Silver Lake buying a stake in the ABs?
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@bovidae said in Silver Lake buying a stake in the ABs?:
Newshub understands two alternatives were put to NZR in their latest round of mediation talks, which concluded on Tuesday. One of those was debt raising - where NZR would essentially take out a loan they'd then pay back with interest - and the other, selling a five percent commercial stake in the company to a private investor. But those would only raise around $90m and $150m respectively, significantly less than what's been tabled by Silver Lake, Newshub understands. NZR has rejected both alternatives, both on the basis that they wouldn't be able raise enough capital and wouldn't benefit the game at grassroots level, which is at the core of NZR's deal with Silver Lake.Why are they going straight from, $90m in reserves, maybe close to eaten up by now after covid, straight to selling equity?
Why not raise the $90m loan?
Then see if in few years, then need to sell equity?
NZRU have never been in debt , for 25 years , we are now just getting close to no reserves and we panic?
This feels rushed, reactive, and I simply dont trust the acumen of these current numpties on the board.
I'm hoping the players hold out.
Make the provincial unions cut their cloth to fit.
@rapido I think it's about more than cash reserves. They want to put money into the grassroots and unions - they want to try and 'future proof' the game in NZ.
For quite a few years now they've been either just keeping their head above water or posting operating losses. It's not a sustainable model currently.
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I dont like it.
I'd be much more comfortable if they were buying a stake in the TT SR comp. The efforts go into making a successful and sustainable professional comp.
For private equity, surely the low hanging fruit will just be even more whoring out of the AB brand in revenue sharing friendlies in non-NZ venues.
There are already too many tests, and the nz game is a hollowed out inverted pyramid.
As i say. It's the domestic / tasman professional comp that needs the attention. And with this being a deal independent of the ARU, I have doubts how this will work. Big doubts.
I'd rather they borrowed, get the Ta$man comp and the relationship with ARU healthy, get a common equity buyer for the 2 unions, if needed , once we have a comp to sell.
At the moment we are just selling the AB brand.
Too much rush and panic.
The other overseas comps are hurting as well, we have a few years up our sleeves if we borrow.
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It's up to the NZRPA now.
New Zealand Rugby’s provincial unions have voted unanimously in favour of a deal with private equity group Silver Lake. However, it can not pass completely without the sign-off from the New Zealand Rugby Players Association. The deal would see Silver Lake taking a 12.5 per cent stake in a newly created NZR entity called Commercial LP for $387.5 million. New Zealand Rugby board chair Brent Impey said it was “incredibly significant” for rugby but was unimpressed with the NZRPA’s stance. -
have to say, im not too worried, NZ rugby hasn't really looked overly financially for a while and this might just be better than it going belly up.
it didn't have to be this way though, if NZR had concentrated on super rugby and the NPC rather than making the All Blacks the sole focus, then those competitions and those clubs/franchises could be used to sell equity...and keep the black jersey as this privileged pinnacle of the game....but the world sees the AB's as the only thing worth any money
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NZRPA are in a weird spot, they’re supposed to be the “little guys” in this fight. But because the amateur game and grassroots have picked the deal they’ll essentially be going against “little guys”.
@dolamite yeah is odd how the Unions are all for it, whihc will help grass roots, yet the RPA, which I assume covers players from AB down to Heartland?
So there is a disconnect between players and Unions as well, or, is it a few 'high profile' players who are against?
Initial deal I thought sounded great with 15% for a stake in some imaginary branding worth billions, but the release yesterday said NZR would transfer whatever assets it had into this new company, for which Silver Lake get 15% of, that is less ideal.
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what physical assets does NZR have? its not like they own a stadium or anything, im sure there is stuff but struggling to think of something substantial
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@dolamite yeah is odd how the Unions are all for it, whihc will help grass roots, yet the RPA, which I assume covers players from AB down to Heartland?
So there is a disconnect between players and Unions as well, or, is it a few 'high profile' players who are against?
Initial deal I thought sounded great with 15% for a stake in some imaginary branding worth billions, but the release yesterday said NZR would transfer whatever assets it had into this new company, for which Silver Lake get 15% of, that is less ideal.
