The new rugby deal that puts more pressure on Super Rugby's future
Rugby’s move towards a private-equity driven future has gathered pace with reports that CVC Capital Partners’ splurge into the Pro14 will bring the concept of a club world cup closer to reality.
The move has also heightened the contrast and potential divide between the cashed-up Northern Hemisphere professional leagues, and the fragile shell of Sanzaar in the south.
The Luxembourg-based buyout group paid $400 million for a 27 per cent stake in English Premiership Rugby two years ago and added the cross-border Pro14 – a tournament involving clubs from the three Celtic nations (including Northern Ireland), Italy and South Africa – to their portfolio over the weekend.
The deal, which had been put on ice during the early stages of the Covid-19 crisis, sees the equity group tale a 28 per cent stake in the tournament after paying $240m.
“[CVC has] a strong belief in the long-term potential of rugby?for the fans, the players and the clubs, and what we can achieve?in partnership with?Pro14,” said the company in a statement.
While the immediate benefit of the partnership is a massive cash injection into a tournament that will be, like every major professional sports league, affected by the coronavirus pandemic, the ripple effect of the deal is likely to be felt around the rugby world.
South Africa will likely increase their involvement in the competition from two teams – the Cheetahs and Kings – which could expedite their long talked-about exit from Super Rugby, although they have expressed a desire to retain a presence in the south also.
Of greater importance to the hoped-for renovation of rugby’s chaotic global calendar, it is believed CVC will seek alignment between its investments – its $600m deal to buy into the Six Nations is also back on track according to a report in London’s Financial Times – to play a leading role in creating a global club world cup.
That move should prompt New Zealand Rugby to press fast forward on Aratipu, the review into the future of Super Rugby. It is crucial that NZR has a workable, saleable product to take to market with some urgency.
At the moment the contrast is uncomfortable for those charged with keeping the best players in the game in New Zealand: private money is being poured into Europe’s big tournaments; nobody yet knows with any certainty what Super Rugby will look like in 2021.
EXCLUSIVE
The eldest son of legendary All Black @ZinzanBrooke8 has signed his first pro contract, writes @chrisjonespress https://t.co/S8c1HYlyrK
— RugbyPass (@RugbyPass) May 25, 2020
This month, the Herald revealed that the national body had been wooing global equity partners, including multi-billion dollar US firm Silver Lake, a tech specialist that has also successfully invested in mixed martial arts phenomenon UFC, the Madison Square Garden Company (which owns the New York Knicks and New York Rangers), and Manchester City’s parent company.
“You would set up a subsidiary company of NZ Rugby and get investment into that company in some form of partnership,” a senior NZ Rugby source said. “You put commercial assets into that company — whether that’s in combination with Sanzaar partners and something like Super Rugby in its reincarnated form, or the Rugby Championship.”
The source also noted the NZR was “miles away” from signing a deal, but the Pro14 deal and continued uncertainty over Sanzaar’s future should rid the national body of any complacency.
CVC’s massive investment in Northern Hemisphere rugby (and to an extent South African) points to their investment belief that rugby’s reach and commercial opportunities will continue to rise in the wake of the pandemic.
NZR will now be acutely aware they cannot afford to be left behind.
Comments on RugbyPass
I think Matt Proctor became a 1 test AB in the same fixture. Cameron is quality and has been great this season, can’t believe’s he only 27. Realistically how would he not be selected for ABs squad this year. Only Dmac is ahead of him as a specialist 10. With Jordan out, it will come down to where and when Beauden Barrett slots back in, and where they want to play Ruben Love. Cameron seems an absolute lock in for the wider squad though. Added benefit of TJ-Cameron-Jordie combination at 9, 10, 11 too.
1 Go to commentsFarcical, to what end would someone want to pay to keep this thing going.
1 Go to commentsHavili, our best 12 by a mile, will be in the squad, if he stays fit. JB is the most overrated AB in the last 50 years.
61 Go to commentsWe had during the week twilight footy, twilight cricket, tw golf plus there was the athletics club. Then the weekend was rugby 15s plus the net ball, really busy club scene back then but so much has changed and rugby has suffered. And it was all about changing lifestyles.
6 Go to commentsIn the 70s and 80s my club ran 5 Senior sides plus a Vets. Now it is 2 sides with an occasional 3rd team. Players have difficulty getting to training now, not sure why and the commitment is not there. It seems to me more a problem of people applying themselves and not expecting to turn up and play whenever they want to.
