Sheffield Wednesday are about to embark on a new chapter after a difficult spell of administration.

The Owls avoided loss for the first time this year, drawing 1-1 with Watford at Hillsborough on Tuesday, in a match that also marked Liam Palmer’s 500th appearance for the South Yorkshire club.

Wednesday’s administrators were entrusted with identifying a new preferred bidder after a takeover deal arranged by James Bord’s group failed.

Meanwhile, former Newcastle United owner Mike Ashley has been outbid in his bid to acquire Wednesday.

Sheffield Wednesday’s future becomes clearer as David Storch is named as preferred bidder. Next stages are detailed.

Storch has been named Wednesday’s new preferred bidder, giving Owls fans far more information about their club’s future than they previously had.

Sky Sports’ Rob Dorsett told X that now that Storch is the preferred bidder, his consortium will have exclusive rights to finalize the transaction.The administrators of #swfc have handed Arise Capital Partners and David Storch preferred bidder status. They will now have exclusive rights to complete a takeover.”

Arise Capital Partners LLC is made up of David Storch, Michael Storch, and Tom Costin.

According to the Sheffield Star, the group has made a hefty deposit and provided evidence of finances, which they intend to use to complete the proposed sale and fund Wednesday moving ahead.

Meanwhile, The Athletic reports that Storch, an American businessman, will have to answer questions about a $55 million settlement paid by AAR Corp in 2024 to settle Department of Justice and Securities and Exchange Commission investigations into Foreign Corrupt Practices Act violations.

That settlement in 2024 may prove to be a stumbling barrier when Wednesday’s selected bidders are subject to the EFL’s Owners’ and Directors’ test (OADT).

The Independent Football Regulator will take over the EFL’s responsibility to ratify takeovers in May.

Storch’s lawyer, Keir Gordon, told The Athletic: “Mr Storch was chairman of AAR Corp when the business self-reported a possible misconduct by a rogue employee in 2019. The corporation collaborated with authorities and remedied the issue in 2024.The United States government was happy with the outcome and decided not to pursue AAR Corp. We are certain that this is not an issue with the EFL’s OADT process, but as you are aware, it is ultimately up to the EFL to assess this.”

Wednesday will begin next season’s League One campaign with a 15-point deduction due to bids below the amount required to pay creditors 25p in the £. They’ve already lost 18 points this season as a result of former owner Dejphon Chansiri’s poor financial management.

Sheffield Wednesday supporters will hope David Storch developments finally mark the end of administration saga

The Owls have had one of the most difficult seasons in their history, as evidenced by their relegation to League One last month following a defeat to fierce rivals Sheffield United.

Wednesday backers were initially given hope when Bord’s consortium was granted preferred bidder status, but those aspirations were later dashed.

Owls fans will now want to see Storch complete his takeover so that their team can finally start heading in the right direction again.

Despite their upcoming 15-point deduction, the South Yorkshire club requires as much time as possible from their prospective owners to assemble a squad capable of giving them a fighting chance of League One survival.

Wednesday’s current squad is bare bones after multiple departures over the last two transfer windows, including club veteran Barry Bannan.