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A dramatic and significant 24 hours unfolded on Monday as the WRU chose Ospreys owners Y11 as their preferred bidder for Cardiff. It could change the shape of professional rugby in Wales
The Parkgate hotel was the venue for the WRU board meeting(Image: Rob Browne)
It was late on Monday morning when guests at the Parkgate Hotel, just a stone’s throw away from the Principality Stadium, noticed a sign outside one of the function rooms that pointed to something hugely significant happening that could shape the course of Welsh rugby’s future.
Three simple words adorned the signage. “WRU Board Meeting.” Something big was in the offing.
The previous day this writer had reported that a key Welsh Rugby Union board meeting was imminent, one that would play a decisive role in determining the future ownership of Cardiff Rugby. For months now it has felt increasingly apparent that finding a new owner for Cardiff was the final, missing piece of the jigsaw in the WRU’s plans to reduce the number of professional regions from four to three.
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Whispers had been circulating for some time among the upper echelons of Welsh rugby that WRU chair Richard Collier-Keywood was determined to strike a deal with Ospreys owners Y11 Sports & Media. It was widely viewed as the cleanest route to achieving a three-team model by consensus.
Despite outward bullishness from the Ospreys’ hierarchy over the past six weeks, an effort to steady nerves and maintain morale, Y11’s interest in Cardiff was the worst-kept secret in Welsh rugby.
That was not to say there was no alternative. A rival consortium led by former Cardiff director Martyn Ryan, which includes Rhino CEO Reg Clarke and three prominent Hollywood directors, was arguably the more compelling option purely from Cardiff’s perspective.
CF10, the official Cardiff supporters’ trust, publicly backed Ryan’s group and its ambitious plans, including the prospect of a scripted television series set in the capital. Ryan is widely regarded as someone who cares deeply about Cardiff rugby and has clear intentions to rebuild the club into a European force once again.
But from the WRU’s standpoint, Y11 was always the easier deal to do.
As the process dragged on, staff at both Cardiff and the Ospreys were left feeling increasingly uneasy by the uncertainty. With little direct communication forthcoming, WalesOnline and the BBC became the primary sources of information for many employees. While discretion was clearly required, the lack of transparency left staff in the dark, with some suffering genuine anxiety about their futures.
At 3pm, proceedings at the Parkgate got under way. Four-and-a-half hours later, white smoke of sorts emerged. A statement from the WRU confirmed it had chosen a preferred bidder and declared its desire to have a deal completed by next week. Less than an hour later, Welsh rugby sources confirmed to WalesOnline Y11 was the bidder chosen.
It is important to stress that nothing is yet set in stone.
This is a period of exclusivity, during which the WRU will halt talks with the other consortium and negotiate solely with Y11. There is a clear desire on both sides to get a deal over the line, but Welsh rugby has been here before.
Three years ago Y11 were locked in negotiations with Cardiff before talks collapsed. In 2019, the Ospreys signed heads of terms to merge with the Scarlets, only for that agreement to fall apart at the eleventh hour. It would be unwise to rule out history repeating itself, and should it do so, Ryan’s consortium remains ready to step in.
There has been vitriolic criticism on social media toward the union, Y11 and the media, but the role of a journalist is to inform. After a series of phone calls, it was confirmed that Y11 is indeed the preferred party. What comes next, however, is best described as the end of the beginning.
The coming months threaten to be toxic, with Welsh rugby enduring yet more turmoil before any hope of healing and progress can take hold. The backlash, particularly from Ospreys supporters, is likely to be fierce. CF10 has already gone on record to say it will not support a takeover of Cardiff by Y11.
Yet Welsh rugby is on its knees, and radical change is unavoidable. Maintaining the status quo is not an option, even for those who fundamentally disagree with the WRU’s solution or the way it has gone about pursuing it.
Behind the scenes, there is growing talk of a so-called “super region”, formed by merging Cardiff and the Ospreys. There is logic to the idea. Welsh rugby desperately needs a side capable of consistently competing in the latter stages of both the United Rugby Championship and the Champions Cup. Combining the Cardiff and Ospreys pathways could, in time, produce a formidable team, provided it is funded to the required levels.
This could happen in the form of an ownership swap with Y11 buying Cardiff and the WRU taking ownership of the Ospreys before going down to three teams once the URC has found a replacement for the axed Welsh club.
But the pushback will be enormous. The Dragons and Scarlets will not welcome a super region on their doorstep and will inevitably fight for a redrawing of boundary maps to allow them to expand their territories. The potential for this to become messy is significant, with lawyers likely to be involved in the months ahead.
On n Wednesday, Collier-Keywood and WRU chief executive Abi Tierney will appear before the Welsh Affairs Select Committee in Westminster. It promises to be an uncomfortable session, with both figures facing intense scrutiny.
Removing professional rugby from Wales’ second city would also provoke a fierce response from local politicians, while plans to redevelop St Helen’s must surely now be in doubt, given they were always dependent on the Ospreys’ survival.
There are further complications. Any new side would require permission from Cardiff Athletic Club to play at the Arms Park. It is difficult to imagine the CAC agreeing to host a team that does not include Cardiff in its name and retain the historic branding associated with the ground.
Finally, the WRU may yet face resistance from the Dragons and Scarlets owners when it comes to signing new licences, unless it softens its demand for complete control over the rugby side of their businesses.
Welsh rugby stands on the edge of another defining moment. What happens next will shape the game in this country for a generation.
