Rebels-administrator-urges-private-consortium-be-allowed-to-save-club

[shasta]

Looks like we will have the answers by lunch time tomorrow.

I wouldn't bank on that. It'll probably take until Sunday. 48 - 72 hours.

[The InnFORCEr]

[jargan83]

Sing it with me.

Pull the plug, pull the plug...

[Burgs]

I wouldn't bank on that. It'll probably take until Sunday. 48 - 72 hours.

Haha, I was going to reply to TIFs something along the lines of "Real Estate Agents tend to be optimists..."

[SNOB]

And all those Vics forgetting how they screamed for our demise!
Now I feel as though I want front seat in front of the guillotine. If it had been legal and aboveboard maybe I would have an inckling of pity for them but obviously they have been operating an underfunded and insolvent company for years and have got away with it by hiding accounts. Was ARU aware we will probably never know but apart from the players I have little sympathy for the club or their 500 supporters..

[The InnFORCEr]

Rebels' Super future hanging on creditors' vote
Melissa Woods
AAP
May 3, 2024 1:38AM


Melbourne's Super Rugby Pacific future could be decided on Friday with creditors voting on whether to liquidate the debt-ridden club.

A creditors meeting has been called for 2pm to vote on whether to back a rescue deal to save the Rebels or allow the club to enter liquidation, meaning this season would be the last.

In his report last week, PwC voluntary administrator Stephen Longley recommended that creditors, including the Australian Tax Office, who are owed a total of $23.1 million, accept a proposal by a private investor group that includes current directors.

Rebels directors have proposed a Deed Of Company Arrangement (DOCA), which would guarantee employees 100 per cent of their entitlements, but leave unsecured creditors with as little as 15 cents to the dollar.

The DOCA is also dependent upon Rugby Australia handing the Super Rugby participation licence to the new consortium, who are planning to invest more than $25 million into the club over the next five years.

RA, who have propped up the club this season, taking over the wages bill for players and staff, have given no indication of their plans for the club, who joined the competition in 2011.

It's understood that the Victorian government has advised RA that, in the absence professional rugby presence in the state, it could withdraw from bidding for future Wallabies Test matches and hosting the Rugby World Cup final.

Meanwhile the Rebels will host the Blues at AAMI Park in round 11 of the competition later on Friday.

Currently sitting fifth, Melbourne are on target to make the finals for the first time in their history but after a heavy loss last round are looking to make a statement against the second-placed Blues.

Coach Kevin Foote said he wasn't sure if the vote would be addressed within the playing ranks before the kick-off.

"It all depends, what happens if it's a really bad message," Foote told AAP.

"There's still so much uncertainty because even if it goes to DOCA and it's positive for the club, we don't know where Rugby Australia stands on this.

"It's the heaviness of the situation which is frustrating and that's for everyone.

"The guys are doing such an amazing job."

[jargan83]

[SNOB]

It's understood that the Victorian government has advised RA that, in the absence professional rugby presence in the state, it could withdraw from bidding for future Wallabies Test matches and hosting the Rugby World Cup final.

Thanks I needed a laugh this morning. They real do think they are so freaking special!

[GIGS20]

It's understood that the Victorian government has advised RA that, in the absence professional rugby presence in the state, it could withdraw from bidding for future Wallabies Test matches and hosting the Rugby World Cup final.

Thanks I needed a laugh this morning. They real do think they are so freaking special!

I was about to repost the same line and comment "we're all OK with this right?"

Thanks for saving me the edit

[AndyS]

Would last about as long as it took the NSW Premier to sympathise about relinquishing the self-bestowed title of the sporting state to NSW, given that Vic would be missing one from that point on...

[Burgs]

could

Zero balls to not say would

[Kernow]

Would last about as long as it took the NSW Premier to sympathise about relinquishing the self-bestowed title of the sporting state to NSW, given that Vic would be missing one from that point on...

Does anyone know where WA sits on bidding for the RWC Final? I am sure I read somewhere that WA had already bowed out of that race.

[The InnFORCEr]

Melbourne Rebels to continue fight for survival after winning rescue-bid vote
ByCarla Jaeger and Sarah Danckert
May 3, 2024 — 1.12pm


The directors for the Melbourne Rebels have secured a major victory against Rugby Australia after creditors voted to support a rescue deal to save the debt-laden Super Rugby club.

The proposal was put forward by a private equity-backed consortium led by business heavyweight Leigh Clifford and the Melbourne Rebels’ directors.

Two sources who attended the meeting, who declined to be named for professional reasons, said the administrator had the deciding vote after the creditor vote was tied on the consortium deal.

The source added that the Australian Taxation Office voted against the proposal.

Insolvent since 2018: Melbourne Rebels’ rescue plan hinges on legal fight
Under the deal, employees will receive a return of 100 cents in the dollar, and unsecured creditors will receive between 15¢ and 30¢ in the dollar. The range of the payout will depend on if the directors are successful in their planned legal claim against Rugby Australia over alleged underfunding of the club.

The Rebels consortium must jump two hurdles before it can retain control of the company: Rugby Australia handing back the licence for the Super Rugby competition, and the Australian Taxation Office releasing the directors from their personal liability over the club’s $11.5 million in tax debts.

The group will now have 30 days to negotiate with the peak body for the sport and the tax office. If unsuccessful, the consortium will then have 60 days – or a date approved by the administrators – to commence legal proceedings to wrangle back the licence.

If they’re still unable to claim back the licence, or be released from their director penalty notice, the deal will collapse, and the consortium will no longer have any claim to the company.

https://www.watoday.com.au/sport/rug...ource=rss_feed

[Tazzmania]

What a mess.

The problem with one vote for every creditor (at least that is my undestanding)

I think the administrator had 762,000 reasons to make sure he voted yes ( His requested renumeration)

Doubt the ATO is going to be swayed, so another ninety days of limbo......then court cases.....

[AndyS]

The way that reads, the subsequent 60 days is just about the license. If the man from the ATO say 'No', sounds like it may be over in 30 days...?

Certainly sounds like RA could just say, "Get the ATO on board, then we've plenty of time to talk. Otherwise there's no point".