File: Rugby Australia has been encountered financial problems in recent years.MELBOURNE - Rugby Australia has approved plans to seek an injection of private equity, which chairman Hamish McLennan said had the potential to spark"an incredibly exciting period" for the cash-strapped game.
"The RA board met last week and has approved a pathway forward to private equity proposals," McLennan told The Australian newspaper late Sunday, in comments that an RA official confirmed to AFP. Like many other sports, the COVID-19 shutdown last year exacerbated financial strains on RA, which was already struggling after a hefty payment to former Wallaby Israel Folau following his sacking over homophobic comments.They have also been hit by reduced match revenues, a downgraded broadcast deal and the loss of long-time sponsor Qantas.
It is unclear whether RA plans to sell only the Super Rugby component of its business or whether it might emulate New Zealand Rugby and consider a whole-of-business approach that would include the Wallabies.
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