Craig Whyte and Sir David Murray have reached an agreement in principle for the potential takeover of Rangers Football Club. It is also understood Whyte will fully fund the £33 million takeover but Andrew Ellis will still be part of the deal, with a 25 per cent stake eventually being paid back to Whyte.
Whyte held a "positive" introductory meeting with Alastair Johnston on Friday. But it is understood this meeting was not to discuss the details of the purchase but instead was an opportunity for the businessman to meet the Rangers chairman for the first time for informal talks.
News of the duo's bid first broke on November 18, with Whyte and Rangers both putting out statements to the Stock Exchange confirming a possible offer. Since then, the process has gathered pace and Whyte appears to be in pole position to conclude the deal within the coming weeks.
The proposed offer will wipe out the club's £27.5 million debt to Lloyds TSB and also pay shareholders, including Sir David Murray, £5.5 million. Whyte and Ellis are bidding for Murray's 92 per cent shareholding.
It is also understood £25 million will be invested in Rangers' first team squad over a period of five years, with transfer funds being made available to Walter Smith in the January transfer window if the takeover is concluded in time.
Whyte held a "positive" introductory meeting with Alastair Johnston on Friday. But it is understood this meeting was not to discuss the details of the purchase but instead was an opportunity for the businessman to meet the Rangers chairman for the first time for informal talks.
News of the duo's bid first broke on November 18, with Whyte and Rangers both putting out statements to the Stock Exchange confirming a possible offer. Since then, the process has gathered pace and Whyte appears to be in pole position to conclude the deal within the coming weeks.
The proposed offer will wipe out the club's £27.5 million debt to Lloyds TSB and also pay shareholders, including Sir David Murray, £5.5 million. Whyte and Ellis are bidding for Murray's 92 per cent shareholding.
It is also understood £25 million will be invested in Rangers' first team squad over a period of five years, with transfer funds being made available to Walter Smith in the January transfer window if the takeover is concluded in time.
