London Irish is facing a critical deadline of May 30, imposed by the Rugby Football Union (RFU), to finalise a takeover of the Gallagher Premiership club.
The RFU has set this deadline due to the failure of prospective buyers to provide proof of funds thus far, prompting concerns about the financial stability of the club.
Failure to meet this deadline would result in London Irish being suspended from the Premiership, exacerbating their already precarious situation.
With a staggering debt of £30 million, owner Mick Crossan had previously expressed his willingness to sell the club for a mere pound if given the opportunity.
The potential consequences of the takeover falling through are dire, casting doubt on Crossan’s future investment and jeopardizing London Irish’s continued existence as a Premiership club.
Recognising the potential risks involved, the RFU, Premiership Rugby, and the Rugby Players’ Association (RPA) are determined to avoid a repeat of last season’s mid-season collapses of Wasps and Worcester, both of which went into administration and were subsequently relegated.
In a statement issued by the union, they emphasised the need to address the prevailing uncertainty and speculation surrounding the club’s future, as it is impacting players, staff, and fans alike.
They wrote: ‘The proposed takeover of London Irish by an American consortium has led to a significant amount of uncertainty and speculation about the future of the club, which is having an impact on players, staff, and fans of the club. As a result, the RFU, Premiership Rugby and the RPA is seeking to take action to obtain greater clarity on the future of London Irish.’
The RFU, Premiership Rugby, and the RPA are taking decisive action to seek greater clarity regarding the future of London Irish and to mitigate the potential risks associated with their current situation.
“Trouble ahead” – Top five Gallagher Premiership clubs with the most debt
Debt is something that plagues every rugby club. Struggling Worcester, who went out of business this season, wouldn’t have even made the top five with their debt of £28.3m.
#5. London Irish – £37.5m
