Wasps' 358-word statement: Administration, called-off Exeter match

Wasps have issued a 358-word statement explaining why they will fall into administration in the coming day and won’t play their scheduled Gallagher Premiership match this Saturday at Exeter. The Coventry-based business has been grappling with massive financial problems in the face of a winding up order from HM Revenue and Customs for £2million in unpaid tax.

They are also struggling to repay the £35m bond that was raised to help finance their relocation from High Wycombe to Coventry in 2014 which was due in May 2022. Despite these major concerns, Wasps managed to stage last Sunday’s home match versus Northampton but they have now confirmed they won’t be travelling to Sandy Park to face Exeter this weekend.

A statement read: “Since filing a notice of intention to appoint administrators on September 21, we have been working tirelessly to secure the long-term future for Wasps Holdings Limited and all of the organisations and clubs that sit within the group.

“Negotiations to secure deals that will allow the men’s and women’s rugby teams, netball team and the arena and associated business to move forward are ongoing. However, it has become clear that there is likely to be insufficient time to find a solvent solution for the companies within the group, and it is therefore likely that they will enter into administration in the coming days with a view to concluding deals shortly thereafter.

“While the companies within the group all represent strong and viable businesses, the reality is that they have insufficient cash at this time to continue to fund operations until these complex negotiations have concluded.

“We have therefore been asking potential funders and investors to provide bridging finance to provide enough time for a solvent solution to be found. Regrettably, this has not been possible to date, although we will continue to pursue this until the very last opportunity. In light of the current situation, we have therefore taken the decision to withdraw the Wasps men’s team from this Saturday’s league fixture against Exeter Chiefs.

“This was an extremely difficult decision to make and we recognise that this will not only impact on our players, staff and supporters but also Exeter Chiefs and the wider rugby community. However, we strongly believe it is the right course of action when, at this time, we are unable to meet our regulatory requirements in the absence of fully concluded deal negotiations.

“We understand that this news will be disappointing and concerning for everyone involved. Our immediate focus will be on ensuring that all of our players and the staff of Wasps and the arena are fully updated and given the support they need.

“While these are challenging times, we remain confident that new owners will be found that will allow the clubs and businesses within the group to move forward. We will not be making any further statement at this time.”

Wasps players and staff were informed of the club’s decision at a lunchtime training ground meeting and the media briefing that was scheduled with head coach Lee Blackett for Wednesday afternoon was quickly cancelled.

The fear now is that the club will be automatically relegated to the Championship for next season, the same administration penalty handed down to Worcester last week. The Warriors were also suspended from the remainder of the 2022/23 Premiership season, but the situation regarding whether Wasps will eventually resume their current campaign remains to be determined.