Plymouth Argyle's creditors accept deal over debts

Plymouth Argyle's Home Park stadium
The club was docked 10 points when it went into administration

Plymouth Argyle have moved a step closer to coming out of administration after creditors voted in favour of a deal to reduce the club's debt.

Plymouth's proposed Company Voluntary Arrangement had offered creditors less than a penny in every pound owed.

The CVA was supported by more than the required 75% of creditors for it to be passed at a meeting on Friday.

The club's administrator also revealed that an exclusivity deal has been signed with a preferred bidder.

The administrator, Brendan Guilfoyle, said the identity of the preferred bidder cannot be revealed until 14 June, adding that it is not anyone with a previous connection to the club, including recent suitor James Brent.

Surrey-based businessman Paul Buttivant was also ruled out of the running to buy the beleaguered club, however Guilfoyle made no mention of the Irish consortium linked with a takeover.

The League One outfit entered administration in March with debts of over £17m, divided between more than 240 unsecured creditors.

By voting in favour of the CVA, the club's unsecured creditors stand to lose the vast majority of their money as just 0.77 pence of every pound owed will be returned.

Amongst the big losers are Plymouth City Council, who will get back just over £2000 from the £285,000 due.

Inscapes, the company who laid Argyle's brand new pitch last summer, will be handed £2,695 of the £350,000 worth of payments still outstanding.

Plymouth were relegated to League Two last Monday, losing 3-1 at home against Southampton.