Former Coventry chairman Geoffrey Robinson's bid to take over the club has been dealt a blow.
Stadium owner Arena Coventry Limited has dismissed his plans as "difficult to accept" and "less advantageous" than those tabled by a rival bidder.
Robinson resigned in October when five potential investors withdrew.
He is heading one of two consortia trying to buy the Championship club, with former Manchester City player Ray Ranson known to be the other bidder.
ACL will decide which offer to accept following consultation with the club's directors, shareholders and creditors.
Robinson put forward his proposals at a meeting on Friday but ACL believe his bid still requires significant work.
Coventry have been seeking new investment since February and are estimated to be in the region of £38m in debt.