Barry Moat has opened takeover talks with Newcastle United.

Managing director Derek Llambias has confirmed that discussions are under way, but it is understood that he is not the only interested party still involved.

In addition, owner Mike Ashley is insisting on the £100million for which he put the club up for sale at the end of last season and will refuse to do business for any less.

Speculation that developments were imminent mounted on Saturday when Moat sat alongside Ashley at St James' Park for the club's 3-0 Coca-Cola Championship victory over Reading.

The prospective buyer has spent much of the last few weeks attempting to put together a financial package to satisfy the sportswear magnate that he can buy him out.