Chemical producer INEOS has said it is in discussions with New Zealand Rugby (NZR) following the sport federation's decision to pursue legal action over a sponsorship dispute. NZR said on Tuesday that INEOS had breached their contract and failed to pay a sponsorship fee,

New Zealand Rugby has launched legal action against the Ineos corporation of British billionaire Jim Ratcliffe after the global chemical giant dropped a sponsorship agreement with three years remaining.

Ineos Group dropped its sponsorship of New Zealand’s All Blacks rugby team as part of cost-savings measures in face of difficult trading conditions in Europe’s chemicals industry, the company said.