The suggested multi-million dollar expansion bid between a merged Firehawks and Jets entity has reportedly stalled.
In an exclusive Tuesday morning report, Peter Badel ofย The Courier Mailย stated that the combined bid between the previously opposed parties was "on the brink of collapse".
The joint effort to obtain the NRL's 17th license was reported to be worth in the vicinity of $35 million, however, the disintegration of any deal now sees a bid by the Dolphins as the clear clubhouse leader, according to Badel.
The noted journalist claimed that talks reached an impasse when the Jets reportedly refused to agree to a merger with the Firehawks so as the pair could enter the competition as one in 2024.
Although the agreement that was struck last week is not entirely dead, Badel did claim that it appeared unlikely to be repaired.
Former Rabbitohs CEO and current chief of the Firehawks' bid Shane Richardson confirmed the impasse to Badel.
โTalks have stalled,โ he said.
โThe bottom line at this stage is we have stalled, we havenโt been able to go forward.
โThe Jets will say itโs all over red rover โ but negotiations are never over.โ
With the Firehawks reported to be unwilling to cede their nickname should any merged entity prove successful, tempers were said to have flared.
These flames were then stoked when it was also announced that the East Tigers backed Firehawks would seek to hold a 100 per-cent ownership status over the shared bid's license.
Although Badel suggested the Jets were said to be favouring a "50-50 investment arrangement", Richardson explained that this would never prove to be an option, as his team held the whip hand in financial negotiations.
โThe reality is we wonโt be doing a 50-50 split because we have the money,โ he said.
โAt the end of the day, we are putting all the money is.
โThis is for the betterment of rugby league. We are the ones who will put the money into academies in the Ipswich region, we have tried to offer the Jets some genuine opportunities as part of a merged bid.
โWe would be putting money into the Ipswich region to promote the game in the region and we will offer Ipswich one seat on our board.
โIt would be a stronger bid if we came together, but there has to be a balance and that balance isnโt there at this stage.โ
Richardson's counterpart - the Ipswich backed, Nick Livermore - stated that a takeover of this sort would never receive his approval.
โThe Jets received a call from the Firehawks last Wednesday surrounding a potential partnership,โ Livermore told Badel.
โWeโve explored that and proposed a 50-50 investment and ownership model to ensure the growth and financial sustainability of a new team focusing on the western corridor.
โWeโve left that with the Firehawks and are open to discussions, but at this stage, the response has not been for what we see as the strategic direction of the best interests of the game.โ
Badel also revealed that the NRL and ARLC are set to make a decision on which of the three-bids will be granted the coveted license to enter the competition within the next fortnight.
