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Wasps have encountered heavy criticism online after it emerged they have asked the West Midlands Combined Authority (WMCA) for £13million of public money as the financial strain builds on their stadium business. A story broken by the BBC claimed that no decision had yet been reached on the application for funding and that Wasps had not yet commented on why they had made the request.
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Shortly after acquiring a 250-year lease on the Coventry Building Society Arena, which was then known as the Ricoh Arena, Wasps launched a bond scheme in April 2015. Bondholders invested at least £2,000 each and most of the £35m raised was used to pay off previous debts, including a £13.4m loan from Coventry City Council and £10m of loans from Wasps owner Derek Richardson.
However, the Arena business has struggled financially and the latest set of filed accounts from November 2021 showed losses of about £18.5m over the past two years and net liabilities of £54.7m.
It also recently emerged that Wasps delayed repaying their bondholders who should have been repaid last month only for the club to announce that the repayment date was pushed back until the end of June to allow additional time to finalise terms with HSBC to refinance that bond debt.
A statement at the time quoted Wasps CEO Stephen Vaughan: “We thank bondholders for their continued support and look forward to updating them further in due course.”
There's some great insight here from @DrDanPlumley who talks about the possible implications of Wasps' financial situation – and whether CCFC / Wasps could become business partners.
He also talks about whether Coventry City could end up owning the stadium.https://t.co/FAtfUZyDcA— Simon Gilbert (@TheSimonGilbert) June 16, 2022
Now that it has been revealed that Wasps have since requested access to £13m of public money, social media has been busy and most of the reaction has been negative towards the Gallagher Premiership club. One critic summed up the mood, tweeting: “I tell you what, as a local, if Wasps wanted to make themselves any more unpopular with the critics of them being based in Coventry (of which there are many) this is how you do it. A sizeable chunk of sports fans here never wanted them and now… well.”
I tell you what, as a local, if Wasps wanted to make themselves any more unpopular with the critics of them being based in Coventry (of which there there are many) this is how you do it.
A sizeable chunk of sports fans here never wanted them & now…well. pic.twitter.com/JlIuU4jzDN— Paul Wheeler (@paulwradio) June 16, 2022
This is state aid. This happens the wider implications could be massive. Not only other businesses will be looking to obtain funding this route but the rugby league will be under pressure from the other competitors. A mess. Wasps should never of come to Coventry. It’s failed.
— 1987CCFC (@ccfc_1987) June 17, 2022
I really can’t buy into the glee at Wasps financial difficulties ??
They’ve invested into Coventry. They’ve developed the non-matchday revenue streams at the CBS
Obv suffered thru Covid & if grants, low interest loans or handouts are available- any business should try to benefit— Coventry Views2 (@Coventry_Views2) June 17, 2022
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Wasps have already received a "£100m community asset" on the cheap from Coventry City Council, why should they receive £13m of public money on top of that? #pusb https://t.co/sM18CZ1GS9
— Robert Smith (@ChalfontStRob) June 17, 2022
I really want Wasps to succeed in Coventry but this will wreck any chances of that happening.
— phil_lovely (@phil_lovely) June 17, 2022
Enjoyed reading that article from a heavily Coventry City biased reporter who famously dislikes Wasps and was very anti Wasps when reporting on the whole SISU issue. My point above still stands ??
— George H (@Me_George_H) June 17, 2022
But it was never going to work once the novelty had worn off , wasps shouldn’t be asking for tax payers funding after the way they treated Coventry city .
— Adam Warwick (@AdamWarwick86) June 17, 2022
There is a mutual hatred towards Wasps, Coventry City Council and Sisu between the 3 of them they absolutely shafted us Coventry Fans. Special hatred to wasps though how can we be tenants n a stadium which was built for us with landlords of a team with zero business being here.
— Bradders (@PUSBradders) June 16, 2022
Remember the batsh*t idea in the early 2000’s of merging Bath and Bristol together to form an Avon County Rugby super team? That was a better idea than moving London Wasps to Coventry.
— Lucas Ward (@LucasWard_) June 16, 2022
Those who gleefully welcomed Wasps to Coventry must now be uncomfortably squirming. They were never welcome, they are not welcome and they will hopefully disappear into nothingness.
