Pinnacle Ends Southampton Bid

The Pinnacle Group has pulled out of negotiations to buy financially-stricken League One club Southampton, leaving the club perilously close to going out of business.

Southampton fans must now hope that administrator Mark Fry can sell the club to another buyer and is understood to be in talks with a Swiss consortium.

The club is set to start the season on minus 10 points after their parent company entered administration in April.

The Football League ruled that Pinnacle – which includes former player Matt Le Tissier – must waive any right to appeal against the points deduction if it was to takeover.

Pinnacle saw its period of exclusivity as bidders end on 19th June without agreement being reached as the takeover bid stalled over the 10-point issue.

Despite asking the League to reconsider its right to challenge the deduction, Pinnacle’s Tony Lynam stated last week that it ‘remained totally committed to the takeover’.

However, Le Tissier has confirmed that the group has now withdrawn from negotiations – amid fears that the club, relegated from the Championship last season, may now be only days away from going out of business.

Commented Le Tissier: ‘We’ve been trying ever so hard but we’ve been banging our head against a brick wall. I’m very sad, but hopeful that Mark Fry can find someone to take over the club. Everybody’s worried, we’ve all been working very hard but it’s getting to the point where it’s very desperate.’

Fry stated last week that there were two other interested parties, and that he was waiting to hear from a Swiss consortium.

However, he hinted that if no bids were forthcoming by the end of this week, he would have to consider winding the club up.

A statement issued on behalf on Mark Fry in response to Pinnacle’s withdrawal read: ‘We remain hopeful that a sale of the club will be completed in a short period of time.

‘It is a complex transaction which involves numerous stakeholders and a satisfactory solution for all parties is not simple to achieve.
 
‘It is positive news that the football club should be in a position to pay the wages this week.

‘We are working to a very short timeframe but wish to reassure everyone we are working round the clock to ensure the club’s survival.’