The American businessman on the verge of buying Rangers has withdrawn his bid for the financially stricken Scottish club.

Administrators of the club had considered Bill Miller, the chairman of a Tennessee-based towing and recovery equipment company, their preferred bidder.

But Miller says he was dismayed by hostility from fans unhappy with the prospect of foreign ownership and that the 140-year-old club's financial situation was worse off.

Miller says ''preliminary information, discussions and analysis were, unfortunately, more optimistic than reality.''

Rangers entered bankruptcy protection in February following a long-running dispute with the tax authorities.