BDO, joint administrators of Hearts Football Club - Heart of Midlothian FC plc - has named Foundation of Hearts (FOH), an umbrella group of supporters, as the preferred bidder for the Scottish club.

Bryan Jackson, BDO partner and joint administrator, said: 'The naming of a preferred bidder is the next step in the process of selling the club. It allows us to work with one party around which everyone can rally.'

Around 6000 supporters from six different supporter organisations have pledged money to the FOH, who plan to run Hearts through a monthly membership scheme for fans. Valnetas UAB, the administrators for bankrupt Ukio Bankas have given permission for BDO to name FOH as the preferred bidder and will now work with them in an effort to save Hearts from liquidation. Ukio are owed £15million by the club and own Tynecastle Stadium as security over the debt.

Jackson said: 'This is an important milestone and reflects our belief that FOH is a credible bidder for the club. However, we all still have a lot of work to do to demonstrate to the major creditors that the bid can offer them the best possible outcome. This is a positive development but does not guarantee that a CVA will be successful. That will require a considerable combined effort from FOH and BDO to ensure that all interested parties are satisfied.'