Bloemfontein Celtic has been sold to lower National First Division club Royal AM.
The Premier Soccer League confirmed on Tuesday that Celtic, who had been struggling with debt for over five years, has been sold to Shawn Mkhize for R50 million.
The new owner, Mkhize, is the owner of the lower division's last season runners' up, Royal AM, who will now play in the Premier Soccer League after buying Celtic.
The PSL confirmed that Celtic will be moved to Pietermaritzburg and will be known as Royal AM, while the Celtic players will be considered by the new buyer.
Meanwhile, Royal AM's NFD status has been sold to Tshakhuma Tsha Madzivhandila.
PSL confirmation letter read as follows:
"The Executive Committee has approved the transfer of the business of two Member Clubs of the League.
"The result, for the coming season, is that:
"a). The club previously known as Bloemfontein Celtic will participate in the DStv Premiership as Royal AM this season, with its home venue at Chatsworth Stadium.
"b). The club previously known as Royal AM will participate in the GladAfrica Championship as is Tshakhuma Tsha Madzivhandila, with its home venue at Thohoyandou Stadium.
"The League is urgently attending to the administrative matters arising from these changes," the brief concluded.
AM's new life in the elite division will begin with a trip to Soweto to battle Swallows FC on Sunday.