Portsmouth's administrator Trevor Birch has confirmed Balram Chainrai is one of two parties interested in taking over the club.
The representatives of Chainrai have previously said the Hong Kong-based businessman would not witness the club's liquidation, while Chainrai told administrators to turn to him only as a 'last resort.'
But while Birch has confirmed former owner Chainrai's interest, he admits there is still no deal finalised.
"We are in discussions with two interested parties, one of which is Balram Chainrai," Birch said.
"Chainrai's representatives publicly stated at the creditors' meeting that they would not allow the club to be liquidated and we have since met with them to gauge their interest.
"There is no solid bid on the table from either party at present but we are trying to find an appropriate deal structure that works within the timeframe.
"We are also talking to our contacts in the market to encourage any other potential bidders to come forward immediately."
Birch has been on the lookout for a buyer to take over at Fratton Park since February 17.