Melbourne Rebels will not participate in the 2025 Super Rugby Pacific Competition as their participation agreement request has been unsuccessful.
Rugby Australia advised the representatives of the consortium of this outcome this morning, noting that the application did not demonstrate sufficient financial viability.
They say the application relied upon projections for revenue growth and cost savings that Rugby Australia believes are overly optimistic, raising significant doubts about the long-term sustainability of the proposed licensee.
They add the consortium has made it clear that it is seeking a contribution from RA of several million dollars to cover forecast operating losses – this is in addition to the standard funding that would be available under a Participation Agreement.
RA says the identity of the consortium members has not been disclosed to them, and as a result, the credentials of the consortium were unable to be fully assessed.
Since the Rebels’ inaugural year in 2011, MRRU has not been independently financially sustainable despite significant additional investment by RA over and above committed club grants.
The consortium has claimed to have committed $18 million in funding, though no documentary evidence has been provided to support this. RA has been asked to rely on verbal assurance, as well as confirmation that a portion of the committed funding will be contributed towards funding the Deed of Company Arrangement (DOCA).
RA says they do not take this decision lightly, however, it must act in the best interests of the game and its stakeholders, and provide certainty for the Rebels’ players and staff, and all Super Rugby clubs in planning for the 2025 Super Rugby Pacific season.
Regarding the Melbourne Rebels players, RA and the Rugby Union Players Association (RUPA) have been contingency planning for the possibility of this outcome and met with players last week to discuss options for player movement within Australian Rugby.
This process will continue in the coming weeks, as RA engages with RUPA, players and other Super Rugby clubs regarding options for player movement.
RA will communicate further details regarding this process in due course.
The Rebels will take on the Swire Shipping Fijian Drua at 2.05pm this Saturday at Churchill Park in Lautoka in the final round of the Shop N Save Super Rugby Pacific competition.
In other matches this week, the Crusaders will play Moana Pasifika at 7.05pm Friday, the Waratahs host the Reds at 9.35pm Friday, the Hurricanes will take on the Highlanders at 4.35pm Saturday, the Blues will play the Chiefs at 7.05pm Saturday and the Force will host the Brumbies at 9.35pm Saturday.
Source: Rugby.au
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