Rescue plan set to see Dumbarton reformed as newco after liquidation
One of the original founding members of the Scottish League in 1890 the Sons plunged into administration in November.
Hopes of exiting administration via a creditors voluntary agreement fell victim to time constraints, with concerns that a deal would be incomplete before the new season.
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A progress report by administrators Quantuma has now confirmed that the club formed in 1872 will now be dissolved and replaced by Dumbarton Football Club 1872 Ltd, a new company wholly owned by Canadian businessman Mario Lapointe.
Owner of an electronic manufacturing service provider in Quebec sports fan and part-time musician Lapointe stepped into the breach after ill health forced the collapse of a deal with Oxford based Gareth Phillips.
Docked 15 points after running out of money at the end of last year Dumbarton finished bottom of League One and were relegated.
And while the oldco which retained the club's league share will now ceasing to exist the report states that the newco will be eligible to take its place in League Two after receiving a 'formal waiver' from the board of the SPFL.
'The proposed exit route (from administration) is now dissolution,' said the update. 'The administrators will seek approval from the creditors to this variation via a decision procedure usig the consent process and, assuming agreement is obtained, will file a notice of dissolution.
'A funding requirement of circa £140,000 was highlighted for the team to complete the season. This funding requirement increases to c. £200k when carried through to the end of June 2025.
'The shortfall has been funded by £118,384 raised by fans and the receipt of a £30,000 non refundable commitment fee which will be discussed further below. The balance of the shortfall will be met from the sale consideration.'
Hopes of a rescue plan for the Sons suffered a set back in April when Phillips' Pendragon Group Limited have ended their interest in buying the club due to health issues and forfeited the non-refundable deposit paid.
The joint administrators turned to other potential bidders, running up eye-watering costs of £446,700 plus VAT for the six months leading up to since May 17. The cost of legal advisors Addleshaw Goddard have yet to be made public.
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