Dave King claims victory in battle for Rangers but fails in bid to cancel Friday's EGM

Dave King claims to have won a 'landslide victory' in his bid to take control of Rangers but his request to cancel Friday's EGM has been refused by the remaining board members.

Following talks with Ibrox chief executive Derek Llambias, King revealed he had won enough votes to oust the current board which consists solely of Llambias and finance director Barry Leach, following the resignation of chairman David Somers on Monday.

Mr Llambias put it best by advising me that I had achieved a 'landslide victory'. I wish to thank all shareholders, and particularly the fans, for this resounding success.

However, the South Africa-based businessman says the remaining duo, who are asssociates of Newcastle owner and Rangers shareholder Mike Ashley, have refused to quit their posts.

King had hoped his apparent majority share of the votes would result in the March 6 meeting at Ibrox being called off saving the financially-troubled club tens of thousands of pounds.

But Sky Sports understands Llambias and Leach have no intention of resigning, as had been reported on Monday after Somers walked away from Ibrox, and are looking to discuss their exit packages.

'Successful'

On his assertion that he is now just days away from assuming control of the Scottish Championship side, King said in a statement: "All of the Rangers directors that are subject to my requisition have now accepted that my resolutions have been successful and there is now no need for the general meeting to proceed.

"Mr Llambias put it best by advising me that I had achieved a 'landslide victory'. I wish to thank all shareholders, and particularly the fans, for this resounding success. The future now looks more recognisable for all Rangers stakeholders.

"James Easdale and David Somers did the right thing by resigning however the two appointees of Mr Ashley have stubbornly refused to resign and are using their current position (as remaining directors) to withhold implementation of the resolutions for personal gain.

"Now that the incoming board and I can focus on the future I will issue a further press statement outlining the immediate and intermediate steps that we have to take as we commence the road to re-establishing Rangers to the institution that its legacy demands."

King, a former director of oldco Rangers, is hoping to replace the current board with himself, former Glasgow brewery owner John Gilligan and Paul Murray, like King, a director of the oldco which was consigned to liquidation in the summer of 2012.

However, with control of Ibrox still firmly in their grip, the remaining directors at Rangers have announced to the Stock Exchange that they will draw on the second tranche of the money lent to them earlier this year by Sports Direct.

The company, owned by Ashley, made £10m available to Rangers at the start of the year, £5m was immediately drawn down for working capial and the board has now revealed the remainder will be used 'to meet cash requirements for the third week in March'.

A statement late on Tuesday afternoon said the board had "commenced the process of satisfying the conditions for drawdown" of the second £5m loan the Newcastle chief offered at the end of January.

It added: "Drawdown of the second tranche of the Facility is subject to due diligence by (Sports Direct).

"Shareholders should be aware that there are other conditions of drawdown which include a material and adverse change and/or significant, adverse event condition which could impact upon the willingness of SD to release the funds. If the funds are not able to be drawn down from the Facility, alternative sources of external funding will be required."

'Interests of Rangers' 

And in a further statement later in the day, the Rangers directors insisted remaining in their posts gives the company the best possible chance of complying with the AIM and avoiding their shares being suspended.

The board had "commenced the process of satisfying the conditions for drawdown" of the second £5m loan the Newcastle chief offered at the end of January.

It read: "The directors believe that they have at all times sought to act in the best interests of Rangers for the benefit of its shareholders as a whole, and refute in the strongest possible terms any suggestion that this is not the case and in particularl any suggestion that they have given their personal interests priority over those of the Company. 

"By remaining in post the directors wish to give the Company and possible incoming directors (should the Board change) the best possible chance of complying with the AIM rules and of avoiding the risk highlighted in the circular of 06 February 2015 of the Company's shares being suspended. There can be no guarantee of avoiding suspension.

"The Board have reached out to David King in recent days to seek a resolution in the best interests of the Club but regrettably this has not yet proved possible.

"If control of the board of directors of the Company changes as a result of the general meeting the directors pledge that they will do their utmost to work with the new board in the interests of Rangers Football Club, as they have done and continue to do."