Reading needed new investment - Sir John Madejski
Newly promoted Reading needs the new money to be pumped in to the club by its new owners, according to chairman and former owner Sir John Madejski.
The takeover of the Royals by Russian tycoon Anton Zingarevich was completed on Monday.
Sir John told BBC Radio Berkshire: "The fact is you need these sort of people in football these days because it's not for the faint-hearted.
"Anton ticks all the boxes and we're lucky to have him."
The deal, originally revealed by Sir John four months ago, saw Thames Sports Investment, owned by Zingarevich, acquire a controlling 51% stake in the club.
"As the name implies, it's investment and that's exactly what Reading Football Club needed - we're back in the top flight, we need to have the ambition to stay there and I think Anton has ambition and that's what it's all about," said Sir John.
"What I like about the new owners is they want to keep the status quo, not change things radically, but we go forward because they have fantastic ambitions for the club, on and off the pitch."
However Sir John said he thought it unlikely the club would be making a series of "big name" signings this summer.
"I hope not. We go for talented young players with a future, that's the Reading way and I'm sure that's something that will be adhered to in the future," he said.
"We've already signed Garath McCleary and there'll be more [signings] in the pipeline. The deal has only just been consummated but they're already plotting their next moves in terms of strengthening the squad."
He also suggested the stadium that currently bears his name may be expanded.
"Not tomorrow - but if we maintain our Premier League status for another year I'm sure that will happen," he said.