Rangers’ Europa League dreams were ended by Athletic Club as they reached the semi-finals to maintain their hopes of winning the tournament in their own stadium.
Rangers went to Bilbao with belief after Liam Kelly’s crucial penalty save at Ibrox, but Cyriel Dessers was left with a ripped shirt but no spot-kick after being hauled down by Daniel Vivan early on in the San Memes.
John Souttar handed the LaLiga side the advantage when he conceded a penalty just before half-time. Oihan Sancet sent Kelly the wrong way as the home fans erupted.
Rangers lost Ridvan Yilmaz, Ianis Hagi and Leon Balogun to injury before Nico Raskin saw his effort crash off the post as Barry Ferguson’s side fought for an equaliser.
But Nico Williams, a target for Arsenal, wrapped up the win with a brilliant back-post header after a lapse in concentration from Gers captain James Tavernier.
Ernesto Valverde’s side will play either Man Utd or Lyon in the semi-finals, while Rangers’ exit leaves them with nothing left to play for this season.
European adventure over again
The need for a solid start for Rangers was obvious.
The Light Blues had conceded the first two goals in seven of their last 10 games – six in nine under Ferguson who was installed as boss until the end of the season when Philippe Clement departed in February
After a bright opening few minutes Athletic flexed.
Yilmaz, playing right wing-back, had to block a close-range shot from midfielder Sancet in the eighth minute before keeper Liam Kelly made a great save from Williams with another Sancet shot blocked, this time by Tavernier.
Injured Yilmaz then had to be replaced by midfielder Connor Barron and Ferguson reshuffled, Tavernier going to wing-back and Jefte moving into the back three with Mohamed Diomande at left wing-back.
It was all about defending for Rangers and it was desperate at times, with Balogun booked by referee Irfan Peljto for a foul on striker Maroan Sannadi, the official earlier ignoring Gers striker Cyriel Dessers’ claim for a penalty when Yeray Alvarez pulled at his shirt.
In the 36th minute Athletic attacker Alex Berenguer came close with a curling shot from 20 yards before Williams missed a sitter from eight yards after a cut-back from Sannadi.
Sancet then lofted a shot high over the bar with only Kelly to beat, and the Govan side escaped again – only for Souttar to concede penalty for a challenge on Sannadi and Sancet sent Kelly the wrong way.
Centre-back Clinton Nsiala replaced Ianis Hagi and Jefte moved back to left wing-back with Diomande returning to midfield and within seconds of the restart Balogun went down inside the Rangers box after clashing heads with Souttar and had to be replaced by striker Hamza Igamane.
The visitors went to a back four, adding to the sense of disruption.
However, after 58 minutes Raskin struck the post from around eight yards as the home defence was breached and the game became stretched.
The tension increased as the second half continued and a delicious chip from Ibrox winger Vaclav Cerny almost found Dessers at the back post, while at the other end, Berenguer’s shot was deflected for a corner which was defended with determination.
However, moments later Williams got in behind Tavernier and headed an inviting cross from Oscar de Marcos high past Kelly to send Rangers out of the competition.