London Welsh avoid liquidation, announce takeover
London Welsh are set to be bought by an American investment group after avoiding a High Court winding-up order on Monday.
The Championship club, who were relegated from the Premiership in 2015, have been plagued by financial troubles in recent years, casting doubt over their long-term future.
However, a winding-up petition was quickly dismissed after it emerged debts owed to Her Majesty's Revenue and Customs had been paid.
"London Welsh RFC is pleased to confirm reports that the petition presented to the High Court this morning to wind up the club and place it into liquidation was dismissed," read a statement.
"Coupled with this, the club is also delighted to announce the recent signing of a Sale and Purchase Agreement for the acquisition of the club by a major Californian 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."
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."