Sir John Hall refused to offer his shares to Shepherd after the Newcastle chairman made an astonishing attack on Hall earlier in the year, suggesting Hall had no loyalty to thew club by offering his shares for sale.
And it was those comments that have confirmed Shepherd has shot himself in the foot.
Shepherd is a rich man, but he sees an opportunity of putting the future of the club on the back burner, so he can exploit Mike Ashley wish for a greater Newcastle United. He won't take what the shares are worth ... like Sir John ... Shepherd is out for a killing!
Shepherd Puts Newcastle Loyalty On The Back Burner
Ashley bought a 41.6% holding in the St James' Park club from former chairman Sir John Hall and his family on Wednesday for in excess of £55million.
Because of a fractured rib current chairman Freddy Shepherd was out of circulation when news of St James' Holdings Limited's takeover bid, which would be worth £133.1million in total, broke on Wednesday.
But a board meeting has now taken place and Ashley has been invited to "an early meeting" next week.
City analysts do not believe Ashley will have any difficulty in reaching the 50%-plus mark which was the condition of his 100p-a-share offer but Shepherd's decision - he holds a stake of around 29.8% - will be key to his hopes of acquiring the 75% he would need to make full control almost inevitable.
A statement released by the club to the Stock Exchange this afternoon read: "The board of Newcastle United has met to discuss the SJHL offer and has requested an early meeting with Mike Ashley and his team and look forward to discussing the offer and his plans for Newcastle United in more detail.
"It is hoped that this meeting will take place next week."