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The WRU will make a decisive decision tomorrow
A make-or-break decision over Cardiff Rugby’s ownership will be taken tomorrow when the Welsh Rugby Union board meets to choose its preferred buyer.
Cardiff have been owned by the WRU since the club entered administration last April, but the governing body wants to put them back into private ownership. It is down to two bidders with the final bids having been submitted last Tuesday.
One bidder is a consortium led by former Cardiff director Martyn Ryan which includes Rhino CEO Reg Clarke along with three prominent Hollywood producers.
While it has not been confirmed by either party, Y11, the majority shareholders are the Ospreys, are understood to have been a part of the process.
The WRU board will meet tomorrow to make a decision on the best way forward for Wales’ capital city club.
WalesOnline understands the WRU board will offer the preferred bidder a period of exclusivity where it will cease negotiations with the other interested party for a defined period of time.
This will set a clear direction of travel but allow the preferred bidder some time to negotiate the final details of any new deal such as how much debt they would have to take on, among other things.
The ownership of Cardiff is also a key component in the WRU’s plans to reduce the number of professional clubs in Wales from four to three.
As of today the WRU wants to push forward with its plans which includes almost total control of all rugby operations at the three clubs who survive which has caused huge friction between the governing body and the funding directors.
But if Y11 were to buy Cardiff that would be one way the WRU could potentially get down to three teams by consensus.
However, WalesOnline understands the bid containing three Hollywood producers is extremely strong financially, while they have a compelling business plan which in the long-run could catapult Cardiff back into the elite tier of European club rugby.
A major part of their plan is to create a scripted TV series based in Cardiff while they also have the means to improve the club’s global appeal.
Over the next 24 hours, the future direction of the professional game in Wales will become a lot clearer.
