Dumbarton have held talks with 'football-orientated' bidders following the collapse of their initial takeover offer.
The club have confirmed Gareth Philips pulled out of purchasing the club due to ill-health.
The Sons - relegated from League One this season - were placed in administration and docked 15 points by the SPFL after directors claimed they were left with “no option” but to call in administrators in November.
Administrators Quantuma have been overseeing discussions as they look to find a new owner for the club.
The soon-to-be League Two side say that there is still hope of a takeover happening.
A club statement reads: "We can confirm that yesterday Gareth Philips of Pendragon, the preferred bidder, took the decision to remove his offer after receiving further medical advice regarding an ongoing condition he has.
"Over the past two weeks Gareth took the time to speak to members of the club and local stakeholders as part of the due diligence process and we would like to thank him for engaging with everyone and once he knew of his worsening condition, that he let Quantuma know at the earliest possible time.
"He has now offered to support Qunatuma where he can with the transition to a new owner and we thank him for that.
"Quantuma are now actively engaging with other bidders, who we understand are football orientated, and will share further information on this bid as soon as they can.
"The club is still planning as normal for next season but as you will all appreciate timelines will be tighter than normal and there may be delays to the renewal of season tickets etc. This isn’t something to worry about and is just part of the process for this close season.
"Everyone involved with the club is focused on getting the best teams possible on the pitches next year but for now the men’s team will go to Stenhousemuir on Saturday in search for one last win and while our women’s team have a weekend off before being back the following week."
