London Welsh set to be sold after avoiding winding-up order
Last Updated: 05/09/16 4:46pm
London Welsh are set to be sold to an American investment group after avoiding a High Court winding-up order from Her Majesty's Revenue and Customs.
The Championship club, who were relegated from the Premiership in 2015 after losing all 22 of their games, have faced money troubles over several years.
However, Mr Registrar Briggs, sitting in the bankruptcy and companies division of the High Court in London, took just moments to dismiss the winding-up petition after hearing that the debt owed to HMRC - for an undisclosed amount - had been paid.
And, after avoiding liquidation, the club were quick to make an official announcement that they had recently signed a sale and purchase agreement for the acquisition of the club by a major California-based investment group, which is only subject to formal approval by the RFU.
"The financial security which will be afforded the club as a result of this new investment will now enable it to plan for the future with confidence and renewed enthusiasm," read a club statement.
London Welsh chairman Bleddyn Phillips added: "We are thrilled and very excited to be able to announce the arrival of a new owner which will provide the club with the financial strength to sustain its ambition to be not only a competitive rugby team playing in the top tiers of the game in the United Kingdom, but, equally importantly, to consolidate and enhance its social, community and amateur-based activities at its spiritual home at Old Deer Park".