Kassam stadium could become the Shoguns home arena
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Bristol Shoguns are likely to move to Oxford next season if the proposed merger with Bath does not go through.
Oxford United chairman Firoz Kassam has announced that he agreed a deal to move the Shoguns to the Kassam Stadium several weeks ago.
"We agreed a deal in principle with the only condition that Bristol stayed in the Premiership," he told BBC Radio Bristol.
"I have got correspondance to confirm that, but since the other rumours I have not been able to speak to Malcolm to find out where I stand."
The Brisol Shoguns and Bath are the oldest clubs in the history of English rugby.
Both clubs are in danger of playing Division One rugby next term, but any merger would stave off relegation for another season.
The fate of the clubs is being discussed by their respective millionaire owners, Andrew Brownsword of Bath and Malcolm Pearce, whose decision to end his five-year backing leaves the club on the brink of bankruptcy.
Bristol coach Peter Thorburn recently announced his opposition to the proposed merger, despite a statement from his Bath counterpart, Jack Rowell that the move, "would happen".