RA signs threeyear deal with Nine for $A100m
SYDNEY: Rugby Australia ended months of financial uncertainty with an announcement yesterday it had reached an inprinciple threeyear broadcast agreement with the Nine Network starting next year with an option to extend the contract for two years.
The agreement, which needs signoff from Sanzaar, is worth $A100 million ($NZ107 million) for the first three years, Rugby Australia said.
It also ended a twodecadelong relationship with pay television provider Foxtel, which had seemed likely to be the only bidder after
RA’s initial plans to test the market earlier this year fell through.
The previous agreement with Foxtel was worth a reported $A35 million to $A40 million a year.
The Sydney Morning Herald reported last month Foxtel had offered less for any new agreement.
‘‘This is a landmark broadcast arrangement for Rugby Australia that will usher in a new era for our game,’’ RA interim chief executive Rob Clarke said.
‘‘It’s a superior deal in cash and contra to our current domestic deal and for the first time in Super Rugby history, freetoair television exposure.
‘‘This, for our commercial partners and for our Super Rugby clubs, will be very significant and will help to underpin the economics of the game.’’
The agreement will provide freetoair coverage of one Super Rugby AU match a week on television, with the other matches and games from New Zealand’s Super Rugby Aotearoa on the company’s streaming platform, Stan, behind a paywall.
The platform will also stream international matches featuring the Wallabies and Wallaroos with selected games made available on freetoair.
RA was facing financial turmoil with the effects of the Covid pandemic exacerbating an already precarious situation, in which its auditors delayed signing off their 2019 accounts.
It was forced to secure $A14.2 million in funding from the game’s global governing body
World Rugby to get through this year.
It also slashed more than onethird of its staff, while players took voluntary pay cuts.
Longterm sponsor Qantas ended its 30year partnership, reported to be worth about as much as $A5 million a year.
Rugby faces a crowded sports market, battling with rugby league, football and Australian football for media exposure and commercial agreements. — Reuters