6 Go to commentsROG’s contract is until 2027. The conversation about a successor to Galthie after RWC 2027 may be starting now. We can infer that Galthie’s reign stops then. He is throwing the Irish Coaching Job angle in because he is Irish. The next Irish coach MUST be Leo Cullen. As well as being the best coach available, coaching the vast majority of Irish Internationals week in week out, he has shown incredible skill at recruiting the best coaching staff for the job in hand. That was a failing in France. Cullen is a shrewd guy and if there is a need for foreign coaches underneath him he won’t hesitate. Rightly so. Ireland does need to start to bring Irish coaches through. Not just at the professional level but we need to train coaches to man new pathways for developing kids from schools/clubs up through the divisions.
7 Go to commentsNo Islam says it must rule where it stands Thus it is to be deleted from this planet Earth
18 Go to commentsThis team probably does not beat the ABs sadly Not sure if BPA will be available given his signing for Force but has to enter consideration. Very strong possibility of getting schooled by the AB props. Advantage AB. Rodda/Skelton would be a tasty locking combination - would love to see how they get on. Advantage Wallabies. Backrow a risk of getting out hustled and outmuscled by ABs. Will be interesting to see if the Blues feast on the Reds this weekend the way they did the Brumbies we are in big trouble at the breakdown. Great energy, running and defence but goalkicking/general kicking/passing quality in the halves bothers me enormously. SA may have won the World Cup for a lot of the tournament without a recognised goalkicker but Pollard in the final made a difference IMO. Injuries and retirements leave AB stocks a bit lighter but still stronger. 12 and 13 ABs shade it (Barret > Paisami, Ione = Ikitau, arguably) Interesting clash of styles on the wings - Corey Toole running around Caleb Clark and Caleb running over the top of Toole. Reece vs Koro probably the reverse. Pretty even IMO. 15s Kelleway = Love See advantage to ABs man for man, but we are not obviously getting slaughtered anywhere which makes a nice change. Think talent wise we are pretty even and if our cohesion and teamwork is better than the ABs then its just about doable.
11 Go to commentsCompletely agree. More friday night games would be a hit. RFU to make sure every club has a floodlit pitch. Club opens again Saturday to welcome touch / tag. Minis and youths on Sunday
6 Go to comments1.97m and 105Kg? Proportionately, probably skinnier than me at 1.82 and 82kilos. He won’t survive against the big guys at that weight.
55 Go to commentsThe value he brought to the crusaders as an assistant was equal to what he got out of being there. He reflected not only on the team culture but also the credit he attributed to the rugby community. Such experience shouldn’t be overlooked.
7 Go to commentsGood luck Aussie
11 Go to commentssmith at 9 / mounga 10 / laumape 12 / fainganuku 14
61 Go to commentsBar the injuries, it’s pretty much their top team …
2 Go to commentsDon’t disagree with much of this but it appears you forgot Rodda and Beale, who started at the Force on the weekend.
11 Go to commentsExcept for the injured Zach Gallagher this would be Saders best forward pack for the season. Blackadder needs to stay at 7, for all of Christies tackling he is not dominant and offers very little else. McNicholfullback is maybe a good option, Fihaki not really upto it, there was a reason Burke played there last year. Maybe Havilli to 2nd five McLeod to wing. Need a strong winger on 1 side to compliment Reece
1 Go to commentsTo me TJ is clearly the best 9 in the competition right now but he's also a proven player off the bench, there's few playmaking players who can come off the bench as calm and settled as he is, Beauden can, TJ can and I doubt any of the scrumhalves in contention can, if they want to experiment with new 9s I want him on the bench ready to step in if they crumble under the pressure. The Boks put their best front row on the bench, I'd like to see us take a similar approach, the Hurricanes have been doing similar things with players like Kirifi.
61 Go to commentsROG has better chance to win a WC if he starts training and make himself eligible as a player. He won’t make the Ireland squad but I reckon he may get close with Namibia (needs to improve his Afrikaans) or Portugal. Both sides had 1000:1 odds to win the RWC in 2023 which is an improvement on ROG’s odds of winning a RWC as a coach. Unlike Top 14 teams, national teams can’t go shopping and buy the best players - you work with the available talent pool and turn them into world beaters.
7 Go to commentsthat backline nope that backline is terrible why would you have sevu Reece when he’s not even top 5 wingers in the comp why have Blackadder when there’s better players no Scott barret isn’t an automatic the guy is more of a liability than anything why have him there when you have samipeni who’s far far better
61 Go to commentsAh, good to find you Nick. Agree with everything about Cale. So much to like about his game
55 Go to comments