Hull FC owner Adam Pearson says IMG need financial help to revolutionise rugby league

Super League clubs rejected an offer in the region of £60million from private equity company Novalpina Capital in early 2021 over concerns about what they had to give in return.

The following year, the game's powerbrokers entered a 12-year strategic partnership with IMG, whose early work has centred around a new grading system that has replaced automatic promotion and relegation to and from Super League.

Asked whether the jury was still out on the global sports management company, Pearson replied: "Perhaps the jury is out on both sides.

"There isn't the money in the game that you need to reboot and relaunch the sport. That's the problem they're facing – they just don't have the funding to be able to dramatically change the whole concept of rugby league, unless they can find investment.

"If we'd taken the private equity on offer and spent it correctly, that would centrally fund the sport to be rebooted and re-energised with proper initiatives in place where we can spend some money to attract some new supporters and to excite the broadcaster into restoring what we desperately need to ensure the game stays full-time.

"I get that people don't like private equity and giving up 26 per cent of the game but that money was on the table three years ago and could still well be on the table.

"IMG need support. I think their intentions are good but they need some funding. If that funding could come in a significant investment of private equity with some of it spent by the clubs and some spent centrally to reignite the sport, I think that would help them enormously."

IMG were tasked with 'reimagining' rugby league following the decision of the Rugby Football League and Super League to realign the governance framework of the sport.

Super League clubs had originally opted to break away from the RFL in 2017 with the primary aim of controlling their own destiny.

After being forced to settle for a reduced broadcast deal, Pearson has called for the decision-makers to work closer with clubs.

"I'm concerned," he said on the game's direction of travel.

"We're very reliant on Sky. Sky unfortunately in the last two deals have taken our central distribution down which has meant the attraction of talent has got even harder, both from an NRL point of view and rugby union.

"We took away a lot of experience from around that table when we put this new structure in place, which always concerned me.

"I think a better balance would be a mixture of IMG and perhaps a small working party of chief executives who can streamline the ideas, look at new income streams and assist IMG."

The release of the indicative grades caused a ripple of discontent as clubs got a glimpse of what their future might hold.

Newly promoted London Broncos were ranked 24th, leaving the capital club facing an immediate return to the Championship regardless of how they perform on the field in 2024.

Pearson has reservations about the grading system, which will go live at the end of the season.

"To bring in criteria and grading is going to be very difficult because people are going to object, challenge and not understand," he said.

"It's a very difficult position London now find themselves in. Everyone had decided we wanted a London and now we're going to make it extremely difficult for them. Where do they need to finish to stay up? I don't think it will matter where they finish.

"The first time the grading criteria affects who is promoted and who is relegated, it will be a challenge to get all the stakeholders to understand. Other sports may look at it and say, 'Is that right?'

"Maybe it would have been better to run the sport without promotion and relegation for three years – similar to union – ringfence at 14 teams, build that league up, get some strength in it and then bring back criteria.

"People ask why we have loops but can you imagine trying to run this stadium or Leeds' magnificent new stadium with only 11 home games. The game would be off air for six months and while you're off air, the WSL, darts, fishing and pool are all taking your broadcast revenue and exposure to eyeballs.

"And to remove Magic would be a mistake – just improve it."

IMG appeared set to scrap Magic Weekend before giving the popular event a stay of execution.

Pearson is in favour of the decision to take the festival of rugby league to Leeds.

"I'm one who thinks Magic going to Elland Road is great," he added.

"I thought Newcastle was far too big a ground, a mega Premier League ground.

"I understand that everybody can get a beer quickly in the city centre but 30,000 people manage to get back from Elland Road into Leeds city centre for a night out so it's not beyond possibility to get back into town.

"The size of the stadium, the history of the stadium and the location of the stadium will mean there is a bigger crowd there which will lead to a better atmosphere.

"It will feel, in my opinion, more like a festival of rugby there than it did in the three-tier Newcastle stadium."