The deal was being led by Truro City owner and local property developer Kevin Heaney, but he has told the club's administrators that he is withdrawing proposals to buy Argyle.
With Heaney out of the frame, only one firm bidder remains for the npower League One strugglers - thought to be Devon-based entrepreneur James Brent.
The Home Park club entered administration in early March with debts of around ?13million and there have been several months where staff have gone unpaid.
The subsequent 10-point deduction has contributed to the club's grim plight, leaving them bottom of the table.
Source: PA
Source: PA