— Jimmy (@JimCan21) June 16, 2022
Good to see the Derek Richardson Coventry wasps Ponzi scheme went well for Derek Richardson and not those at the bottom of the Ponzi scheme, sorry not Ponzi scheme, bond holders. Yes bond holders that’s the term……
— Axe – King of Salford (@diamondgenuis) June 16, 2022
https://t.co/03dUT7wFYs
What a complete shitshow!! £58 mil in debt last accounts unable to re-pay bonds now asking for £13 million "public" money to bail them out. Not great decision now was it Ann Lucas & the rest of Coventry City Clowncil selling our ground to Wasps RFC #PUSB— Andy (Cosser) (Pokerstars Hold Em?? ????? Player) (@Zipper282) June 16, 2022
Coventry City fans showing how bitter and twisted they actually are….well quite a lot of them anyway.
Love how they obsess about Wasps.
— ???? ?????? (@jackthrelk) June 16, 2022
As in Coventry City? I don’t really know, but it does feel like the owners have been gambling on things not working out for Wasps, which looks like coming to fruition. Whether that might result in owning the stadium, I’m still not sure of.
— Dominic Jerams (@SideSammy) June 16, 2022
I’ve always felt that Coventry City fans have assumed the role of neglected kids in a toxic tug-of-war between two dreadful parents: Sisu and Coventry City Council.
I guess wasps are the dodgy guy who moves in, that the kids can’t stand ?— richardbingham (@2right3) June 16, 2022
Wasps asking for £13m of public money. That’s £13m from the public, many of whom don’t even want them in Coventry. The move was the wrong one from the very beginning.
— Worcester Faithful (@WorcsFaithful) June 16, 2022
Comments on RugbyPass
Well that’s the contracts for RG and Jordie bought and paid for. Now, what are the chances we can persuade Antoine to hop over with all the extra dosh we’ll have from living at the Aviva & Croke next season…??? 🤑🤑🤑
2 Go to commentsWow, that’s incredible. Great for rugby.
2 Go to commentsYou probably read that parling is going to coach the wallaby lineout but if not before now you have.
14 Go to commentsIf someone like Leo Cullen was in O’Gara’s place I don’t hear Boo-ing. It’s not just that La Rochelle has hurt Leinster and O’Gara is their Irish boss. It’s the needle that he brings and the pantomime activity before the game around pretending that Munster were supporting LaRochelle just because O’Gara is from Cork. That’s dividing Irish provinces just to get an advantage for his French Team. He can F*ck right off with that. BOOOOO! (but not while someone is lying injured)
2 Go to commentsDid the highlanders party too hard before the game? They were the pits.
1 Go to commentsWhat a player! Not long until he’s in the England side, surely?
2 Go to commentsHe seems to have the same aura as Marcus Smith - by which I mean he’s consistently judged as if he’s several years younger than he actually is. Mngomezulu has played 24 times for the Stormers. When Pollard was his age he had played 24 times for South Africa! He has more time to develop, but he has also had time to do some developing already, and he hasn’t demonstrated nearly as much talent in that time as one would expect. If he is a generational talent, then it must be a pretty poor generation.
4 Go to commentsThe greatest Springbok coach of all time is entirely on the money. Rassie and Jacques have given the south african public a great few years, but the success of the springbok selection policy will need to be judged in light of what comes next. The poor condition that the provincial system is currently in doesn’t bode well for the next few years of international rugby, and the insane 2026 schedule that the Boks have lined up could also really harm both provincial and international consistency.
