What Scarlets deal means amid WRU shake-up

Scarlets and Ospreys do not meet in the United Rugby Championship until 26 December yet the hits have already been going in.

Big changes are looming in Welsh rugby with the possibility of the four professional sides – the west Wales pair, Cardiff and Dragons – being cut to three or even two.

The Welsh Rugby Union (WRU) will present its preferred plan soon, which will be followed by a six-week consultation and then an expected final decision in October.

Uncertainty will be a theme of the first block of the URC and more bombshells are likely before the competitive action gets under way on 26 September.

Things went up a notch last week with the announcement that US-based company House of Luxury (HOL) has agreed a deal that will see it acquire a 55% stake in the Scarlets.

On the face of it, the timing of a deal is odd given that there are so many questions about the future of professional rugby in Wales.

The investment is subject to that process and HOL chief experience officer Simon Kozlowski insists the company is not put off by the uncertainty.

“We tend to go where there’s blood on the streets because we think that’s an opportunity for the most positive social change,” he told BBC Radio Wales Breakfast.

“We are a bit like Rockerfeller, not in our money, we don’t have that much money yet, but we like to get in when everyone is getting out and we like to get out when everyone is getting in.

“We think there’s massive value in Welsh rugby to be preserved, to be sustained, to be increased and shared with the surrounding communities.

“We were waiting for a long time for someone to do that. We come to the forefront here as something of a reluctant hero because we were waiting for somebody else to wear the cape and they wouldn’t. We are stepping in based on what we believe in.”

It was a tumultuous week in the west with planning permission granted by Swansea council for the Ospreys to redevelop St Helen’s despite some Carmarthenshire grumbling.

Crys 16, the Scarlets Supporters Trust, objected to the plans and a cross-party group of politicians have called on the Welsh government to intervene in the decision.

Tensions are high while waiting to see what the union’s preferred structure is, but HOL has insisted there is no appetite for a voluntary merger.

Kozlowski said: “We just really haven’t given much thought and energy to a merger situation because in terms of plan A, B, C and D it is probably at the lower end of the alphabet for us.

“There’ll be other conversations to be had here. We are the new meat on the chopping board here so we are going to have to have some conversations with the various stakeholders.

The HOL announcement featured two names that raised eyebrows beyond west Wales.

Former Ospreys, Wales and Lions fly-half Dan Biggar is part of HOL’s sports and entertainment division that is headed up by former Welsh Rugby Union chief executive David Moffett.

Moffett was famously at the helm for the launch of regional rugby and in 2014 sought election to the WRU board with a manifesto for change.

“I would be very naive to say that he wouldn’t be someone that you will hear from because David is a passionate, outspoken person,” said Kozlowski.

The chances of Biggar, who made 221 appearances for Ospreys and scored 2,203 points, rocking up to call the shots at Llanelli appear slim.

“The names like Dan Biggar, Andy Golding, David Moffett are playing at a higher level, leading a bigger narrative than just sitting on the daily management of the Scarlets,” continued Kozlowski.

“Dan won’t be sitting in a chair at Scarlets, David won’t be sitting in a chair at Scarlets. They have bigger things to lead and we have got very experienced people to come in and move the needle at a club level.”

Moffett believes that HOL will quickly make an impact in Wales under chief executive Kirsti Jane.

“The owner of HOL is a self-made successful businesswoman who hails from Pontypridd,” Moffett wrote on LinkedIn.

“Her enthusiasm for Welsh rugby is infectious and she wants to help answer the only question going forward, which is ‘what is in the best interests of Welsh rugby as a whole?’

There has been cautious optimism from Scarlets fans and intrigue from rival clubs, with the mention of Moffett’s name making ears prick up in certain areas.

“Great news! Looking forward to hearing more about your vision to take the club forward,” said Crys 16 about the HOL announcement.

The devil will be in the detail and question and answer sessions have been promised, but in the meantime the messages responding to the initial BBC story on the subject were largely optimistic.

“I’m a pretty passionate Llanelli and now Scarlets man and I’m a bit torn, but if it helps us survive and carry on a 150-year story a little longer then that would be good,” said Will Scarlet.