Stellenbosch-based investment holding company Remgro wants a majority stake in Western Province Rugby, which went into liquidation last year, says Remgro CEO Jannie Durand. Notwithstanding the fact that Remgro's chairman is sports-mad multibillionaire Johann Rupert, it seems an odd move for a company with massive investments in companies such as Mediclinic and FirstRand, and a bizarre departure from its oft-stated investment philosophy, which is to invest only in strongly cash-generative businesses. WP Rugby was not even in a position to pay its players and staff last year. Remgro paid them. The commercial arm of the Western Province Rugby Union is lots of things, but cash generative is not one of them. Durand, 50, whose conservative investment instincts are well known, says this is not about emotion or charity. There is a sound business case for Remgro's investment. "WP Rugby made some good money in the past so there's no reason it can't happen again. "They need to change a few thi...
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