David Whitehouse, of administrators Duff and Phelps, told a press conference they hoped to complete an agreement with Miller and with the club's creditors before the end of the current season.

Mr Whitehouse said Mr Miller was seeking clarity over sanctions imposed against Rangers because of administration and that his bid was the best for the club and avoided the need for liquidation.

He said: "I'd like to announce that today we've received an unconditional bid from Mr Bill Miller which has been accepted and he is now the preferred bidder.

"Mr Miller now proposes to complete the transaction before the end of the season. We believe the bid from Mr Miller provides not only the best deliverable outcome but preserves the history of the club. Rangers Football Club will continue as the football club it has for some 140 years.

"Mr Miller and his team have sought clarity in relation to any potential footballing sanctions. Very importantly the bid avoids the need for liquidation. All too often the term liquidation has been bandied about during this process without a clear understanding of what it actually means.

"There is no liquidation involved in this strategy and we cannot stress that strongly enough."

Mr Whitehouse revealed that Mr Miller's bid would achieve the terms of a Creditors Voluntary Agreement which would guarantee creditors were not left empty-handed. "Mr Miller's bid achieves that criteria," he added.

"Mr Miller's proposal is the only unconditional bid we have received. The bid proposed by Mr Miller is greater than any other and provides the best return to creditors."

Mr Miller's bid will also help resolve the issue of the majority shareholding in the club which is controlled by former owner Craig Whyte.

Mr Whitehouse continued: "The bid from Mr Miller provides the best framework to deal with the issue of Rangers' majority shareholding. We confirm that we envisage the sale of the club will be completed by the end of the current season. We hope fans will now support and appreciate the commitment made by Mr Miller. We expect to enter into a binding agreement with Mr Miller very soon."

Mr Miller's newco club would need to request permission from the Scottish Premier League board to acquire Rangers' share in the competition.

A statement from the league said: "The Scottish Premier League notes that preferred bidder status has been granted to Bill Miller. The SPL will now continue discussions with Mr Miller and his team. No further comment will be made at this time."