Leicester Tigers taken off market as hopes to sell find no suitable buyer
LEICESTER, ENGLAND - JANUARY 05: A general view of Welford Road ahead of the Gallagher Premiership Rugby match between Leicester Tigers and Gloucester Rugby at Welford Road Stadium on January 05, 2019 in Leicester, United Kingdom. (Photo by Matthew Lewis/Getty Images)
Leicester Tigers are no longer for sale, the Premiership club has announced.
The Leicester board made the decision last June to source a new primary investor, but after nine months no credible buyer has come forward.
Withdrawing their intent to sell, the club explained the impact of Brexit and coronavirus had led them to make the decision despite ‘high levels of interest'.
“None of the prospective new investors were judged to fulfil our criteria,” executive chairman Peter Tom said.
The statement added: “Despite a high level of interest from potential new investors, the board has concluded it is unlikely an offer for the company will materialise from an investor who shares the club's vision of the future and at a value attractive to shareholders.
“Taken together, the impact on an uncertain market of Brexit and now Covid-19 have created significant challenges for all clubs this season.
“It nonetheless remains the case that attractive growth opportunities are within English rugby's grasp and will benefit clubs, players and fans alike.
“Given its status as the country's premier rugby club in terms of supporter base and track record, the board is optimistic that its strategy for the club will return it to the top of the English and European game as rugby attracts new audiences and explores exciting new opportunities.”
The introduction of CVC as a private entity within northern hemisphere rugby's landscape prompted Leicester to seek new investment, after CVC acquired a 27 per cent stake in Premiership Rugby in December 2018.
Leicester were seeking £60m for a majority share, as CVC went on to claim additional shares in the PRO14 and are in advanced negotiations with the Six Nations.
Years of underachievement have soaked into the ten-time champions of England – their last title coming in 2013.
But under the current circumstances, Tom stressed the need to protect the livelihoods of Tigers staff.
He added: “Now, our immediate focus is on managing the impact of the Covid-19 pandemic and doing all we can to safeguard the well-being of Tigers staff, players and fans.
“We have devoted considerable energy to improvements on and off the field and remain confident we have the right long-term strategy for the club.”
