Glasgow Warriors and Edinburgh Rugby may be sold by rugby’s governing body in Scotland to raise money for the grassroots game.
Scottish Rugby will ask member clubs across the country whether they approve of a move to sell off the nation’s two professional clubs as the body attempts to “insulate core domestic rugby and national team activities from the rising costs of the professional game”.
“It has been well documented that we face an increasing challenge to compete in this rising market,” said Scottish Rugby chief executive Mark Dodson. “At this year’s AGM I outlined that change would be necessary and I want us to be proactive and early to market in order to attract potential investors.
“We have developed two strong clubs in Glasgow and Edinburgh that still have plenty of scope to grow and be more successful, which can only be attractive to outside investment.”
Members will be asked to give Scottish Rugby a mandate for the sales during a special general meeting on 28 October. Any proposed investment would need approval from the Scottish Rugby Board.
Rob Flockhart, Scottish Rugby Union president, added: “It is increasingly clear that we must look at all options in order to attract more external funding. The Board, Council and I now all seek the support of our members to proceed to help us look to secure further investment in our great sport.”
First published on www.sportsmangement.co.uk 29 September, written by Matthew Campelli