Cronulla are set to announce a deal that will see tens of millions of dollars at the club’s disposal, immediately transforming the Sharks into the financial juggernaut of the NRL.
The financial injection comes as the Sharks have agreed terms with developers Capital Bluestone to sell their remaining interest in the Woolooware Bay Town Centre staged development.
The Daily Telegraph reports that under the agreement the Sharks will receive an immediate $9 million payment, to be used to clear all debt, while covering their recent salary cap fine and a projected $3 million football club loss in 2019.
$18 million will go into a future investments fund, with $1.5 million estimated annually to support the club outside of sponsorship, membership and ticketing, courtesy of Capital Bluestone.
Meanwhile, another $12 million will be diverted to an escrow fund, to be held by a third party and made available to the Sharks once building works begin on the Woolooware Bay site.
Cronulla has long been under threat of relocation or merger, as the NRL looks towards expansion ahead of a new TV broadcast deal for 2022 being finalised.
The mega-deal will put to bed much speculation.
Sharks chairman Dino Mezzatesta told The Daily Telegraph he was proud of the club for securing its long-term future in Cronulla.
“We’re not going anywhere,” Mezzatesta declared.
“This club will carefully invest the money to ensure we have long term income outside of football and poker machines.
“The board has put in place an investment committee to ensure the funds would be carefully invested.
“It places us in an absolute position of strength for the future and guarantees the Sharks’ future will always be in the Shire.
“We’ve been around for more than 50 years and will be around for another 50.”
In addition to the $40 million, the club is poised to receive a further $16 million from the State and Federal governments for ground improvements and a high performance facility at their current venue.
“We will be as strong and secure as any of our rivals in Sydney,” Mezzatesta said.
“We have undergone the most searching compliance overhaul and can now move forward with a new coach and a great roster capable of playing finals football.”
Cronulla begin their 2019 season at 6pm tonight with an away matchup with Newcastle.
All makes sense now. This is why they weren’t stripped of their title.
It could have jeopardized the deal and the NRL didn’t want to bail out the stinking sinking ship that is the Cronulla Sharks.
Nonsense. No way the capitalists are going to stand propping up a loss-making RL club for an indefinite period.
Yeeew, up up Cronulla. Can’t keep good side down! The haters won’t like this. Hahahaha
Another Phil Rothfield boring Sharks Puff Piece.
Didn’t we hear this trash when they got $13M for aligning with Super League??
JUGGERNAUT….. What a great word. But id add onfield, as well as off field. All i can say is, get that up yas all you doomsaying relocation spewing jealous haters. You should be more worried about your own clubs. LOL!
Well to all the Shark haters and grubs on this site get that up you from the 2016 premiers the rich and mighty Cronulla Sharks!
Up Up Cronulla for another 50 years!
Great news for the Sharks.
Problem is, how long will it last ?
$3m loss last year, $3m projected loss this year. Skinniest of support staff and facilities that all need upgrading. Total of $56 million including grants ……. Then you have to ask yourself, what bright spark who has just been given $40 million to invest wastes it on a consistent loss maker with limited future upside ?
How much money have they received to date from this project – in the tens of millions and yet they still have significant debts. The $56m is a saviour that is no doubt but only if you significantly change the business model. In the Shire, I am not convinced that the sharks can achieve that.
Great stuff Cronulla, Most of the clowns attacking Cronulla are the same clowns attacking other successful clubs like the Roosters. It comes with being a “Super Power”. Others call it the tall poppy syndrome💪🐔👍
I was looking to borrow some of your emojis in my above comment WoodChook. Only difference is replacing that chook emoji with a sneering Great White Shark emoji! 🙂
Good for the Sharkies – but they have to learn how to be profitable otherwise, they will just be in the same position they were in last week.
🦈
+1000
1 premiership in over 50 years, I wouldnt call that a “super power”
People only trash talk your club, as you trash talk all other clubs . Including the players they buy!
Plus , you talk up your own club at every possible opportunity. Even though for the most part they buy premierships by buying the best players.
By the way Moss is in your squad wood chips . Thought you said there were no Panthers there?
I’m not talking about Cronulla here.
Cronulla had been working hard on its juniors set up over the last few years. To be admired! Right now they are producing the best juniors , especially backs. Well done with that too,