Singapore businessman Peter Lim has made a £320million offer for Liverpool and pledged to make £40million available for new players.
Lim has confirmed reports which emerged on Monday evening that he was preparing a new and improved bid for the troubled club.
Confirmation of his fresh interest comes on the same day that current owners Tom Hicks and George Gillett and taking on major creditors Royal Bank of Scotland in the High Court.
They are attempting to halt the £300million sale of the club to John W Henry and his New England Sports Ventures company.
The owner of the Boston Red Sox baseball team emerged as the preferred bidder last week after he and Lim both made offers to club chairman Martin Broughton.
Lim's fresh cash-only offer is worth £360million and he claims it would both clear the club's debt and make significant funds available to manager Roy Hodgson to strengthen his squad in January.
It also trumps the offer made by NESV, which is the subject of Tuesday's legal challenge.
"I respect and admire Liverpool Football Club, which is steeped in tradition and history," said Lim in a statement.
"I am committed to rebuild the club so that it can soon regain its position at the pinnacle of English and European football, where it truly belongs.
"This is why I have stepped forward with this offer. I believe that if its massive debt burden can be removed, the club would be able to focus on improving its performance on the pitch.
"My offer pays off the existing owners' bank acquisition debt and also frees the club of its own bank debt.
"If the board accepts this offer, the monies are available immediately thereby removing the threat of administration.
"The club needs to strengthen its existing squad. As part of this offer, I will be injecting £40million in cash into the club for Roy Hodgson to bring in new players during the upcoming transfer window.
"My offer provides a firm financial platform from which the club can rebuild. Given the manner in which the sale process has been handled, I feel Martin and the board owe it to me, to the club, and to the supporters, to consider my offer."