Tom Hicks and George Gillett may still be afforded extra time to find a buyer for Liverpool.
The Daily Mail says the attempt by co-owner Hicks to gain investment from American equity company Blackstone has failed.
Hicks had been negotiating with Blackstone over a £280million package that would give them a share of control at Anfield and allow him to meet the October 11 deadline for repaying a £237m loan to the Royal Bank of Scotland. But it is understood Blackstone will not be pursuing the deal.
It is a major setback for Hicks, but does not necessarily spell the end of his unpopular reign. RBS will call in the debt but are reluctant to start running the club, and may allow more time for a buyer to be found.