Spectre of administration hangs over RL club after takeover collapses

Rugby League club Widnes Vikings will be unable to pay staff tomorrow (Wednesday, February 20) after hopes of a takeover deal were dashed at the last minute.

The side, which was relegated from Super League last year, has been seeking financial support to plug “a significant cash-flow gap, which must be resolved in the coming days”, the club confirmed on its website tonight.

It explained: “Throughout the past three months, Widnes Vikings’ board of directors and senior staff members have made extensive efforts to engage business leaders and individuals to secure investment to stabilise the club and overcome the potential threat of administration.

“This has included the board writing off more than £370,000 worth of loans that they had provided to the club throughout their tenure.”

The club said it had appeared that a consortium of investors would take ownership of the Vikings today, Tuesday, February 19, and provide the investment needed to secure stability.

However, the club statement revealed: “At a late stage, a key member of this consortium have (sic) withdrawn from this process.

“As a result, the club has, as yet, failed to secure the necessary investment and is unable to make its payroll commitments for all employees tomorrow.”

The club assured fans that efforts to secure investment remain ongoing, adding: “We will continue to pursue all available avenues.

“The club continues to invite other expressions of interest from individuals or groups that may wish to support Widnes Vikings at this time.”

And it said: “The club is taking advice in response to this matter.

“Widnes Vikings continue to trade and, at this stage, our scheduled fixture against Sheffield Eagles will be unaffected by these challenges.”

Widnes host Sheffield Eagles this coming Sunday, February 24, at the Halton Stadium, which stands on the site of the old Widnes ground, Naughton Park.

The club said: “It goes without saying that everyone associated with Widnes Vikings are incredibly grateful for the ongoing backing of our supporters and partners at this difficult time.”

Relegation last year ended the Vikings’ seven-year tenure in the lucrative Super League set-up.

It is understood that players were told of the situation earlier today, and a meeting will be held with the playing staff in the coming days.