NEARLY £5 million has been wiped off Rangers' value on the stock market after more than 400,000 shares were sold as new chief executive Craig Mather said the club was "living within our means".

The stock sale which took place yesterday resulted in a 15% drop Rangers International Football Club (RIFC) plc's share price which finished the day on 42.5p.

The value of the shares sold was just over £180,000 but it brought the market value of RIFC down from £32.6m to £27.7m.

Four 100,000 tranches of shares were sold between 3.30pm and 4.20pm as Mr Mather released a statement saying the club was on an even financial footing.

Three blocks of 100,000 were sold before Mr Mather's statement was published online, the other was sold 25 minutes afterwards.

Mr Mather's comments came as some fans expressed concern about the volume of new recruits manager Ally McCoist was allowed to bring in, with some assuming more money is being spent.

The club have signed seven new players so far this summer as they prepare for a new season in the Scottish Second Division, while offloading two high earners in Carlos Bocanegra and Dorin Goian.

It is just over a year since a consortium led by Yorkshire business Charles Green bought the assets of Rangers as the parent company under the leadership of Craig Whyte went into administration and subsequently liquidation.

However, Mr Mather said it was simply the budget provided was being "worked well" and there was "no reason to panic".

He said: "People are talking about the signings we have made and we've agreed deals to bring in seven players so far but in comparison to last year's wage bill, it's less this season.

"Yes, we're bringing more people in but we've worked hard to ensure from a financial perspective we're living within our means."

The slump in the share price wipes nearly 40% off the holdings of fans and investors who bought into December's share issue when they were on offer for 70p.

The Initial Public Offering championed by former chief executive Charles Green raised around £22m.

The Rangers Supporters' Trust, who bought £250,000 of shares on behalf of members, was philsophical about the development.

Mark Dingwall of the trust said: "I think most people bought their shares with their eyes wide open. Most fans regard it as an emotional investment rather than a long-term financial one.

"People bought them to help the club rather than to make money from them."

He believed the shares might have been sold by those investors who were locked into their shares till July 1.

Despite Mr Green's resignation as chief executive, in the wake of claims he had covertly worked in conjunction with Mr Whyte when purchasing the business and assets of Rangers for £5.5m in May 2012, the Yorkshire businessman remains the biggest individual shareholder with 7.68% of the plc.

Under stock market rules, Mr Green is locked into owning those shares until December 7 this year. He has already agreed to transfer 1.1% of his stake to Isle of Man-based investment company Laxey Partners when the lock-in period expires.

A Rangers spokesman said: "Rangers do not comment on the sale of small numbers of individual share transactions."