As hopes of a bidding war evaporated, shares in East Kilbride-based Goals plunged 5.5p or 3.7% to 143.5p.

OTPP's private equity arm Teachers' Private Capital (TPC) is offering Goals investors 144p a share in cash.

Shareholders will vote on whether to approve the deal on August 22.

Patron, which took Glasgow-based Powerleague private in a £42.5m deal in 2009, had initially urged Goals shareholders to take no action.

But yesterday it said: "Patron announces that it has decided to terminate its discussions with (Goals) and it does not intend to make an offer to acquire the entire issued ordinary share capital of (Goals)."

Patron was last week given a "put up or shut up" deadline of August 13 by the Takeover Panel, requiring it to make an offer for Goals or hold off for at least another six months.

The board of Goals is recommending the takeover offer by OTPP, one of Canada's biggest pension funds, and investors holding 27% of the shares have given their support.

The deal is expected to be completed by September.

The Goals management team, including chief executive Keith Rogers and finance director Bill Gow are to be retained by OTPP and given pay rises.

OTPP's other investments include Canadian ice hockey team the Toronto Maple Leafs.

Goals and Powerleague, which operates 45 centres, have a common heritage in that Goals chief executive Keith Rogers previously ran five-a-side football firm Pitz which was sold to private equity firm 3i and became Powerleague.

Goals listed on the stock market in 2004 and now has 43 centres across the UK, including one in Aberdeen and two in Glasgow and another in Los Angeles.