Deal to sell Perth Glory to Primeland tycoon terminated

The sale of embattled A-Leagues club Perth Glory to Melbourne property tycoon Robert Brij has been terminated days before a formal takeover.

WAtoday can reveal advisory firm KordaMentha pulled the plug on the sale agreement to the Primeland Group-led consortium after certain preconditions were not met.

Former Perth Glory owner Tony Sage.Credit: Getty Images

An A-Leagues spokesperson said KordaMentha, appointed after Perth businessman Tony Sage’s ownership ended abruptly in July, continued to work closely with the organisation and intended to re-engage with other interested parties to secure a buyer.

KordaMentha has not yet responded to multiple requests for comment, nor has Brij.

Those involved are also remaining tight-lipped about what went wrong, insisting the details were commercial in confidence.

Perth Glory chief executive Anthony Radich told Nine News Perth the development was disappointing, but he was adamant receivers would find another buyer capable of taking on the club.

“It’s quite deflating to all concerned, staff, players and fans, but unfortunately, there were factors outside our control,” he said.

“We can only hope that among the pool of applicants and bidders that were there that we unearthed someone who is more suited and capable of taking on the purchase of the club.

“I’d say not to lose hope, we’ve done a lot of hard work, and I am confident we’ll come out the other side.”

The shock news comes just four weeks after the A-League’s governing body Australian Professional Leagues confirmed Brij’s Primeland Group would take the reins alongside entrepreneur John Nekic.

The deal, which was due to be finalised in a matter of days, was the result of an 11-week search for a new owner after Sage’s company’s 17-year ownership of the club ended.

The APL slapped his company Okewood with a breach notice for failing to keep up with payments, resulting in Okewood giving up the club, amid revelations the A-League’s governing body had been bankrolling the club’s player and staff wages for months.

A receiver’s report lodged with the Australian Securities and Investments Commission shows it did so to the tune of $4.4 million, making it the entity’s second-largest creditor behind Okewood itself – which is said to have loaned the club $33 million.

Sage, a mining entrepreneur who was also part-owner of Perth Fashion Festival before its collapse, has been mulling sale options for years claiming he had spent $48 million trying to keep the organisation afloat.

He has previously pinned the club’s more recent financial woes on the impact of COVID-19 on its income streams and its forced relocation during HBF Park’s revamp for the FIFA Women’s World Cup.

On Monday, Sage told WAtoday football fans in Western Australia “deserved better”.

Premier Roger Cook said he had no details on the deal collapse, but confirmed he had informally met with the new owners he believed were “very robust” and excited about the future.

Receivers have remained coy about the details of the deal and how much Sage is likely to recoup.

The APL has previously claimed licenses issued for its expansion into Auckland and Canberra could go for up to $25 million.

But sources close to the deal have suggested the club would need a sustainable entity with deep pockets to take the helm, with an up-front payment and ongoing multimillion-dollar investment required.

Nine News Perth revealed Melbourne property developer Ross Pelligra was among the list of potential buyers, having submitted a non-binding offer in August.

Meanwhile, a bid to have liquidators appointed to Sage’s company Okewood Pty Ltd by creditor Kakka Enterprises is continuing on the basis the company is allegedly insolvent.

The entity, which lists businessman Kenneth Keogh as its director, is purported to have a small stake in the club.

Sage is also still contesting allegations of tax evasion levelled by the tax office, the Australian Criminal Intelligence Commission and the Australian Federal Police.

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