'Bankrupt' WPRU lose another benefactor

Sat, 05 Aug 2017 07:29
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NEWS: The cash-strapped Western Province Rugby Union has lost another benefactor, which will have far-reaching financial implications.

After being placed into liquidation by the Western Cape High Court in December last year, WPRU received a 'bridging loan' (reported to have been ZAR40-million) from investment company Remgro.

WPRU wanted this 'loan' to be converted into a shareholding.

However, according to a report by the Afrikaans media group Media24, Remgro has declined this offer and the loan must now be paid back.

It also means Remgro has 'turned off the tap' that saved WPRU when the cash crises first made headlines late last year.

WPRU President Thelo Wakefield offered a terse "no comment" through his media department, when contacted by rugby365.

Remgro CEO Jannie Durand was not immediately available for comment.

It has been rumoured that there have been numerous boardroom spats between Remgro officials and Wakefield.

However, it is not clear if this has been the only reason for the decision by Remgro to turn off the tap and walk away.

Reports of financial malady in the Province paradise have been rife, despite the Remgro bailout last year.

How deep into the impecunious mire WPRU have dropped is uncertain at this stage, but it is obvious the Cape Town outfit will have to tighten their belts.