Marconi shareholders may be left owning less than one per cent of the fallen telecoms giant once it restructures its debts.
According to the Financial Times, the terms of a rescue deal are likely to see the banks and bondholders gaining complete control of the telecoms equipment maker.
Marconi warned in June that the survival package being thrashed out would lead to a "very substantial dilution in value for existing equity holders".
The Financial Times reported that the deal represents a further blow for investors hit by the plunge in Marconi's stock price.
After topping £12.40p in September 2000, the shares plummeted to a low of 3.2p last month.
Latest Tesla news: Tesla share price continues to fall after Saudi Arabia's sovereign wealth fund is linked to investment in rival
SEC 'probe' takes its toll on Tesla as new research suggests that Tesla loses $6,000 on every $35,000 Model 3
RTX 280 Ti will come with 11GB of fast GDDR6 video RAM with a 352-bit memory bus offering 616Gbps
The scale of jobs lost to automation will be at least as large as those in the first three industrial revolutions
10nm Cannon Lake Core i3-8121U CPUs make a rare outing with Intel's NUC mini PC