SARU equity: Ex Unitate Vires!

Yesterday at 04:46 AM

UPDATE: To appropriate a Latin phrase, formerly the motto on the South African coat of arms, from unity comes strength.

That is why the four franchises - Bulls, Sharks, Stormers and Lions - will combine to present a united front when the latest equity deal is formally put on the table at a South African Rugby Union council meeting on February 6.

@rugby365comcan confirm that rather than separate proposals, a consortium involving Johann Rupert and Marco V Masotti will put a deal on the table that involves all of the SA franchises and a non-SA partner who brings something special to the table.

This alliance comes in the wake of the failed bid by brothers Ted and Christopher Ackerley (Ackerley Sports Group) to get hold of a substantial slice of SARU's equity pie.

In December, the ASG 'offer' (SARU's cherry-picked partner) suffered two mortal blows.

On December 4, during a briefing of the Portfolio Committee on Sports, Arts and Culture, the ASG deal received some serious pushback. Two days later, the brothers Ackerley were given a collective bloody nose when only six of the 14 unions voted in favourof the SARU-desired partner.

ASG's 'exclusivity' period with SARU expired on December 31 and the franchises will now formally put their bid on the table.

There is, of course, also the Warren Wheatley-headed Altvest consortium. The latter has put a 'price tag' of about US$375-million (ZAR6.7-billion) on the Springbok brand.

However, the franchises - headed by Rupert (with strong support from Schalk Burger Snr) and Masotti - will use the lessons learnt from the inauspicious flop that was the ASG deal.

(Continue below...)

The ##BIG lesson is that there is 'strength in unity' and they will put forward a united front on February 6.

This 'unity' was already evident in how they managed to convince some of the smaller unions to vote against the Ackerley brothers' WinBy1 consortium back on December 6.

The one big question that remains unanswered, is why SARU - in its presentations to the franchises and unions on the ASG deal - had a 15 percent commission attached.

It has since transpired that an unnamed 'intermediary' would have benefited from part of this 'finders fee'.

SARU has been silent on the identity of the intermediary, but was forced to admit that former CEO Jurie Roux is still a 'consultant'.

The involvement of Roux in the failed equity deal with the Ackerley Sports Group was the biggest sticking point during a briefing of the Portfolio Committee on Sports, Arts and Culture on December 4.

It was confirmed by SARU that Roux remains a 'consultant' on SARU's books, despite 'stepped down' (some would suggest he was pushed to the exit door) in December 2022.

Even though he will, according to SARU, not receive any commission and is only 'advising' current CEO Rian Oberholzer, his involvement raised serious objections.

@king365ed
@rugby365com

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[caption id="attachment_284271" align="alignnone" width="850"] SARU-and-PPC[/caption]