Newcastle Jets finally on the verge of changing hands, $8m buyout happening “very soon”

The light may finally be appearing at the end of the tunnel for the struggling Newcastle Jets; according to sources close to the key A-League deal, an $8m buyout is only waiting for the FFA tick of approval.

The Sporting Base understands current Newcastle Jets owner Martin Lee could be on his way out after four years at the helm, pending clearance on the bidders: a mystery western Sydney consortium.

Newcastle are barely keeping afloat in deep water, after Lee — who has been absent for more than a year now — dragged the club into $3 million worth of debt. The FFA has been hunting for a new owner since the end of the 2019/20 season.

Things took a turn in the ownership saga when Sky Jade Capital, the original frontrunners, pulled out after having their names outed in several Sydney media publications. Cashed up Sydney Kings mogul Paul Smith was also thought to be in the running, but has recently denied interest.

The FFA has confirmed there is a bid for the Hunter club, but did not disclose the bidders’ identities.

“FFA and APCFA (the A-League clubs’ representative body) are in discussions with prospective buyers which also involves a thorough due diligence process,” FFA chief executive James Johnson told The World Game on Thursday.

“We’re working towards finding a viable solution that’s right for the club, the region of Northern NSW, its players and supporters, and the overall football community in Australia.  

“We are confident that we can accomplish this in good time, but it’s equally important to make the right decision and follow a strong process.”

The Jets have been in turmoil financially off the field for the better half of the 2010s. Their competitive A-League record is, unfortunately, equally stained with losses, wooden spoons, and struggles.

There have been shining moments, however. The 2018 grand final, which they may have won but for a crucial mistake from VAR, packed out McDonald Jones Stadium and reflamed regional interest in the Newcastle Jets, for a time.

“A change of ownership is needed to revitalise the Jets and put them on a sound footing again and continue their important role in the NNSW community,” Johnson explained.

“We are hoping to have a new owner very soon.

“The end objective is to bring stability and future sustainability to the Jets who are a very important part of the A-League competition with a proud history and a tremendous fan base.”

The reported $8 million sum is far less than what current owner Lee was offered a year ago.

According to club chief executive Lawrie McKinna, a number of groups from Vietnam, the UK, and the United States all expressed interest.

Read: Australia put faith in young blood for Test squad to face India

“Martin is looking to recoup as close as possible to the figure he’s invested in the club, and that’s around $15 million,” McKinna said in June.

“We were offered $12 million a year ago [by one of the prospective international buyers] and he knocked it back. He never even thought about it, to be honest.

“That would have saved him $2m. But it’s easy to look back and say ‘we should done this or that’.”

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