EXCLUSIVE | Eastern Province Rugby In Talks With Potential Equity Partners

Francois de Wet
01 Jul 2025
12:14

In a perfect world Eastern Province Rugby Union President, George Malgas, would love to see all South Africa’s unions contest the Currie Cup Premier Division. But Malgas knows, the SA rugby landscape is far from perfect, as recent changes to the sports landscape since the 2020 Covid-19 pandemic has forced a massive rethink as to how unions, outside the Big Four (Bulls, Lions, Sharks and Stormers), survive.

Eastern Province Rugby President Geroge Malgas during a press conference
Eastern Province Rugby President Geroge Malgas during a press conference

And after seeing other unions outside of the Big Four take the equity partner route – selling a majority stake in the union’s business arm – Malgas and EP Rugby have decided to follow suit.

Malgas confirmed in an exclusive interview with Telecom Asia Sport that two potential equity partners have been in talks with the union to try and level the playing field and not trail behind teams like the Sanlam Boland Cavaliers, who have experienced massive success since selling 74% of the Western Cape based union’s business arm to businessman Patrice Motsepe’s Motsepe Consortium.

Becoming the fifth union, behind the Big Four, to bring on board a majority shareholder, with the Motsepe Consortium also owning a 74% stake in the Bulls. But Malgas knows bringing on board an equity partner alone will not be the saving grace of a union that has produced a plethora of Springboks like back-to-back World Cup-winning captain Siya Kolisi.

The EP Rugby boss knows equity alone does not guarantee you game time against the big boys and exclusively tells Telecom Asia of what he would like to see happen in a perfect SA rugby landscape:

Geroge Malgas
A couple of years ago we told SA Rugby the playing field on a provincial level is not equal. Where are [currently] playing (Currie Cup First Division) we are only able to contract players for eight months. After eight months that player becomes jobless. He must now start over and what happens is that the teams that play in the Currie Cup Premier Division, they have the ability to contract players for up to 12 and even 36 months.
Geroge Malgas
Now, after eight months, all the players that we’ve signed are without a contract. The reality of the situation is that after this year’s SA Cup competition there are five guys that have been approached by the Pumas, Boland and Free State (Cheetahs) respectively.
Geroge Malgas
And you can’t stand in a player’s way if he wants to make the move. Because, after the 26th of July this year, we are done playing because that is when the First Division campaign comes to an end and then only the Currie Cup Premier Division starts.
Geroge Malgas
Then that player comes to us and says, but sir, I must work because I have a offer from Boland, Griquas and other unions. He might not even be in the starting line-up when he gets there but he has a job. He has an opportunity when someone gets injured or he is brought on as a sub where he can go out and play – even if it is just for 10-20 minutes. Giving him the opportunity to try and get to the next level.
Geroge Malgas
So, the playing field is not equal…

According to Malgas the Currie Cup Premier Division concept of the late 1990s and early 2000’s would work to even out the playing field a bit, where all 14 unions play each other once – home or away.

And after the round one where everyone had the chance to face-off against each other, the competition can then split into a Bottom (Currie Cup First Division) and Top (Premier Division) half. With the best four teams after another round of round robin fixtures – home or away – facing off in semi-finals and finals.

It is a proposal that has been put forward before but Malgas says of how SA Rugby are not buying into it:

Geroge Malgas
The money men says there is no funds to sustain a competition like that. I have a different view around that but maybe it is something that should be revisited and something that needs to be put back on the agenda in the future.

Meanwhile, Malgas reckons if EP Rugby can find the correct equity partner before the start of next season, the Elephants can put up a more competitive fight in next year’s SA Cup and even start challenging the likes of the Boland, Cheetahs, Griquas and Pumas, for a Currie Cup Premier Division place, after these four teams qualified for this year’s edition that kicks of at the end of July.

Geroge Malgas
We are talking to one [interested] group at the moment. They engaged us on coming on board as an equity partner and morally and ethically I feel it is the right thing to first talk to them before engaging with other interested parties.
Geroge Malgas
But we have linked a timeline to the negotiations and if we can’t see eye to eye at that stage then we will have to throw it open to other prospective equity partners.
Geroge Malgas
There is however a second group that has also contacted us but I told them that in principle we have to give our initial prospective partners a fair chance to stake their case. We don’t want to create a situation like with the SA Rugby deal where information is dished out to other parties about the negotiations.
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