Coventry stadium operators to enter administration

Former Newcastle United owner Mike Ashley is the preferred bidder for the ground

The operating companies that run the Coventry Building Society Arena have applied to enter administration.

BBC CWR reports that former Newcastle United owner Mike Ashley is the preferred bidder to buy the stadium.

Coventry City were allowed to play Tuesday's home Championship game against Blackburn Rovers at the ground.

A spokesperson for Arena Coventry Ltd said: "The companies and the proposed administrators from FRP Advisory have run an accelerated sales process to sell the business and assets of the companies and have identified a preferred bidder.

"The Arena will continue to trade as normal. We would like to thank all the working parties involved in helping the companies get to this stage and we are delighted that the doors will remain open to this flagship venue."

The Sky Blues are due to play two more fixtures at the CBS Arena before the break for the World Cup in Qatar - against Wigan and QPR on 8 and 12 November respectively.

And following the 1-0 win over second-placed Blackburn, manager Mark Robins said he hoped they would go ahead as scheduled.

"Hopefully we'll be here now until the World Cup break. I've got to err on the side of caution but I think that's the feeling at the moment," he told BBC CWR.

"Then, hopefully things will be resolved while we don't have to play. It gives them time to get things sorted out, whichever way it goes.

"Let's hope it gets sorted out for the best and we can put any uncertainty behind us because it doesn't help."

Ashley, 58, sold his stake in Newcastle to the Saudi Arabia-backed Public Investment Fund for £305m in October 2021 - having paid £134m for the club in 2007.

He was in charge at St James' Park for 14 years, during which their best finish was fifth in the Premier League in 2011-12.

Ashley was reportedly interested in buying Derby County after they went into administration in September 2021, but the now League One club was bought by businessman David Clowes in the summer.

Coventry City first played at the CBS Arena, then the Ricoh Arena, in 2005, but have had two spells away, groundsharing at Northampton Town and Birmingham City because of rent disputes.

Wasps rugby union club acquired the ground in 2014 but they went into administration last month and have been suspended for the rest of this season and relegated.

However, their administrators have accepted an offer to buy the club from a consortium including members of Wasps Legends.

'Preferred bidder blow to Sisu' - analysis

BBC CWR political reporter Simon Gilbert

Multiple sources have confirmed that the preferred bidder for the arena is former Newcastle United owner Mike Ashley.

I understand there has been no contact between Ashley and Coventry City owners Sisu - suggesting his interest, at this stage, is purely in the arena.

The news of a preferred bidder will be a blow to Sisu, who were preparing to make an offer if ACL entered an open administration process.

Sky Blues fans' hopes the football club and CBS Arena would be reunited under the same ownership now seem distant once again.