All Blacks up for sale as virus hits funding
The All Blacks rugby team is in talks with private equity investors as it struggles with the financial impact of the Covid-19 pandemic.
New Zealand’s national treasure has seen its cash reserves slashed by almost half due to lockdowns.
New Zealand Rugby (NZR) said it is now looking at alternative sources of funding, such as private equity.
The move raises the prospect that the famed All Blacks name could be sold to the highest bidder.
On Thursday, New Zealand Rugby chief executive Mark Robinson told the New Zealand Herald that it had burned through 47% of its NZ$86m ($56m; £44m) cash reserves during the pandemic.
NZR were on track to earn revenue of NZ$100m when the sport was suspended during a national lockdown.
“We are open to looking at partners who may invest in New Zealand Rugby,” he told the NZ Herald.
There has been speculation since May that the All Blacks team was in talks with private equity.
The All Blacks are three-time world champions and have a win rate of almost 80%, earning them global recognition.
Powerful brand
The team has the most valuable brand in world rugby, according to British consultancy Brand Finance, which values it at £144m (NZ$278m).
“The All Blacks have not been slow to embrace commercial opportunities,” said Tom King at sportbusiness.com. “Their deal with kit suppliers was hailed as ground-breaking as was the 2012 shirt sponsorship with AIG which ends next year.
The All Blacks are not the first to consider finding investors.
Even before the pandemic, many rugby clubs and national teams were struggling with their finances, and private equity firm, CVC Capital Partners, has already purchased parts of the English Premiership and Europe’s Pro14.
BBC Online
Want to send us a story? Submit on Wananchi Reporting on the Citizen Digital App or Send an email to wananchi@royalmedia.co.ke or Send an SMS to 25170 or WhatsApp on 0743570000
Comments
No comments yet.
Leave a Comment