The South African Rugby Union (SARU) has voted against a proposed $75m private equity investment from US-based Ackerley Sports Group (ASG), potentially opening the door for alternative offers in 2025, according to a report by Reuters.
Seven of SARU’s 13 voting unions opposed the deal, which meant the proposal, which would have seen ASG acquire a 20% stake in SARU’s commercial rights entity — a move President Mark Alexander described as essential for the organisation’s financial stability – fell short of the required 75% approval threshold.
ASG retains an exclusivity agreement until the end of 2024 though, allowing the firm the opportunity to revise its offer.
“Our priority is to secure a sustainable and prosperous future for South African Rugby,” Alexander said in a statement. “We will continue to engage transparently and work toward revised proposals that align with our collective vision.”
Despite ASG’s exclusive position, interest from other parties is growing. According to Business Day, a consortium of local companies — AltVest Capital, EasyEquities, 27four Investment Managers, and RainFin — has expressed willingness to invest $372m for a stake of up to 40% in SARU’s commercial rights.
The potential sale of these rights has sparked controversy in South Africa, with concerns about safeguarding the autonomy of the Springbok brand. SARU has assured stakeholders that all decisions regarding the team would remain under its control.
