London: Rangers announced on Tuesday that they have rejected an £18 million ($27.5 million, 23 million euros) bid for the club from Robert Sarver, owner of NBA basketball team the Phoenix Suns.
The cash-strapped Scottish club said that Sarver`s offer for a controlling stake did not "adequately value a controlling interest in the Company".
However, Rangers` directors urged Sarver, 53, to work with other backers to help find a solution to the Glasgow giants` financial difficulties.
"While the Directors welcome Mr Sarver`s approach, they believe that, notwithstanding the current financial difficulties, the proposal does not adequately value a controlling interest in the Company and accordingly the resolution to approve the placing is unlikely to achieve the 75 percent majority (of votes from existing shareholders) required," the club said in a statement to the London Stock Exchange.
They added: "The Directors are in discussions with Rangers` significant stakeholders with a view to arranging finance for the Club.
"This is likely to comprise loans in the short term and possibly equity in the medium term. The board has invited Mr Sarver to consider participating in a similar discussion alongside other supportive shareholders."
In a separate posting on the Stock Exchange, Sarver, who is friends with former Rangers defender David Robertson, said: "First and foremost I believe what the club needs today is a very quick, major injection of capital to stabilise things and I can give the Rangers supporters a categorical assurance that I have the resources and ability to get this club back to its elite level.
"I`m looking forward to building a consensus amongst supporters and prominent Rangers-minded figures who have the long-term success of the club at heart."
Sarver`s approach follows a week of intrigue at boardroom level, as Rangers attempt to recoup £8.3 million of losses in order to stay afloat.
A group of Scottish businessmen known as the `Three Bears` -- Douglas Park, George Letham and George Taylor -- acquired a 19 percent stake in the club, while another investor, Dave King, raised his stake to 14.57 percent.
British businessman Mike Ashley has an 8.92 percent stake, but he was prevented from raising his stake to 30 percent by the Scottish Football Association because of his dual interests as owner of English club Newcastle United.
Rangers revealed on Monday that they have secured a loan of up to £500,000 from shareholder and football club chairman Sandy Easdale in order to provide "working capital".
Rangers are without a permanent manager at present after Ally McCoist resigned last month.
The 54-time Scottish champions were relegated to the fourth tier of Scottish football in 2012 after going into administration.
They are currently in second place in the second-tier Championship, 13 points behind leaders Hearts.