Football finance expert Kieran Maguire has estimated Reading's value at £20m-£25m as Dai Yongge puts the club on the market.
A statement released by the club on Friday evening confirmed that the Chinese business was 'openly inviting further credible offers of interest and declarations of intent from parties eager to pursue a potential sale of the club.'
This marked a change, as previously the club had appealed for investors to support Yongge in funding the club, not replacing him.
In an article published by the Athletic, Yongge is holding out for an offer of over £70m- a long way off the realistic valuation.
Dai Yongge values Reading in the region of £70-80 million. [@TheAthletic] #readingfc pic.twitter.com/bn7HM4GI9r
— Talk Reading (@TalkReading) September 29, 2023
"I think it is an attractive proposition to investors, especially overseas investors," he told Sarah Walker and Tim Dellor. "From their point of view, it is relatively close to London and airports so you can fly in and out, it is a new stadium and the club have a history and heritage of getting to the Premier League, so all of that makes it attractive.
"People pitching the club will be saying that it is not quite a London club, but it is the closest to a London club you can get. All these things make it a positive and that should be some consolation for the fans who are worrying about the future of the club. The issue has to be two things. First of all, can we agree on a price? Secondly, can a prospective owner convince the EFL that they have satisfied the Owner’s and Director’s Test?
"It depends on what you’re buying. Dai Yongge has transferred the stadium to another company so any prospective owner will be looking at not just buying the football club or team, but the property assets as well. There is no reason why you should be paying any more than £20m-£25m because they are a third-tier club which have had points deductions this season and is at the wrong end of League One. Sunderland went for around £27m and I think that gives us a good benchmark. We saw Derby being sold, and that club had gone into administration before it was sold. All of these clubs’ realistic prices are around £20m-£25m."
As things stand, talks are thought to be underway with three interested parties- although none are at any advanced stage.
Ruben Selles' side have been docked 16 points in the last three years and are currently in the relegation zone of League One.
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