Vicente Grande (right) with Paul Davidson

RCD Mallorca were examining their legal options after a potential buyer reneged on a deal to purchase the Palma based club on Thursday.

Current owner Vicente Grande said Mallorca would “always defend its interests” after English businessman Paul Davidson pulled out of the €38 million deal.

“It’s not good that the club is on sale for so long,” Grande said on the club’s official web site.

Mallorca have been hit by financial instability with reported liabilities of €830 million. However Grande said the fallout would not affect the club.

“Mallorca are in good economic shape,” Grande said, before stressing “We should speak about this as little as possible.”

In one of the longest-running sagas of the summer, it appeared only a few weeks ago that ‘The Plumber’, as Davidson is sometimes called, was ready to sign the contract to take full control of the club from Grande.

A €38 million deal was agreed between the two parties meaning the only further requirement was the physical purchase of the shares by Davidson in order to see him claim a majority stakeholding.

Davidson, was set to purchase a 91 percent share in the club. However, soon after, an extension of ten days was requested by his lawyers to allow him to make the payment.

But no transaction was made and Davidson requested a further ten days to complete the deal. Club president Vicente Grande took offence to the delay and demanded he transfer 10% of the funds as a goodwill gesture the deal would still be moving forward. Davidson rejected this request and has subsequently pulled the plug on the takeover.

The collapse could see the Primera Liga side fall into bankruptcy and places serious doubts over the future of its assets.