DAVE KING believes Rangers are in a 'fantastic' financial position as he prepares to hand over his Ibrox shareholding to supporters.

The former Gers chairman announced this week that he had agreed a three-year deal with Club 1872 that will see them purchase his 20.37 per cent stake in RIFC plc.

The £13million arrangement will give Club 1872 a significant say in the running of their club and bring an end to King's financial involvement with Rangers following his return to Ibrox in 2015.

Accounts released last month showed that Rangers made a loss of £15.9million for the financial year but King is comfortable with the figures as he prepares to give supporters the chance to protect their club for generations to come.

"I think it’s fantastic, I was certainly aware of the position as it was at the end of March when I had my last board meeting," King told STV Sport. "We had that fundraiser, the position was good.

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"I think the club would be in a perilous state [if we hadn't taken over in 2015]. It’s absolutely clear what was happening.

"That’s why, if you look at what this initiative is about, I coined the term ‘never again’. I was saying never again should we be in that situation.

"But when I thought about it later, I thought ‘lest we forget’ was probably another good way to look at it. If you look at what has happened to this club over the last decade, there are two significant events that I think affected supporters.

"You’ve a situation where I think most people regard the club as being owned by the supporters – spiritually, because of my club, my team and that’s how we all feel about it and over the last 150 years it’s the supporters that create the institution."