David Murray

By FOS Editor
November 18 2010

Rangers owner Sir David Murray is in talks with businessmen Andrew Ellis and Craig Whyte about selling the club.

Ellis, who was involved in a previous attempt to buy Rangers, and Whyte would invest major sums if the takeover of the Scottish champions goes ahead.

While the club would be debt-free if the pair did take over, no decision on transfer funds would be made until the new owners fully assessed the finances.

Whyte, a 39-year-old millionaire who was raised in Motherwell and is a lifelong Rangers fan, is now based in London.

Talks between Murray, Whyte and Ellis have been continuing for weeks.

If the deal goes ahead there would be a payment made to Lloyds Bank of about £27m to clear the club's debt.

On top of that, £5.5m would be offered to shareholders, of whom Murray is the principal figure. The Rangers owner paid £6m for his controlling interest in

Rangers in 1988.

Whyte was forced to make a statement to the Stock Market this afternoon after the potential buy out was reported in the papers this morning "Mr Whyte confirms that he is considering making an offer for RFC and is in talks with MIH but that these are at an early stage and there can be no certainty that an offer will ultimately be made.

"Mr Whyte has not yet approached the board of RFC. A further statement will be made in due course."

Murray had taken the club off the market recent but he has remained open to a sale if he feels a potential buyer can serve the club's best interests.

Stephen Smith, chairman of the Rangers Supporters Trust, said "I think we had concerns about the viability of Mr Ellis's (previous) bid in terms of the due diligence process that went on.

"But our understanding is that this is a completely different animal and we don't have the same concerns about the viability of Mr Whyte's company or the organisations that he is involved in.

"We want Lloyds removed from the decision-making processes at Ibrox and the interference in what happens on the pitch.

"We are also very keen that the club's finances are stabilised and that the Rangers fans are involved in the future direction and become major stakeholders in the football club."

A statement from Rangers at lunchtime on Thursday said: "The board notes the announcement released this morning on behalf of Craig Whyte.

"The board confirms that it has been advised by Murray International Holdings Limited that it is in early discussions with Craig Whyte regarding the acquisition of MIH's majority shareholding in Rangers Football Club plc.

"The board will keep all shareholders informed of further developments.”

We seem to have been here before with Rangers in recent years but most appear to have been false dawns.

If the move does go ahead, and tied with the news from Dundee Utd yesterday, the gap between Rangers (and possibly Celtic) and the rest will only get wider – which can’t be good for Scottish Football.