Wealthy Wasps vow to respect club salary cap

Wasps “are not the kind of club” to challenge the Aviva Premiership salary cap or “spend huge money” on new recruits despite joining Europe’s money elite, according to their chief executive.

David Armstrong has vowed Wasps will hold firm to long-standing principles even after securing one of the highest turnovers in European rugby.

The Premiership club launched a retail bond listed on the London Stock Exchange on Monday, cementing their new status as one of the world’s richest rugby clubs.

Wasps expect to raise £35m (€49m) from the 6.5% bonds, secured against their Ricoh Arena ground in Coventry which the club purchased in October.

“The salary cap is very important, both for us and for Premiership Rugby,” Armstrong said last night

“It’s been a critical factor in creating such a competitive Premiership, and it’s very important for bringing through the strong crop of young English players. We believe it’s very important long-term for the stability of rugby.

“So we don’t believe there’s the opportunity or even a need to go out and spend money on players. We are not the kind of club that will go out and spend huge money on a player or a marquee signing. We’ve got such a great young squad it’s about bringing players through and developing the very exciting players we’ve got. The primary reason behind this bond has nothing to do with investing in players: it’s about investing in the business as a whole.”

Wasps’ newfound wealth contrasts starkly with the club lurching to within minutes of administration in 2012, and rugby director Dai Young dipping into his own pockets for medical supplies little more than a year ago.

The club’s move from renting Adams Park in Wycombe to the £40m (€56m) Ricoh Arena purchase has proved the catalyst for this week’s retail bond launch.

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