Exeter Chiefs say they will ask the club’s members for approval to sell one of its “non-rugby assets” to help repay government loans the club took out during the Covid-19 pandemic.
The club have admitted that they are currently unable to repay those loans comes as a number of Premiership clubs struggle with the financial aftermath of the Covid-19 pandemic, which has already seen Wasps and Worcester suspended and relegated.
In a statement, the club said: “As a result of the Rugby Football Union and Premiership Rugby Limited’s decision to continue playing behind closed doors during the Covid-19 pandemic, Exeter Rugby Club were forced to borrow substantial government backed loans to pay our players and staff.
“The funding from government was not in the form of grants, but loans which carry interest. These are due to be repaid and the income from our normal trading is not sufficient to pay them and all other expenses.
“Accordingly, the Rugby Club Board decided to sell one of our non-rugby assets for which members approval is needed and which is being sought at an Extraordinary General Meeting at Sandy Park on Wednesday, November 30.
“This should be more than sufficient to see the club pay the loans and be financially secure for the future.
“No further comment will be made by the Rugby Club.”
PREMIERSHIP CLUBS RANKED BY TOTAL DEBT:
#13. Exeter Chiefs – £13m
#12. Gloucester – £27m
#11. Northampton Saints £26.5m
#10. Worcester Warriors – £26.5m
