Moana Pasifika licence decision

New Zealand Rugby (NZR) has today confirmed that it will not be approving the transfer of Moana Pasifika’s licence to participate in Super Rugby Pacific to any new party.

NZR explored every possibility for a long-term solution with several interested parties, including allowing multiple extensions to the 15 May deadline. None of the parties were able to satisfy both the capital and business plan requirements necessary to secure the licence.

This means that the competition will move to a 10-team format in 2027.

NZR Chief Financial Officer Chris Kinraid said the decision has been made in the best interests of the competition, and to provide certainty and stability to sponsors, suppliers, other teams, broadcasters and fans.

“We want to be clear, the door remains open beyond 2027. We firmly believe a team can be based in the Pacific Islands and that a sustainable long-term solution can be found in the future. We remain open and willing to engage with anyone who can meet the financial and commercial requirements. 

“We also acknowledge the engagement of Minister Winston Peters and the New Zealand Ministry of Foreign Affairs and Trade for the recognition of the role rugby can play in the Pacific region.

“This has been a difficult time for the Moana Pasifika players, management and fans, and the communities that supported them. A lot of hard work has gone into looking at all possibilities for next season. Unfortunately, the long-term financial requirements to participate in the competition could not be met.”

Any party seeking to acquire the licence for Moana Pasifika to participate from 2027 was required to meet two minimum financial requirements:

1) Long-term business plan: A credible business plan demonstrating the capacity to generate commercial revenue to operate on a sustainable basis over the long term.

2) Committed and viable capital: Evidence of sufficient committed capital to meet establishment costs, support operations in the short-term, and provide resilience against financial risks.

Kinraid said NZR's assessment was that, for a party to run a competitive team under the Moana Pasifika licence, minimum levels of commercial revenue, expenditure and capital were required.

“A competitive and sustainable team needs commercial revenue of more than NZ$10 million, in addition to broadcast revenue; and at least NZ$15 million in committed capital to support its business plan and maintain appropriate cash reserves.”

Kinraid added that NZR also received interest in potential future expansion opportunities beyond 2027, which was an encouraging sign for the future of the competition.

“The licence available through this process was specifically for a team representing Moana Pasifika as a pathway for Tonga and Samoa from 2027. This was not a process to establish a new team or enter a new market.

“We are aware of credible interest in future participation and expansion in Super Rugby Pacific, including opportunities in new markets and the Pacific. We see that as a positive sign for current outlook and the long-term strength and attractiveness of the competition.

“Any future expansion of Super Rugby Pacific would need to be considered in partnership with Rugby Australia, Super Rugby Pacific and as part of a broader competition strategy.”

Super Rugby Pacific is set to confirm the 2027 competition format in the coming weeks.