Coventry City: Falkirk's Steven Pressley favourite for Sky Blues

Coventry City are homing in on the appointment of Steven Pressley as their new manager after being given permission to talk to the Falkirk boss.

The financially-challenged Midlands club are aware of the compensation that would be required to lure Pressley away from the Scottish First Division side.

Talks are set to continue over the next 24 hours between the two clubs.

But the 39-year-old Scot is the main target and has been installed as a very short-priced favourite by bookmakers.

Both clubs have confirmed that Coventry are in contact with former Scotland centre-half Pressley, who will now hold talks with the Sky Blues over personal terms.

Pressley's Bairns are fifth in the First Division north of the border, and have reached this season's Scottish Cup semi-finals, in which they are due to play Hibernian on 13 April.

He has been in charge of Falkirk for just over three years since taking over from Eddie May in February 2010, with the club three points adrift at the foot of the Scottish Premier Division table.

Coventry have now been without a manager for almost three weeks since Mark Robins left the Ricoh for Huddersfield Town on Valentine's Day.

Since then, Coventry have won three times on the road under caretaker boss Lee Carsley, with two home defeats sandwiched in between.

Keith Curle, Paul Dickov and former Sky Blues boss Eric Black have all been linked with the job, but former midfielder Carsley did not apply.

Meanwhile, Coventry have again denied rumours that they are to go into administration.

Following the resignation of the club's vice chairman John Clarke on Monday, there had been suggestions that administrators were about to be appointed - or that, in the worst-case scenario, the club might even be liquidated.

But, after a denial by Clarke on Tuesday, two further separate sources at the League One club have now spoken to BBC Coventry & Warwickshire to reject those claims.