The Sky Blues and owners SISU are due in the High Court in London on Friday morning battling against the threat of an administration order. The application has come from Arena Coventry Limited (ACL), who manage the Ricoh Arena on behalf of joint owners the Alan Edward Higgs Charity and Coventry City Council.
A spokesman for the club said on Thursday the decision to place the non-operating subsidiary into administration will not impact the running of the League One outfit. The statement on the club's official website read: "It is important to stress that the football club itself is not under threat."
It continued: "This is merely a property subsidiary which owns no material assets and has no employees, on or off the pitch.
"The club can confirm that all staff wages, PAYE and all other creditor commitments will continue to be met as before by Coventry City Football Club Holdings.
"Unlike other instances of clubs being taken either wholly or partially into administration, there are no HMRC or VAT implications and the football club will continue to trade as normal without interruption.
"Our main objective now is to remain competitive on the pitch and give Steven Pressley and the playing staff our full backing and commitment."
Coventry currently sit eighth in npower League One, three points off a play-off place.