The 1976–77 season would be one of the most successful in the club's history as the club won its first league title for 40 years and its second ever. Manager Billy Sinclair assembled a talented squad with a mix of local and British talent that pipped Bohs to the title by a point with the title being clinched with a famous 3–1 victory over Shamrock Rovers at the Showgrounds on Easter Sunday. In the squad that year was goalkeeper Alan Paterson; defenders McManus, Sinclair, Fox(captain), Rutherford, Stenson; midfielders Fagan, Fielding, McGee, Betts, Ferry, Walker and forwards Leonard and Hulmes. The club also reached their second successive League Cup final but lost 1–0 to Shamrock Rovers. Sligo native Paul 'Ski' McGee played a big part in the title win and was transferred to English side QPR at the end of the season and would go on to have a successful time in England as well as earning 16 caps for the Ireland national side. The league win gave Rovers their first opportunity to play in Europe and they were drawn to play Red Star Belgrade of Yugoslavia in the first round of the European Cup. They would lose both legs 3–0.