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The NRL has put the Titans up for sale with two consortia formally expressing interest
Peter Badel, The Courier-Mail
February 24, 2017 8:00pm
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THE NRL is putting the Titans up for sale with at least two consortia formally expressing interest in hauling the Gold Coast out of a $2.5 million sinkhole.
NRL chief executive Todd Greenberg revealed the governing body will begin sell-off talks as the Titans prepare for their season-opener against the Roosters next Saturday night.
The code was rocked by revelations NRL clubs lost a collective $53.4 million last season.
The Titans are among the 14 clubs haemorrhaging money, recording a $2.5m deficit as the club slowly recovers from having their licence taken over by the NRL two years ago.
The NRL, reluctant to bankroll clubs for the long haul, has hinted at a Titans sale for the past 12 months, although there has been extreme caution over the right time to sever ties.
Now the NRL is ready to relinquish control of the Titans. Greenberg confirmed talks will begin to transfer the Titans’ licence as a posse of Gold Coast-based investors flagged interest in due diligence with board member Darryl Kelly.
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NRL CEO Todd Greenberg talks during the 2017 NRL Season Launch.
“We’re about to kick-off that process (selling the Titans) now,” Greenberg told The Courier-Mail.
“We’re hoping that the Titans will be sold sometime this year — I would anticipate that by the end of the season we will be in pretty good shape.
“If it takes us longer we will do it, as long as we get the right result.
“(But) the plan is to have some strong discussions about how we take the Titans off our books this year.”
The Titans were on death’s door when the NRL intervened in 2015, but the club has taken major strides forward under the direction of CEO Graham Annesley.
The once strife-torn club moved into a new $12 million home at Parkwood over summer, giving the Titans the state-of-the-art facilities to be an NRL force.
Kelly lost an estimated $5 million during his initial investment in the Titans five years ago. The 66-year-old is prepared to invest again but will not be seeking a majority stake.
“The NRL will sell the club this year for sure — they will want to get rid of it sooner rather than later,” he said.
“I am interested in buying another stake in the Titans, but at this stage I don’t know what we’re buying.
The NRL will put the Titans up for sale.
“It’s hard to put a figure on a club that has been losing money. It depends what someone is prepared to pay for a non-profitable business.
“I’ve been working with a group to express interest but we don’t have the exact information on the club just yet.
“I am looking to put together a local group of investors to ensure the Titans survive. You have to have some passion to keep the club here and I’m certainly passionate about it.”
Outspoken billionaire Marwan Koukash, who owns British club Salford, has expressed interest in buying the Titans, but Greenberg ruled out that prospect.
“That’s not the ideal model for us, no,” he said.
“We want to make sure we don’t repeat the mistakes of the past and when we do get to an ownership model, the local community must have a heavy stake in the ownership of the Titans.”
Titans chairwoman Rebecca Frizelle, who was touted as a potential buyer, will not join Kelly as an equal stakeholder.
“We will always support the club as a sponsor, but purchasing a stake in the club is not on my radar at the moment,” Frizelle said
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