The auction of Royal AM FC, a prominent South African football team, has concluded and the club gets new owner despite efforts by businesswoman Shauwn ‘Mamkhize’ Mkhize to halt the process. The sale comes amid a R40 million debt owed to the South African Revenue Service (SARS).
“The auction is unfair to proceed without the court return day of the preservation having been anticipated or without the return day being heard, without my client having had an opportunity to explain why the preservation order should not have been made in the first place.”
Despite these objections, the auction moved forward, attracting significant interest from various parties.
Local and International Bidders Show Strong Interest
Royal AM gets new owner-Image Source@TimesliveThe auction saw several high-profile bidders vying for ownership of Royal AM FC. Among them was an unnamed member of Parliament from the MK Party, who reportedly submitted a bid. Additionally, a Russian businessman expressed interest in acquiring the team, adding an international dimension to the bidding process.
The final deadline for bid submissions was Friday, 14 March, at 13:00, with a minimum bid requirement of R1 million. Notable bids included an R21 million offer from David Skhosana and his partner and a separate bid from George Mogotsi, the General Manager of Bidvest Wits. According to Zimoja, the auction concluded on 17 March, with a new owner set to take over the club.
Financial Struggles and Liquidation Threats
Royal AM FC has faced significant financial challenges over the past year. The team was on the brink of liquidation due to an unpaid debt of R15 million, excluding interest, owed to former player Samir Nurkovic for outstanding salaries. This financial turmoil led to a FIFA transfer ban, further complicating the club’s operations.
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Shauwn Mkhize, who has been at the centre of these financial disputes, declined to comment. Her silence has left many questions unanswered about the club’s future under new ownership.