Explained: How the sale of troubled Royal AM hit a snag after Durban businessman placed takeover bid

Royal AM owner Shaun Mkhize ran into trouble with SARS following a R40 million debt, leading to the club being placed under the curatorship of Jaco Venter.

Bidders were invited to buy the club and a Durban businessman Mageshpren Moodley, who is the son of Chockalingam Roy Moodley threw his hat into the ring.

But the deal collapsed and the curator explains what transpired.

“In terms of clause 12 of the invitation to submit offers referred to above, the Successful Offeror was required to within a period 3 (three) days (“Payment Period”) of being advised by the curator bonis in writing that he, she or it is the Successful Offeror, pay the accepted offer amount [minus the deposit amount] [“Purchase Price”] into the trust account of VZLR Inc.,” the SARS curator announced in a statement.

“Notwithstanding numerous demands to the representative(s) of Global Investments to comply with its obligations in accordance with inter alia the sale agreement, as at 10h00 today, it/they had failed to effect payment of the Purchase Price into the trust account of the curator bonis’ legal representatives.

“As a result of aforesaid failure to make payment as required, the curator bonis was left with no other option but to cancel the agreement with Global Investments, which election was communicated at approximately 10h30 today to the Offeror’s representatives.

”The curator bonis notified the members of the Executive Committee of the National Soccer League shortly thereafter, as they were scheduled to meet to deliberate the matter at 11h00 today.

Thwihli Thwahla were last involved in competitive action at the end of December 2024.

Since then, they have not played any official matches and were even kicked out of the Nedbank Cup.

It remains to be seen if they will have a successful purchaser and be able to fulfil their remaining Premier Soccer League fixtures.

The 2024/25 season is edging closer to its conclusion and time seems to be running out for Royal AM.

As things stand, the club could be relegated at the end of the term.