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Apr 1, 2012

'Rangers still in danger of liquidation'

Rangers are in danger of going into liquidation under new owners, according to the club's administrators Duff and Phelps.

• Rangers bid deadline set
• Motherwell 1-2 Rangers: McCulloch makes Bhoys wait

Chicago-based Club 9 Sports, the Blue Knights - led by former Rangers director Paul Murray - and a Singaporean consortium are all in the running to take over at Ibrox, with Duff and Phelps setting a deadline of Wednesday for all bids.

The administrators have been busy trying to haul the club out of administration through a Company Voluntary Arrangement (CVA), but there is now the resignation that liquidation is a distinct possibility.

Co-administrator Paul Clark told several newspapers: "The preferred option remains a CVA and it remains an option for all of the bidders. And we still think it's achievable and we're still recommending that as the preferred course of action to the bidders.

"We must accept, though, that we have in Rangers a financially-stricken institution and there is an amount of toxicity in there as a result of what's gone on. So all of the options have to remain open and it may be that some of the bidders decide that they would rather start afresh.

"We cannot rule out the winning bid could prefer a different structure that meant the sale of the business to a new company and in that eventuality it is certainly possible that Rangers would be liquidated. But it would only be done so after the football club was made safe."

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