Source link : https://rugby-247.com/2024/10/04/sa-rugby-council-to-vote-on-private-equity/
The membership of the South African Rugby Union (Saru) will be given the opportunity to determine the sport’s commercial future later this month.
A Special General Council (SGC) meeting of the 14 full member unions has been scheduled for Thursday, 17 October, at which a formal offer is planned to be presented for consideration.
If the proposal receives a 75 percent majority of the voting membership, it will trigger the conclusion of an agreement for a private equity company to invest into a newly established company to hold the commercial rights of SA Rugby.
The game’s rugby affairs – such as the management, coaching, contracting and selection of all national teams as well as competition management – will continue to be the responsibility of Saru.
The private investors will take up a 20 percent stake in an SA Rugby commercial rights company, which will manage and be responsible for the sponsorship, broadcasting, eventing, branding and licensing aspects of the sport.
The SGC will be the culmination of months of intense work behind the scenes since the Ackerley Sports Group (ASG) were chosen as the preferred bidder by Saru’s membership in December 2023.
“We are very pleased to have arrived at this point and believe we will be able to table an offer to our members that makes commercial and business sense,” said Rian Oberholzer, the CEO of SA Rugby.
“This is a watershed moment for rugby in South Africa as we attempt to ‘globalise’ the Springbok brand in the way that our peers in New Zealand have.
“Private investment will bring financial security as well as the capital investment and global experience and networks to enhance how we communicate, how we do things and how we interact with our stakeholders.”
A series of information sessions have already been held with members and Oberholzer said that a series of visits to member unions would be undertaken before 17 October to further explain any areas of uncertainty.
“Private investment has taken place in several of our member unions and is commonplace in global sport,” said Oberholzer.
“Our performances on the field have kept us near or at the front of the pack for several years, but we have been lagging off the field. This is our opportunity to catch up with our peers in that arena as well.”
Photo: Ashley Vlotman/Gallo Images
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Author : rugby-247
Publish date : 2024-10-04 08:57:07
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