Chainrai reveals plans to take over debt-ridden Pompey in two weeks

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POMPEY’S administration process has taken a dramatic new twist after ex-owner Balram Chainrai’s firm Portpin renewed interest in the debt-ridden club.

Mr Chainrai revealed in a statement that the firm hopes to finalise its takeover of the club in the next two weeks.

Last week he said his bid to buy the crisis-hit League One outfit had been withdrawn.

But in a statement to Sky Sports News he revealed talks have been held with key figures including the administrators, Football League and Portsmouth City Council.

It reads: ‘After many discussions with the related parties, including amongst others the administrator, the Football League, the Professional Footballers’ Association, and officials from Portsmouth City Council, Portpin Ltd announces that it has decided to take action in order to avoid the imminent liquidation of Portsmouth FC.

‘Portpin’s offer will be in much the same form as previously with the club’s current Company Voluntary Arrangement being honoured and football creditors being settled in accordance with current agreements.

‘Under Football League rules, the satisfactory treatment of football creditor obligations is critical to the financial eco-system of all members of the Football League.

‘Although Portpin positively viewed take-over interest by the Portsmouth Supporters’ Trust (PST), we understood from the administrator that the terms offered by PST were problematic in two areas – the further reduction on football creditor debt to £2m and the uncertainty of the committed capital raised and held in escrow to both fund the take-over of the business and to provide guarantees for the next three years’ cash flow.

‘We hope to finalise the transaction in the next two weeks.

‘Portpin is taking steps to save the club and will look to continue to work with interested parties – including the Portsmouth Supporters’ Trust – to ensure that the club will have a sound business foundation to enable it to remain financially over the long-term.’

Colin Farmery, Portsmouth Supporters’ Trust spokesman, said: ‘The PST bid remains on track. Trevor Birch, the administrator, has described our bid as ‘credible’ and there is nothing to suggest that anything has happened to change his view.

‘Our bid has been on the table for months – and we have been consistent and unstinting in our efforts to buy Pompey and give the club a fresh start.’

In a statement, Pompey administrator Trevor Birch said this morning: ‘We have been working with the trust since Portpin’s original offer was withdrawn and understand that the trust is on track to submit a business plan and revised offer tomorrow.

‘We will assess its bid once it has been submitted and will then determine which offer provides the best deal for creditors, as is our duty as court appointed administrators.’