The Official Receiver will now look to conclude a sale of the insolvent business in the coming weeks to Turkey’s armed forces pension fund.
The government bridged a loan of £120m to the company three weeks ago.
British Steel is to go into insolvency today, putting thousands of jobs at risk.
The future of 5,000 British Steel workers remains uncertain as they face a nervous wait to see if the company will go into administration.
The company is in talks with Whitehall about securing the funding, reports said.