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BILLIONAIRE businessman James Packer is on the verge of finalising negotiations to buy Peter Holmes a Court’s stake in the premiership-winning South Sydney *Rabbitohs.
The bombshell move means the Crown Resorts chairman and Souths’ current major sponsor would become partners with Russell Crowe and help bring long-term financial strength to the NRL’s most popular club.
Souths boast the biggest membership in the NRL and one of the strongest revenue bases. It has more than 30,000 members and will pull in more than $25 million this year, including about $6 million in corporate support.
Souths chief financial officer Joe Kelly said he expected the club to make a net profit of well over $1 million this year.
Mr Holmes a Court and Mr Crowe purchased a 75 per cent stake in Souths in 2006 for $3 million.
Some sports analysts believe the Rabbitohs are worth at least $20 million, meaning Mr Holmes a Court’s stake could be worth about $7.5m.
Mr Holmes a Court is also owed $4.5 million, which he stumped up after the club lost $6.9 million during the first two seasons of his ownership. Mr Crowe lent $1.65 million.
Mr Holmes a Court resigned as a director in March 2010 but has returned to Australia periodically to watch big games. He was seated near Mr Crowe during the grand final.
Mr Packer — Australia’s second-richest man with an estimated wealth of more than $7.1 billion — has described the Rabbitohs as one of the greatest sports brands in the world.
A friend of Mr Packer said: “James believes Souths can become the biggest and most successful football club in the country. He *understands the tradition and history and the loyalty of the fans through thick and thin.
“He would love to play a part in making the club become the NRL powerhouse.”
The bombshell move means the Crown Resorts chairman and Souths’ current major sponsor would become partners with Russell Crowe and help bring long-term financial strength to the NRL’s most popular club.
Souths boast the biggest membership in the NRL and one of the strongest revenue bases. It has more than 30,000 members and will pull in more than $25 million this year, including about $6 million in corporate support.
Souths chief financial officer Joe Kelly said he expected the club to make a net profit of well over $1 million this year.
Mr Holmes a Court and Mr Crowe purchased a 75 per cent stake in Souths in 2006 for $3 million.
Some sports analysts believe the Rabbitohs are worth at least $20 million, meaning Mr Holmes a Court’s stake could be worth about $7.5m.
Mr Holmes a Court is also owed $4.5 million, which he stumped up after the club lost $6.9 million during the first two seasons of his ownership. Mr Crowe lent $1.65 million.
Mr Holmes a Court resigned as a director in March 2010 but has returned to Australia periodically to watch big games. He was seated near Mr Crowe during the grand final.
Mr Packer — Australia’s second-richest man with an estimated wealth of more than $7.1 billion — has described the Rabbitohs as one of the greatest sports brands in the world.
A friend of Mr Packer said: “James believes Souths can become the biggest and most successful football club in the country. He *understands the tradition and history and the loyalty of the fans through thick and thin.
“He would love to play a part in making the club become the NRL powerhouse.”
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