Cash-strapped Coventry City have confirmed that they are currently operating under a transfer embargo, imposed by the Football League.
There have been rumours recently that the Championship side were about to go into administration after takeover talks collapsed earlier this month.
But a statement on the Sky Blues' official website read: "The current financial situation at Coventry City and the withdrawal of interest from Manhattan Sports Capital Partners Ltd have been well documented, but the club would like to stress that takeover talks with other groups have progressed well over the past seven days and a solution is in sight.
"This is by no means an ideal situation for Coventry City, Iain Dowie or the Sky Blues' loyal fans.
"However, the club would like to stress that the board are working towards finding the best outcome possible to take Coventry City forward. This will hopefully be at the earliest opportunity."