The World 12s competition, backed by the likes of Sir Steve Hansen and former All Blacks captain Kieran Read, has been dealt a major blow by World Rugby.
Former All Blacks coach Hansen has been one of the biggest backers of the World 12s concept, along with former New Zealand Rugby boss Steve Tew, Read and former South African rugby boss Jake White, which has been dubbed as rugby's equivalent of cricket's Indian Premier League.
Like the IPL, rosters for the proposed World 12s would be determined by auction, with the hopes of enticing new fans to rugby, especially in North America and Asia, in a potential broadcast and sponsorship package reportedly worth up to US$500 million.
However, the 12-a-side franchise competition which was set for a launch in August next year has been dealt a potentially terminal blow by World Rugby with the global governing body saying its stakeholders have rejected the proposal.
"The game's major stakeholders welcome innovative thinking that has the potential to enhance the sport and new concepts are always given full consideration," said a World Rugby spokesperson.