Portpin - the company run by former Portsmouth FC owner Balram Chainrai - say its suspended its bid to buy the financially troubled club. It comes three weeks after administrators named the Portsmouth Supporters Trust as the preferred bidder.
In a statement, Mr Chainrai argues sale of the club has taken too long, with administration costs mounting every week. The Hong Kong businessman also said that Portpin's bid is still the best one left on the table. Portsmouth are around £61m in debt and have been in administration since February.
Mr Chainrai - who is owed £17m by Pompey - was in control of the club in 2010 when it went into administration for the first time. It's also been a bad week for the club after Pompey manager Michael Appleton left to take over at Blackpool.
Portpin - the company owned by former Portsmouth FC owner Balram Chainrai - have responded to news that they are not preferred bidders for the club. Earlier today administrators named the Pompey Supporters' Trust as its preferred bidder. A spokesman for Portpin said:
The Pompey Supporters' Trust is now in prime position to take over Portsmouth Football Club.
The Football League have failed to approve a bid by the 'Portpin' firm, headed by the club's former owner Balram Chanrai.
This leaves the Pompey Supporters' Trust as the front runner to take over the side.
Portsmouth City Council will hold an emergency meeting on Thursday to discuss the future of Portsmouth Football Club.
Council leader Gerald Vernon-Jackson is speaking to the Supporters' Trust about proposals to lend them £1.4 million pounds to take over the failing club.
Administrator Trevor Birch is considering another bid for Portsmouth from Portpin - a company owned by former Pompey owner Balram Chainrai.
But both bids rely upon the club's remaining high earners changing their terms and conditions or leaving Fratton Park before 10th August.