BusinessBusiness RecoveryPortsmouth administrators line up Balram Chainrai for sale

Portsmouth administrators line up Balram Chainrai for sale

PKF administrators reveal that former owner Balram Chainrai has been the only bidder to the collapsed club so far

ADMINISTRATORS TO PORTSMOUTH FC, PKF revealed that a former owner and one of the largest creditors to the club, Balaram Chainrai is considered the preferred bidder.

The Championship club entered administration for the second time in two years on 17 February, with PKF partners Trevor Birch, Ian Gould and Bryan Jackson appointed.

Chainrai’s proposed bid through his company Portpin will see the club exit administration in the next six weeks.

All clubs in both the Premier League and Championship must exit administration via a Company Voluntary Arrangement (CVA). A CVA needs 75% or more of creditors by value of debt to approve the deal. About 87% of Port Vale creditors approved the proposed CVA.

PKF hopes to send the details of the proposals to creditors later this week with a vote expected to take place in early June.

Birch said: PKF has not received bids from any other potential buyers and we do not
expect any new bidders to emerge before the club runs out of money.

“The Supporters Trust is working hard to make a proposal but as yet is not in a funded position to make a bid. We.ve made it clear from the start that a new owner would need to demonstrate that it can not only fund a CVA that is acceptable to creditors but also cover the clubs ongoing operating losses.

“Only Portpin has been able to give us the necessary assurances that the funding will be in place. This is important because at some stage it will have to give the Football League those assurances too.”

In 2010 Portsmouth entered administration as a Premiership club with UHY Hacker Young partners Andrew Andronikou, Peter Kubik and Michael Kiely appointed administrators. In March 2011 Geoff Carton-Kelly and David Hudson, partners at Baker Tilly, were appointed liquidators.

 

Related Articles

Bolton settle unpaid tax bill with HMRC

Business Recovery Bolton settle unpaid tax bill with HMRC

2y Calum Fuller, Reporter
Bolton Wanderers secures new ownership deal as HMRC tax battle continues

Business Recovery Bolton Wanderers secures new ownership deal as HMRC tax battle continues

2y Chris Warmoll, Writer
Bolton secures extra time to defend itself from HMRC

Business Recovery Bolton secures extra time to defend itself from HMRC

2y Chris Warmoll, Writer
High Court grants Bolton Wanderers two week stay of execution

Business Recovery High Court grants Bolton Wanderers two week stay of execution

2y Chris Warmoll, Writer
Bolton Wanderers win extra-time to avoid HMRC winding up penalty

Business Recovery Bolton Wanderers win extra-time to avoid HMRC winding up penalty

2y Chris Warmoll, Writer
Football League toughens insolvency rules

Business Recovery Football League toughens insolvency rules

3y Richard Crump, Writer
Taking Stock: AC Milan great tackles Parma insolvency

Business Recovery Taking Stock: AC Milan great tackles Parma insolvency

3y Taking Stock
Birmingham City FC owners enter receivership

Business Recovery Birmingham City FC owners enter receivership

3y Richard Crump, Writer