Western Province Rugby Union are tight-lipped over the reported lawsuit against them by Aerios — a company who sells sponsorship rights in sport.
According to Sports24, the company is claiming a whopping R72m from the union.
It is believed that Aerios is claiming the money after “a sponsorship contract entered into between WP Rugby and DHL without the consent of Aerios — holders of the commercial rights of the union”.
According to the report, WP Rugby “are also to involve Aerios in ‘all communications, discussions and negotiations with potential sponsors insofar as they pertain to the Advertising Rights’ and will not enter agreements with a third party without Aerios’ prior written consent”.
If Aerios wins the claim, it could have dire consequences for the union and a move to Cape Town Stadium might even be considered following this potential loss.
Meanwhile, WP President Thelo Wakefield has lost out to Francois Davids as the new Deputy President of Saru.
Mark Alexander was officially appointed as Oregan Hoskins’ replacement as President of Saru yesterday.
And after being appointed, Alexander said: “Financial sustainability is a major focus for our membership and SA Rugby right now.”
He adds: “Rugby has its challenges but there are great opportunities for the sport and for what it can do for South Africa.”
However, Western Province CEO Paul Zacks claims report had “inaccuracies”.
“There were a number of material inaccuracies in the report published by Sports24 and we will deal with this in due course.”