Discussions ongoing for Rebels future and World Cup final placement

Rugby Australia in Talks with State Government on Rebels Future and World Cup Final

Discussions are ongoing between Rugby Australia and the state government regarding the future of the Melbourne Rebels and the hosting of the World Cup final. A spokesperson for Rugby Australia clarified that these are two separate matters, with the Rebels situation focusing on the financial sustainability of professional rugby in Australia, while the World Cup final placement concerns major global sporting events in Melbourne.

World Rugby, the majority partner in a joint venture with host Rugby Australia, is responsible for selecting the finals host and is currently handling negotiations. The Rugby World Cup is a significant revenue generator for World Rugby, with the men’s World Cup being the third-biggest sporting event in the world. It is forecasted to have a $2.2 billion impact on the Australian economy and attract 200,000 international visitors.

Rebels director Georgia Widdup expressed gratitude to the Victorian government for their support and emphasized the importance of establishing sustainable financial models for the club’s future. The consortium plan, which includes injecting $30 million into the club and sharing facilities with the Western United A-League Teams, is seen as a credible and common-sense solution.

However, the rescue deal is contingent on creditor approval, as the club currently owes a total of $23 million. If creditors vote against the deal on Friday, Rebels directors, including Widdup, could face personal liability of $16.8 million for the club’s losses. An administrator’s report found that the team had been trading while insolvent since at least 2018.

Rugby Australia has not publicly stated its support for the deal but had previously indicated its support for the club to enter liquidation. The outcome of the creditor vote will determine the future of the Melbourne Rebels and the potential impact on its directors.