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" It could be that the NRL, should be flush with money through Private Equity becomes one of the Parties circling that organization (Super League Europe ). There are obvious synergies between the organizations given they control the same code, albeit on opposite sides of the globe." Brent Reid.   Extract on growing rumours of Private Equity stake in NRL.

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I assume this is the article:

https://www.theaustralian.com.au/sport/nrl/nrl-is-private-equity-a-pot-of-gold-for-rugby-league/news-story/1515582e6fdcaa56e1e3a87f8dc3f895

Private Equity in any sport is getting into very dangerous waters in my opinion, although less so if was the NRL buying a chunk of SL provided it came with actual business support.

I have major reservations about what SL would do with the money, other than blow it on handouts to the clubs.

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Just read this in the " The Australian ", thought you might be interested, Reid is the Chief RL writer for the OZ and has a very good relationship with NRL HQ.

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31 minutes ago, The Rocket said:

" It could be that the NRL, should be flush with money through Private Equity becomes one of the Parties circling that organization (Super League Europe ). There are obvious synergies between the organizations given they control the same code, albeit on opposite sides of the globe." Brent Reid.   Extract on growing rumours of Private Equity stake in NRL.

Is this about Hedge fund managers pruning their privets?

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It is very interesting that Oz are looking at PE and actually talking about investing it in physical assets rather than simply frittering it away on paying debts etc. Selling assets to invest always carries risk, but the ARL/NRL seems to have some intelligent people on board under the current regime. Would be much happier with NRL taking a stake in SL than any other organisation I can think of.

 

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38 minutes ago, Toby Chopra said:

There are worse fates than the NRL buying a stake in SL. In fact I'd say the bigger question would be what does the NRL get out of it. Direct access to the UK and French media markets I suppose. 

Media access plus the value of having a stronger player development pathway over here. An investment in SL which is conditional on being further invested in growing the sport, increasing participation, improving player development (I.e. not just keeping skint clubs running etc) then that potentially has a decent longer term payoff for them with a wider talent pool.

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The article in LE this morning says that the retention of a trans-atlantic partner in SL may well be a strong motivation for a PE deal, and that the chairmen are very interested in such a deal coming to fruition.

No prizes for guessing what would happen to the cash, given the structure of SL Europe.

Sport, amongst other things, is a dream-world offering escape from harsh reality and the disturbing prospect of change.

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29 minutes ago, Hela Wigmen said:

The NRL taking a stake in Super League is dangerous territory, if you ask me. 

Go on I’ll bite, why? 

"Freedom without socialism is privilege and injustice, socialism without freedom is slavery and brutality" - Mikhail Bakunin

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Just now, Phil said:

Go on I’ll bite, why? 

There’s certainly well placed fears that the Super League would become (depending on your view, possibly more of) a feeder League for the NRL, with the NRL ultimately viewed as the most important of the two by the owners and we retain our place as a secondary competition with just greater disparity between us and them and potentially more players lost to the NRL both at first team level and at Academy level. 

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There is no strategic business sense in removing the best players from the UK as it weakens the game here so reduces the value of their investment. This is the NRL organisation looking at investing, not the clubs.

In any case, there is absolutely nothing stopping a player going to the NRL as things are now, so it wont make any difference.

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1 minute ago, Whippet13 said:

There is no strategic business sense in removing the best players from the UK as it weakens the game here so reduces the value of their investment. This is the NRL organisation looking at investing, not the clubs.

In any case, there is absolutely nothing stopping a player going to the NRL as things are now, so it wont make any difference.

It all depends on if they want Super League to close the gap on the NRL (theres a question of why would they risk Super League possibly becoming the number one competition?) or whether they see Super League as another feeder level, on par with the NSW Cup and QLD Cup? 

There’s also a hell of a lot of questions around it, if they’re serious. We’ve seen over the years that Australian Rugby League has incorporated mergers and a closed shop, the very thing many here have spent campaigning against. There would need to be a lot of assurances, I think, both towards the fans and to clubs themselves before I think you’d get a buy in. Or at least, there should be. 

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3 hours ago, Toby Chopra said:

There are worse fates than the NRL buying a stake in SL. In fact I'd say the bigger question would be what does the NRL get out of it. Direct access to the UK and French media markets I suppose. 

Tapping into the North American market - that's where the long term potential is. And by that i mean commercially

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They discussed this on NRL 360.

According to Buzz Rothfield, the proposal is NRL - currently valued at A$3bn - would sell a 20% stake for A$600m. The 16 clubs would each get A$20m, the other c.A$300m would go into an NRL investment fund.

The private equity company would get two board members on the ARL Commission, and “senior management positions” on the NRL board.

Interestingly Paul Kent and Ben Ikin are - to use the local saying - dead set against it, as they think private equity would asset-strip and choke spending on player development. Ikin also thinks it wouldn’t get the required constitutional approval from the NSWRL and QRL.

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2 hours ago, Blind side johnny said:

The article in LE this morning says that the retention of a trans-atlantic partner in SL may well be a strong motivation for a PE deal, and that the chairmen are very interested in such a deal coming to fruition.

No prizes for guessing what would happen to the cash, given the structure of SL Europe.

That bit leapt out at me when reading that article today. The suggestion that a NA club in SL may be key in the PE deal happening or not gives a strong hint at a closed shop system in the advent of any PE deal IMO. There is no point landing such a deal if said NA club could be lost to the competition (SL) via relegation. If a licensed system is in the offing I would much rather it was in the form of 2 licensed divisions with P&R between them rather than a single licensed SL as last time. Such a system would make it easier to bring in clubs with potential to grow like Newcastle and York as well as further French and NA clubs without throwing them in straight away at the top level, as well as not throwing away the potential to grow for those clubs in the Championship that are not all that different from some of the SL incumbents (or any of the SL clubs most likely to be jettisoned from a single licensed league).

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8 hours ago, Man of Kent said:

Interestingly Paul Kent and Ben Ikin

Roy Masters wrote an interesting article the other day about the Brisbane Broncos Boardroom. He said having spoken to insiders and ex-boardmembers that the Broncos board meetings had become a farce where for the first time in living memory the members actually just sat around talking football. Previously that was left to the football club side of things, the boardroom was for the business side of things . However the appointment of Darren Lockyer and an ex-netballer, neither who bring any business expertise to the meetings had coincided with the shambles the Broncos now find themselves in.

And now they are talking about appointing Ben Ikin to CEO. They sacked that bloke from the footy show because he was such a drip, even Andrew Johns found him a drip and that is saying something.

I wouldn`t take anything Ben Ikin says seriously, what the blazes would he know about asset stripping or private equity. He is just being lead around by the nose of whoever is in his ear. Heaven help the Broncos.

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