Royal AM Auction: Skosana’s R15 Million Bid Falls Short
A consortium led by Member of Parliament and former football administrator David “Mazolman” Skosana has failed in its attempt to acquire Royal AM Football Club.
The club, previously owned by businesswoman and socialite Shauwn “MaMkhize” Mkhize, was put up for auction by the South African Revenue Service (SARS) to recover outstanding tax debts totaling approximately R40 million.
Unsuccessful Bid and Plans to Relocate the Club
Skosana, along with entrepreneur Joe “Ferrari” Sibanyoni, submitted a R15 million bid to purchase the club. Their vision included:
- Relocating Royal AM to KwaNdebele in Mpumalanga for the 2025/26 Premier Soccer League (PSL) season.
- Retaining the club’s current players and staff.
- Implementing stronger corporate governance and financial management.
However, their bid was ultimately unsuccessful, as the winning offer reportedly exceeded R25 million.
Auction Details and Financial Hurdles
The auction took place on March 14, 2025, with bidders required to submit offers between 8:00 AM and 1:00 PM, along with a refundable deposit of R1 million.
The sale was structured as a “going concern,” meaning the new owner would inherit all existing financial obligations, including:
- A R15 million debt to former player Samir Nurković, resulting in a FIFA-imposed transfer ban.
- Unpaid wages of R600,000 owed to defender Ricardo Nascimento.
Who Won the Auction?
Despite Skosana’s efforts, his bid fell short. While the identity of the winning bidder has not yet been revealed, reports suggest that the final purchase price was around R25 million.
As SA football fans wait to hear who won the auction to buy Royal AM, football administrator turned politician David "Mazolman" Skosana has confirmed a consortium he represented has failed to secure the club. @Nkareng https://t.co/pfs0nLIiPT
— Sowetan LIVE (@SowetanLIVE) March 17, 2025
What’s Next for Skosana?
Following the failed acquisition, Skosana remains optimistic about future opportunities in South African football. He has expressed his commitment to exploring other investment opportunities within the sport.
Royal AM’s Uncertain Future
With the club now under new ownership, attention shifts to how the new leadership will address Royal AM’s financial challenges.
Royal AM’s Financial Woes
As previously reported by Briefly News, Royal AM has been facing significant financial difficulties, including:
- Tax debts totaling R40 million.
- Unpaid player salaries.
- Asset seizures due to financial mismanagement.
The new ownership will play a crucial role in determining the club’s future, particularly regarding financial stability and performance in the PSL.
Source: Briefly News