Sheffield Wednesday out of administration after sale to US consortium completed

Sheffield Wednesday are no longer in administration after the second-tier Championship club confirmed the completion of their sale to Arise Capital Partners on Saturday while the Football League opted not to impose a 15-point penalty.

The American consortium, led by David Storch, Michael Storch and Tom Costin, completed the takeover, with the Football League (EFL) confirming the club had met all requirements to exit administration.

"From the very beginning, this has been about more than an acquisition. It has been about responsibility - to the club, to its history, and most importantly to its supporters," David Storch said in a statement.

"Sheffield Wednesday deserves stability, ambition and a clear direction. That is what we are here to deliver."

Four-times top-flight champions Wednesday have endured a season to forget under former director Dejphon Chansiri after being docked 12 points for entering administration and another six points for breaches of financial regulations.

As a result, Wednesday became the first team in EFL history to be relegated as early as February.

WEDNESDAY FINISH SEASON WITH ZERO POINTS

But Wednesday finished the season with a 2-1 home win over West Bromwich Albion in front of 33,750 fans at Hillsborough Stadium -- their highest attendance of the season.

They ended their campaign with two wins, 12 draws and 32 defeats to sit bottom of the standings on zero points after the 18-point deductionand will play in League One next season.

But the club will be relieved not to have had an additional 15-point penalty imposed after exiting administration, meaning they will start next term on zero points.

"This has been an incredibly challenging and complex situation for all parties," the EFL said.

"As such the EFL Board has exercised its discretion, as provided by the Insolvency Policy, and concluded that it would not be appropriate to impose a 15-point deduction on the club following its exit from administration.

"This decision has been made by the Board after considering the proposals made to Mr Chansiri by the joint Administrators and new ownership."

BUDGET RESTRICTION

The EFL said the club remain under a "budget restriction" for the next two seasons as part of the conditions of continuing membership in the EFL.

"Upon exiting administration, the club will be permitted to sign new players in accordance with the terms of a business plan," the EFL added.

In February, the club's future was in doubt when a consortium fronted by professional poker player James Bord were named as the preferred bidders.

However, they pulled out saying the initial valuation in excess of 32 million pounds ($43.43 million) was too high before Arise Capital became the new preferred bidder in March.

Chansiri, who took control of Wednesday in 2015, was banned by the EFL last year from owning or directing any club for three years.

($1 = 0.7368 pounds)

(Reporting by Rohith Nair in Bengaluru; Editing by Ken Ferris)