18 Go to commentsJake White is a brilliant coach and a master in the press. This is another masterclass in media relations and PR but its also a very narrow view with arguments that dont always hold water. White wants his team to win, he wants the best players in SA and wants his team competitive. You however have to face up to the reality of a poor exchange rate and big clubs with big budgets. SA Rugby cant compete and unless it can find more money SA players will keep leaving regardless of Springbok eligibility and this happened in 2015 - 2017. Also rugby is not cricket. Cricket has 3 formats and T20 cricket is where the money is at. When it comes to club vs country the IPL is king but that wont happen because the international calendar does not clash with the club calendar in rugby. So the argument about rugby going down the same path as cricket is really a non-starter
18 Go to commentsNZ rugby seem not to have learnt anything from professional rugby. Super rugby was dying and SA left before they died with the competition. SA rugby did a u turn on their approach to international players playing overseas and such players are now selected for Bok teams. As much as each country would love to retain their players playing in local competitions, this is the way the world is evolving my friends. Move with it or stay 20 years behind the times. One more thing. NZ rugby hierarchy think they are the big cheese. Take a more humble approach guys. You do not seem to have your players best interests at heart.
3 Go to commentsBeaches? In Cardiff? Where?
1 Go to commentsHe is right , the Crusaders will be a threat. Scott Barrett, ( particularly), Fergus Burke , Codie Taylor, ( from sabbatical) etc due back soon for the Crusaders. There are others like Zach Gallagher too. People can right the Crusaders off, Top 8 , here we come !!
1 Go to commentsWe will always struggle for money to match the other sides but the least the WRU can do is invest properly in Welsh rugby. Too much has been squandered on vanity projects like the hotel and roof walk amongst others which will never see a massive return. Hanging the 4 pro sides out to dry over the last decade is now coming back to bite the WRU financially as well as on the pitch. You reap what you sow.
1 Go to commentsWhat do you get if you cross a doctor with a fish? A plastic sturgeon
14 Go to commentsWhat happened to feleti Kaitu’u? Hasnt played in a while right?
1 Go to commentsGregor I just can’t agree with you. You are trying to find something that just isn’t there. Jordie Barrett has signed until 2028. By the end of that he would have spent probably 11-12 years on Super Rugby and you say he can’t possibly have one season playing somewhere else. It is absurd. What about this scenario, the NZR play hard ball and he decides to leave and play overseas. How would that affect the competition. There seems to be an agenda by certain journalists to push certain agendas and don’t like it when it’s not to their liking. I fully support the NZR on this. Gregor needs to get a life.
3 Go to commentsHope he stays as believe he can do a great job.
1 Go to commentsMake what step up? Manie has a World Cup winner’s medal around his neck and changed the way the Springboks can play. He doesn’t have anything to prove to anyone. The win record of the Boks with him in the team is tremendous. Sacha can be wonderful and I hope he has a very succesful Bok career, but comparing him to Manie in terms of the next Bok flyhalf is very strange. Manie is the incumbent (not the next) and doing pretty incredibly.
4 Go to comments00 😍 U
1 Go to commentsSabbaticals have helped keep NZ’s very best talent in the country on long term deals - this fact has been left out of this article. Much like the articles calling to allow overseas players to be selected, yet can only name one player currently not signed to NZR who would be selected for the ABs. And in the entire history of NZ players leaving to play overseas, literally only 4 or 5 have left in their prime as current ABs. (Piatau, Evans, Hayman, Mo’unga,?) Yes Carter got an injury while playing in France 16 years ago, but he also got a tournament ending injury at the 2011 World Cup while taking mid-week practice kicks at goal. Maybe Jordie gets a season-ending injury while playing in Ireland, maybe he gets one next week against the Brumbies. NZR have many shortcomings, but keeping the very best players in the country and/or available for ABs selection is not one of them. Likewise for workload management - players missing 2 games out of 14 is hardly a big deal in the grand scheme of things. Again let’s use some facts - did it stop the Crusaders winning SR so many times consecutively when during any given week they would be missing 2 of their best players? The whole idea of the sabbatical is to reward your best players who are willing to sign very long term deals with some time to do whatever they want. They are not handed out willy-nilly, and at nowhere near the levels that would somehow devalue Super Rugby. In this particular example JB is locked in with NZR for what will probably (hopefully) be the best years of his career, hard to imagine him not sticking around for a couple more after for a Lions tour and one more world cup. He has the potential to become the most capped AB of all time. A much better outcome than him leaving NZ for a minimum of 3 years at the age of 27, unlikely to ever play for the ABs again, which would be the likely alternative.
3 Go to comments