Oz pours cold water over 'private deals'
Mon, 30 Jun 2008 09:34
The Australian Rugby Union (ARU) has poured cold water on the prospect of private ownership of the country's Super 14 franchises.
The Sydney Morning Herald reports that the ARU will not allow private-consortium takeovers of any of the four Australian Super 14 provinces.
This follows recent reports that a group of Sydney businessmen, including former ARU chairman Dilip Kumar, were organising a consortium to be part of a privatised Waratahs outfit. There have even been strong suggestions in recent weeks that a breakaway NSW team might be formed, financed primarily by private money.
The consortium, which is interested in being part of the Waratahs' financial structure, has been motivated by the ARU board deciding several months ago to investigate introducing private equity at a provincial level.
However, ARU chief executive John O'Neill warned last night that the consortium's plans would not come to fruition.
"Everyone should take a cold shower over this," O'Neill told the Herald.
"It's early days of planning, but no matter what [private equity] structure is involved, it will be nationally controlled and regulated. This is to ensure that would-be investors have affinity with the game, and are compatible with rugby's interests. Consortiums taking over the Waratahs, or any other province will not be allowed."
