NZRU against private investment in core Super 14 teams

WELLINGTON (Reuters) - The New Zealand Rugby Union (NZRU) is against the private ownership of its existing Super 14 franchises but new teams could be allowed to have independent equity, the organisation said in a review document.

The paper, on the future direction of professional rugby in New Zealand, was sent out to all 26 provincial unions and the five Super 14 franchises last week and made public on Wednesday.

The evaluation is being conducted in line with an examination of the domestic provincial competition and a wider review of the Super 14 and Tri-Nations competitions run by the South African, New Zealand and Australian (SANZAR) unions.

SANZAR is considering introducing new teams, either domestically or from the Pacific Islands, Argentina, Japan or North America into an expanded Super 14 competition and international programme.

The NZRU admitted the current ownership model of their Super 14 franchises provided less scope for commercial activity and additional capital investment.

"On the other hand, there is a significant advantage to the NZRU from retaining control of the activities of the franchises," the document said.

"The potential disadvantages of majority private ownership and in particular the loss of control by rugby, and the loss of the benefits that flow from NZRU ownership, mean the NZRU does not favour private ownership, at least of the core franchises."

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Benefits include overseeing player workload and welfare, the ability to control the development of a successful All Blacks team, the ability to integrate all levels of high performance rugby and the retention of a connection between the professional and community games.