Super Rugby sponsor calls it quits to leave ARU under pressure
Super Rugby naming rights sponsor Asteron Life has elected to end its support for the competition, dealing Australian rugby a severe financial setback.
Asteron Life’s decision not to renew its sponsorship is expected to result in a $300,000 reduction in funding for the five Super Rugby teams.
The ARU have assured the Super Rugby franchises they are doing everything they can to find a replacement sponsor.
“Asteron Life’s decision not to extend its partnership comes as a result of a shift in business strategy after a successful three-year partnership with rugby,” an ARU spokesman said.
“ARU is in positive discussions with existing and potential ARU partners about the Australian Super Rugby naming rights for the 2017 season.”
The insurance company’s impending departure follows on from a lack of naming rights sponsors for the recent Test series against England and the upcoming Rugby Championship, which is expected to cost the Super Rugby franchises another $200,000 in reduced funding.
The financial sustainability of Super Rugby is one of the greatest challenges facing the game in Australia.
The 2011 expansion franchise, the Melbourne Rebels, are now privately owned after being propped up by the ARU for several years and the ARU has taken over the Western Force.
Even the established franchises, NSW Waratahs, Queensland Reds and the Brumbies are experiencing financial stress.