there's there's a lot of that going on. I think we're expecting people back in a couple of weeks, maybe two or three weeks' time. And I think that's the point when we might start to see uh a little bit more movement on the contract front. You know, there's also people like Josh Bayless, who uh, you know, he's had the longest trial in the history of mankind at Wednesday, and uh he looks like he's gonna get a contract, which is which is really nice to see. But yeah, we I think we will see a bit more progress in the next couple of weeks when people start coming back from holidays, but right now there's there's nothing to report. Um, Max Lowe did a story recently just sort of saying that they're a little bit of a way off between those two. He's a player that Wednesday want to keep. He's open to stay in, but yeah, I think they're a little bit of a way off on that one. Um, question just from Luke here saying rate life under the new owners out of 10. Uh well, they they're giving me a little bit of a break, which is not something I've experienced for a while, so 10 out of 10. Um, but no, jokes aside, I think what what the what our eyes are doing, what David Bruce is saying, they they they are doing and saying all the right things. Um as we've regularly said, the proof is in the pudding with this, we we it's it's one thing to say the right things, and it's very different to to do them and do them consistently. That was interesting. You know, David Storch has has said that they want to be judged on their actions, and you know, I think this is a it's a lull period in terms of what's available. I know there's a lot of work going on at Hillsborough at the training ground to make sure everything's right for next season, but yeah, it's uh I think we'll we'll go for a a solid seven just because we don't really know um we don't really know where things are gonna go next. But yeah, I think have with with the work that they've done, they're they're they're certainly um they're certainly doing all the all the right things and uh fingers crossed that continues. Uh Ryan Marsh saying is the time of the season ticket renewal deadline and the opening of the transfer window in coincidence? Quite possibly. I I'm not sure that yeah, look, I think it probably is handy to have as much transfer, as big a transfer kitty available as as possible and as soon as possible. And obviously the the season ticket sales do play a big part in that. It's a lot of money raised from the the season ticket sales. But uh look, I might I might be wrong, but I I would say that it's uh it's a coincidence that it's it's exactly the same date, but I think the idea of wanting the money through the door earlier rather than later is is is more the case than the the actual the actual day. Uh and then lastly one from Dave Owen saying, How are the planned programme of improvements going at Hillsborough? And what about SAG and the Northstand? The answer to the SAG and Northstand stuff is uh unfortunately very boring um because it is just a case of ongoing. Uh I've had a couple of chats with people, and it's it's just a case of their that look, the season is still a little way away. They have gotten until then, effectively, to to make sure that everything's where it needs to be. The work going on in the north stand is is going well by all accounts. The the there's stuff going on with the the pitchers, the training ground, and the the pitch at Hillsborough as well. They're they're working they're working hard to try and get everything wrapped up for the new season. They they want to be in a position where a lot of the new improvements that they've planned are ready for the new season. And yeah, that's it's not really much of a an answer, I know, Dave. So apologies. I can't give you much more than that. Um, unfortunately, I'm not inside Hillsborough, uh, and obviously no one's going in at this point in time other than the people that are working it. But hopefully we'll have a little bit more of a an update in the coming weeks. Um, I think we we might get a another season ticket update when the next sort of milestone is is reached. I think that'll be 20,000 if and when they do it. So, yeah, things are going well, nothing to report negatively, which is really nice. It feels like a long time since we've we've got gone this many weeks without a negative story being written, and long may that continue. Just wanted to do a a little bit of a an acknowledgement, I suppose, of the work that's being done by the Sheffield Wednesday Supporters Trust because this uh this fun that they've they've put together regarding you know the season tickets and tickets and mascots, what they've done and what Sheffield Wednesday fans have done is just out of this world. You know, the nice little donations of £1,867 from people like Tom Coston and Stephen Charles have been great. That's a lovely little touch. But just the the general generosity of Wednesday fans has been unbelievable to see. And you know, if you haven't seen today, there's a another little bit out that uh an anonymous benefactor has said that they will they will match every money, every bit of money that's raised up to £35,000. So if 35 grand is raised, it becomes 70. And again, just out of this world. This this fan base never ceases to amaze me, and I'm continuously incredibly proud to be part of it. And then just lastly, um a little bit about Jan Valerie. I did a story on the Wednesday Word today. Please go check it out because it's much easier to understand in in written terms than it is explaining it. Um, but basically, there's a there's a benefit that that you might have heard about with with FIFA where clubs are um are paid for you know basically a daily rate for players that are at a World Cup. Jan Valerie is going to be the first player that is contracted to Sheffield Wednesday to play at a World Cup since John Sheridan back in 1994, like over 30 years ago. But he's not actually registered with Sheffield Wednesday going into the World Cup. So if you look at FIFA's squad list, he's down as a young boys player rather than a Wednesday player. It does have uh, I think that does have a role to play in terms of how much money Wednesday will get from the the club benefits program. Like I said, go check that out on on the Wednesday where there's a little bit more in that because what happens is it's it's split into thirds, so it's um the two seasons or two years before the World Cup and then who he's registered to join the World Cup. So yeah, that's something to keep an eye on. There's still you know a substantial six-figure sum that should be coming Wednesday's way on the back of him playing at the World Cup. Tunisia are going to be there for at least uh a few weeks. I think 26th of June is their last game. So the little bit of money coming Wednesday's way. I can't imagine we'll be seeing Jan Valerie in a Wednesday shirt next season. Uh hopefully he has a good World Cup and Wednesday can make a little bit of money on him because he's certainly not a League One footballer, and I can't imagine he'll be too uh too eager to be playing League One football either. But if as always, if you've got any questions that I haven't answered here, stick them in the comments below and we will I say we, I will do my best to answer them for you. It's been a pleasure, as always. Like, subscribe, do all that good stuff if you're liking what we're doing here at the Wednesday Word. There's a load of stuff uh on the the website as well. Got a really nice interview with with Nicole Shaw from Chef of Wednesday Ladies. That's up there at the moment. Go check that out. And as aga as again, if there's anything I can do, any articles you'd like, get in touch, reach out, and I'll speak to you very soon. Cheers.