Cardiff Rugby make major announcement as significant investment on its way
Cardiff Rugby are close to securing its long-term future
Cardiff Rugby are close to unlocking significant new investment for the club which would secure their long-term future after months of uncertainty.
The Welsh capital city club have signed heads of terms to change the major shareholding of the club and in turn unlock significant investment. Cardiff have had their struggles of late, with former chairman and benefactor Peter Thomas sadly passing away in March, while Welsh rugby is going through a period of severe austerity which could see playing budgets dropping to as low as £4.5million.
It is no secret Cardiff had been in discussions with global investment group Y11 Sport and Media, who are the majority shareholder of the Ospreys, about a potential merger with their Welsh rivals but the Arms Park outfit have accepted a different offer.
While Cardiff have not named who they have signed the heads of terms with, WalesOnline understands the potential new investors are located overseas and have significant wealth behind them.
It means Peter Thomas’ family are relinquishing their family shareholding in Cardiff Rugby.
A Cardiff Rugby statement read: “Cardiff Rugby are delighted to announce heads of terms have been signed to change the major shareholding of the club and unlock significant investment.
“In recent months there have been a number of approaches and discussions with various parties interested in the club. An agreement has now been reached with one of these groups, who have a long personal association with Cardiff Rugby but no existing investments in professional rugby.
“The company will continue to work through the administrative process and will update all stakeholders on the exciting vision for the future of the club and its associated teams in due course.”
A statement released on behalf of Peter Thomas’ family said: “We are pleased to have signed heads of terms with a new group of investors to acquire the family shareholding in Cardiff Rugby. The club has been an enormous part of our lives and was a lifelong passion of our beloved husband and father.
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