Hearts facing liquidation unless offers improved

29 July 2013

Gintaras Adomonis who is the administrator of the Lithuanian bank Ukio Bankas the former owner of Hearts FC has told  BDO, to continue negotiation with fans' group the Foundation of Hearts and Five Stars Football Ltd as none of the offers for the club were acceptable

Ukio Bankas will initiate the process of liquidating Hearts as it has a floating charge over the Tynecastle Stadium as security for lending the company money.  Ukio Bankas holds 29.9% of the shares in Hearts. Kaunas-based investment firm UBIG that has a 50% stake is owed a further £10million by the club. It owns a 50 per cent stake. Both companies were once controlled by former Hearts owner Vladimir Romanov but are now insolvent.

The statement released by Mr Adomonis added: "Hearts administrator BDO received three offers from investors, none of which were acceptable. "Last week the potential investors presented improved offers, however, the main creditor's expectations were still not met. Ukio Bankas approved the administrator's proposal to continue negotiations with the two potential investors. The third investor's - HMFC Limited - offer was rejected."

As such there is a real risk that Hearts could go into liquidation