@taniwharugby Watch the video in this article. It's all about the % of NZR's money in the player payment pool.
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@taniwharugby Watch the video in this article. It's all about the % of NZR's money in the player payment pool.
@bovidae cant you just summarise it for us, thats the TSF way
@Kiwiwomble I did wonder that, but like the Unions many do have assets.
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@bovidae cant you just summarise it for us, thats the TSF way
@Kiwiwomble I did wonder that, but like the Unions many do have assets.
@taniwharugby how much can a scrum machine, a bag of balls and some pads be worth?
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@taniwharugby how much can a scrum machine, a bag of balls and some pads be worth?
@kiwiwomble Well if a pair of trainers sells for millions just because Kanye West wore them, I'd expect a ball touched by the hand of Richie McCaw to go for a billion at least.
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@kiwiwomble Well if a pair of trainers sells for millions just because Kanye West wore them, I'd expect a ball touched by the hand of Richie McCaw to go for a billion at least.
@jc maybe we should look into that instead of silverlake
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have the detailed exactly what they are going to spend the money on?
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have the detailed exactly what they are going to spend the money on?
@mariner4life clearly not enough on the players as the RPA or senior players want (just going by the gist of @Bovidae post above)
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@mariner4life clearly not enough on the players as the RPA or senior players want (just going by the gist of @Bovidae post above)
@taniwharugby said in Silver Lake buying a stake in the ABs?:
@mariner4life clearly not enough on the players as the RPA or senior players want (just going by the gist of @Bovidae post above)
good.
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@mariner4life clearly not enough on the players as the RPA or senior players want (just going by the gist of @Bovidae post above)
@taniwharugby said in Silver Lake buying a stake in the ABs?:
@mariner4life clearly not enough on the players as the RPA or senior players want (just going by the gist of @Bovidae post above)
Players get 35% of spend on them at the moment. NZRU want to add another 15% to the total. Therefore RPA are saying they want 35% of that as well (total 41%). NZRU are saying we want you to get 30% of total (ie your position doesn't change.
No wonder the Unions voted yes. They get more money.
NZRU want players to get the same amount, it just then calculates as a lower % of the overall.
NZRU are looking to sell some jewellery at Cash Converters to buy some garden tools and the kids want them to spend the money on a TV
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have the detailed exactly what they are going to spend the money on?
@mariner4life said in Silver Lake buying a stake in the ABs?:
have the detailed exactly what they are going to spend the money on?
Well they've got mink underpants to buy for two new Board members for a start. That won't be cheap.
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@taniwharugby said in Silver Lake buying a stake in the ABs?:
@mariner4life clearly not enough on the players as the RPA or senior players want (just going by the gist of @Bovidae post above)
Players get 35% of spend on them at the moment. NZRU want to add another 15% to the total. Therefore RPA are saying they want 35% of that as well (total 41%). NZRU are saying we want you to get 30% of total (ie your position doesn't change.
No wonder the Unions voted yes. They get more money.
NZRU want players to get the same amount, it just then calculates as a lower % of the overall.
NZRU are looking to sell some jewellery at Cash Converters to buy some garden tools and the kids want them to spend the money on a TV
@crucial said in Silver Lake buying a stake in the ABs?:
@taniwharugby said in Silver Lake buying a stake in the ABs?:
@mariner4life clearly not enough on the players as the RPA or senior players want (just going by the gist of @Bovidae post above)
Players get 35% of spend on them at the moment. NZRU want to add another 15% to the total. Therefore RPA are saying they want 35% of that as well (total 41%). NZRU are saying we want you to get 30% of total (ie your position doesn't change.
No wonder the Unions voted yes. They get more money.
NZRU want players to get the same amount, it just then calculates as a lower % of the overall.
NZRU are looking to sell some jewellery at Cash Converters to buy some garden tools and the kids want them to spend the money on a TV
Christ. I've find much of this sell off too depressing to read. So hadn't read what the RPA were actually resisting about.
Selling assets isn't fucking income, oi players, go fuck yourselves sideways!
