London Irish’s administrators have reached an agreement in principle to sell the club to German businessman Daniel Loitz in a £2.5 million deal that could pave the way for the Exiles’ return to the Championship next season.
Telegraph Sport has learnt that Loitz has provided proof of funds to the administrators, ReSolve, who have accepted the offer verbally and are preparing to exchange contracts.
Loitz is understood to have emerged as the preferred bidder for Irish following a lengthy process since the club entered administration almost 18 months ago, which also saw a bid involving ex-Formula One team owner Eddie Jordan.
As part of his bid, Loitz has submitted an application to the Rugby Football Union for Irish to join an expanded 14-team Championship next year, and has also held talks with Brentford Football Club about the club returning to play at the Gtech Community Stadium, although this has yet to be formally agreed. Loitz and ReSolve declined to comment.
Search for a home
Irish went into administration after being suspended from the Premiership because of unpaid bills in June 2023 with debts of more than £30 million, including Covid loans from the Government and missed payments to HMRC. A proposed sale to an American consortium collapsed that summer and the club have been dormant ever since, with three potential bidders currently in contact with the administrators.
Loitz has offered around £2.5 million to buy the Irish brand and intellectual property, as well as committing to pay off £2.7 million in debts to rugby creditors, which is an RFU stipulation for returning to the Championship. The proposed deal also gives Irish a three-year lease at their former training ground in Sunbury, a state-of-the-art facility that has been used as a base by NFL franchises playing in London, as well as an option to purchase the 64-acre site.
An agreement with Brentford would have to be negotiated separately and, while negotiations have begun, reaching a deal is not guaranteed. Irish’s previous five-year lease at Brentford was negotiated when the football club were in the Championship in 2018, but as an established Premier League club they may no longer need the money, while head coach Thomas Frank has also expressed concerns about the effect ground-sharing with a rugby team would have on the pitch.
Another potential option for Irish would be moving into AFC Wimbledon’s new ground at Plough Lane in south-west London. Rugby league club London Broncos have been tenants at the Cherry Red Records Stadium for the last three years, but their future is uncertain following relegation from the Super League and subsequent exodus of players.
Loitz is a director of investment company Hokulani Limited, who have a diverse portfolio of interests across the world including media companies, a music production house and sports teams. The 31-year-old failed in a bid to buy Reading last year, but has stakes in women’s football clubs in Germany, Ukraine, Finland and Romania, as well as Halifax FC Women, who play in the third tier of English football.
Championship expansion
Irish were one of three Premiership clubs who went into administration during the 2022-23 season, along with Wasps and Worcester Warriors. All three clubs have applied for a place in next season’s Championship, which is due to expand from 12 to 14 teams.
The RFU asked all clubs wishing to be considered for a place in the 2025-26 Championship to submit expressions of interest last month, with a deadline for supplying additional information expiring on Tuesday. The main criteria for inclusion are thought to be financial sustainability and geographic location. Further details on the process will be provided at an RFU council meeting at the end of the month.
The RFU and Premiership Rugby are supportive of all three clubs returning to the professional game, with the proviso that their owners demonstrate proof of funds, pay off all rugby creditors and meet minimum operating standards. Loitz has already satisfied the administrators of the financial viability of his plans for Irish, with securing a ground and settling rugby debts the remaining steps required to obtaining a Championship place after contracts have been exchanged.
Wasps and Worcester were both bought by businessman Chris Holland in 2023, but Irish have remained in limbo since entering administration.
In addition to Loitz’s bid, the club have attracted offers from Strangford Capital, a private equity firm based in Northern Ireland for whom former F1 owner Jordan acts as an adviser, and True Equity, an American-based private equity firm founded by Californian lawyer Alfred “Chip” Sloan.
Wasps’s prospects of returning to professional rugby received a boost on Wednesday with the club securing a 10-year option on land to build a new stadium in Swanley, Kent. The nomadic club were based at Coventry Building Society Arena for six years before entering administration, but Holland has plans to relocate to Kent, where there is a huge interest in rugby union but no professional team.
“It is rewarding that we have managed to achieve this milestone with the support of key stakeholders,” Holland said. “It brings our aspiration of a new home in the region closer and hopefully demonstrates our determination to recover Wasps sustainably.”
