ZIMBABWEAN-BORN businessman Tendani Sebata is set to terminate his multi-million-dollar sponsorship deal with Botswana Football League side Township Rollers FC, a year into what was supposed to be a five-year marriage, it has emerged.
Sebata, Township Rollers' main sponsor, has been left with no option but to pull the plug due to the club's regulatory non-compliance and alleged misrepresentation of its ownership structure, according to information obtained by NewsDay Sport.
The club has also been flagged for poor corporate governance practices, which has triggered misappropriation of funds.
A year into what was supposed to be a five-year marriage, the businessman and his company, Sebata Consolidated Holdings (PTY) LTD, want out of the deal over an explosive ownership wrangle.
Sebata has been bankrolling Township Rollers' daily operations and salaries. He purchased luxury coaches for the women's team, providing a complex for the team. The businessman's involvement brought sanity to the club, which had faced serious financial challenges in recent years.
The company now wants to terminate the deal after unearthing a series of issues where the club's leadership failed to disclose correct details about the ownership structure.
It has also emerged that the club did not follow the correct path to getting approvals from the Botswana Football Association, as required by league regulations.
In a letter gleaned by NewsDay Sport, Sebata Consolidated Holdings (PTY) LTD's lawyers, Sefume Attorneys, revealed that the company has poured over US$1 million (BWP15 000 000) since March 2024.
“We confirm that our client has duly complied with all its obligations in terms of the agreement in that it has to date provided you with funding and other financial support of over BWP15 000 000.00 from March 18, 2024,” the lawyers
said.
In addition, the lawyers said regulatory complications and the absence of appropriate approvals as required by the league’s constitution have rendered Sebata’s continued involvement impossible.
“In addition, notwithstanding our client having raised serious concerns regarding the material misrepresentation made by you in respect of the ownership of the Township Rollers FC, which misrepresentation our client relied upon when concluding the agreement, you have to date not adhered to our client’s demand in respect thereof. A copy of our client’s letter of demand was dispatched to you on October 28, 2024,” the lawyers wrote.
“Notably, our client has also since discovered that you have at no stage engaged the Botswana Football League, either seeking its endorsement of the agreement or informing them of the contents thereof. This alone constitutes a material misrepresentation on its own, as any agreement which purports to transfer shares to and/or an interest in a club to a foreign owner ought to be approved by the league.”
Meanwhile, the investor reportedly inherited signing-on fees of R1 million from the previous owners. Additionally, he was compelled to pay the outstanding salaries of former coach Thabo Motang under threat, as Rollers would not have participated in the 2024/25 season if the arrears had not been settled.
