Loading...
Loading Live Scoring...
*All times CAT (GMT+2)

Rugby | Vodacom Super Rugby

NZ franchises attract private investment



Private investors have been granted the licences to run two of New Zealand's Super Rugby teams from 2013, the New Zealand Rugby Union said on Monday, in a move aimed at better exploiting the commercial potential of the franchises.

The Hurricanes and Crusaders will operate under the new licensing agreement from next year after a deal between commercial investors and local unions had been reached, NZRU chief executive Steve Tew said.

"These new arrangements are a step forward in terms of putting ... Super Rugby on a stronger financial footing to ensure the game at the professional level is better placed to prosper and deliver for its fans," Tew said in a statement.

Under the agreement, the licensee will manage the team and have control over marketing, while it will generate revenue from gate receipts, the sale of naming rights and from "non-rugby" activities.

The NZRU, however, will retain ownership of the teams and responsibility for centrally contracting playing and coaching staff, which allows them to continue to prioritise the production of players for the All Blacks.

The NZRU had called for expressions of interest in licences to manage four of the five franchises – the Blues, Waikato Chiefs, Hurricanes and Crusaders – earlier this year.

The Highlanders, the other New Zealand side in the southern hemisphere competition, were not included as they were already seeking other management opportunities.

The governing body said it expected a bid for the Blues franchise licence to be in place for the 2014 season, while the 2012 Super Rugby-winning Chiefs had not submitted a formal bid in time, which Tew described as "disappointing".

It is the first time that outside investment has been allowed in New Zealand's five Super Rugby franchises since the launch of the competition in 1996.

New Zealand are by far the most successful nation in the Super Rugby competition but the smaller population of the country compared to Australia and South Africa means that revenue potential is lower.



Comments

More expert analysis and opinion from Sport24
The opinions expressed by Sport24 experts and bloggers are theirs alone, and do not necessarily represent those of SuperSport

Event Streaming

Channel Streaming

Other Live Streaming

Event Streaming

Channel Streaming

Sports Talk



Kyle Brown
Go big or go home
The Hong Kong leg of the HSBC Sevens World Series delivered fanfare that engulfed the whole city.

Tony Johnson
Cricket is finally over now let's focus on rugby
Rugby is about to get everyone’s full attention, now that the cricket is finished.

Gavin Rich
Black Caps provided pointer for Boks
The Stormers might have beaten the Highlanders had Duane Vermeulen been present as a No 8 and...

Brendan Venter
Old dogs, new tricks
Some may brush it off as an anomaly but I believe the 221 points and 27 tries scored during the...

Brenden Nel
Bismarck at the crossroads
Gary Gold is right. Bismarck du Plessis is targeted by opposition teams.

Super Wrap
SuperWrap: Week 6, 2015
To the casual observer the story of last Saturday’s rugby will have had an all-too-familiar look to...