Birmingham City owners bid to take new Premiership Rugby team to Second City

Birmingham City's owners are reportedly preparing a bid to bring an exciting new Premiership Rugby side to the West Midlands.

In November 2025, US investment firm Knighthead Capital Management completed its full takeover of Birmingham City, backed by NFL legend Tom Brady.

Since then, the club has made it back to England’s second tier, where they now stand an outside chance of making it into the play-offs.

Following the purchase, Knighthead also acquired a 49 per cent stake in Birmingham Phoenix, the Hundred cricket franchise in the same city and a majority stake in Netball Super League club Birmingham Panthers.

And now, the investment firm could expand its portfolio even further as they are reportedly considering bringing a brand new Premiership Rugby team to the city.

Backed by Tom Brady, Knighthead Capital completed a full takeover of Birmingham City in November last year. (Image: Catherine Ivill - AMA/Getty Images)

On Friday, the Rugby Football Union council will hold a vote at Twickenham regarding a plan to end promotion and relegation from the Gallagher Premiership, ahead of launching an expanded 12-team league by 2030.

Former top clubs such as London Irish, Wasps and Worcester Warriors are among those expected to apply to join the new league, but it has been reported that new clubs could be welcomed.

With that in mind, several American firms have expressed interest in bringing new investment to Prem Rugby, with Knighthead Capital Management among them.

Although discussions remain at an early stage, Birmingham City's owners believe that is a clear gap for a major Rugby Union side in the West Midlands following the collapse of Coventry-based Wasps, who went into administration in 2022 and were later liquidated.

Knighthead have committed to spending £2-3billion on an exciting new “Sports Quarter” in Birmingham that would include a 10,000-seat stadium for Birmingham City’s women team, that could also be used for a new rugby side.

Premiership Rugby could expand to have 12 teams by 2030. (Image: David Rogers/Getty Images)

However, as reported by The Times, it has been suggested that a rule may be introduced that would need any club looking to join the Premiership play for at least a season in the second tier.

Therefore, Knighthead could instead acquire Birmingham Moseley, a major player in the 1970s and 1980s who now play in National One, the third tier of the pyramid.

The vote on adopting a franchise model is expected to be passed, giving Knighthead two years to decide whether it wishes to join the tender process, as clubs will be invited to issue an expression of interest to join the Premiership two years before the 2030 start.