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Beaner
03-03-2005, 11:13 AM
From, www.tsn.ca

Canadian Press

3/3/2005

TORONTO - An investment firm and a sports advisory company reportedly made a joint proposal to buy all 30 NHL teams for as much as $3.5 billion.

Bain Capital Partners LLC and Game Plan International, both based in Boston, made the offer in a 30-minute presentation to NHL owners on Tuesday in New York, sources told the Toronto Star. The companies were invited to make their pitch by NHL commissioner Gary Bettman.

Bain managing partner Steven Pagliuca, co-owner of the NBA's Boston Celtics, and Game Plan, which recently acted as an adviser on the sale of the Ottawa Senators, are betting that many NHL owners would welcome the chance to get out of the hockey business.

The NHL, which because of its ongoing player lockout recently became the first major North American pro sports league to cancel an entire season, has said its teams have lost a collective $500 million over the past two seasons.

It's unclear if team owners, especially those in large markets such as Toronto, Boston and New York, would accept the offer. Maple Leafs officials declined comment, as did a Game Plan spokesman.

NHL executive vice president Bill Daly was cautious in describing the level of interest the proposal received from the governors.

"I'm not going to characterize it," Daly told the Globe and Mail. "I would imagine different clubs had different feelings. The board listened to a presentation and that's about it."

Daly said the league was compelled to listen based on the significance of the offer.

"When someone's offering over $3 billion, we felt we had an obligation to the board to have them, at least, hear it from the proposed purchaser," Daly added.

The purchase would not be dependent on the NHL reaching agreement with the players on a collective bargaining deal, and a sale would not affect the status of the NHL Players' Association as the bargaining agent for players under U.S. and Canadian labor laws.

According to Bain and Game Plan, the sale would bolster the league's revenue because all of the teams would work together to generate more local television, sponsorship and revenue instead of competing against one another. The consortium told the NHL owners it had arranged for a large Canadian-based financier to join its efforts.

grumphy
03-03-2005, 11:55 AM
And of course-------surprize, surprize----the owners rejected unanamously, guess they sure want to get out of thier money lossing buisness in a bad way

Jovorock
03-03-2005, 12:42 PM
And of course-------surprize, surprize----the owners rejected unanamously, guess they sure want to get out of thier money lossing buisness in a bad way
They probly thought it was another offer from the players union. :laugh:

Sput
03-03-2005, 03:18 PM
I see that offer as something really bad for hockey. To much centralized power and control would mean the downfall of the game. That is of course if it ever decides to rise again. :p

grumphy
03-03-2005, 03:24 PM
I see that offer as something really bad for hockey. To much centralized power and control would mean the downfall of the game. That is of course if it ever decides to rise again. :p

I can't see anything having any more of a downside than what has happened this season

The_Vulk
03-03-2005, 06:10 PM
NHL owners listen, but show little interest in bid to buy entire league (http://sports.sympatico.msn.ca/Home/ContentPosting.aspx?feedname=CP-AllSports&newsitemid=33945023)

According to one sports business expert, the NHL should be more concerned about the fact a top U.S. investment firm sees hockey as an industry that can be bought for $3 billion - a weak figure compared to other professional sports.

"What we're seeing now is that the NHL is, in Wall Street parlance, in play," said Marc Ganis, owner of Chicago-based Sportscorp, which advises professional sports teams.

Before the work stoppage, the total value of the 30 NHL franchises was an estimated $4.9 billion, according to Forbes Magazine. The Detroit Red Wings topped the list at $266 million, with the Edmonton Oilers last at $86 million. The value of the arenas are part of the assessment.

"It's primarily a reflection of the labour problem. But it's also a reflection of the flagging interest in the sport on television" in the United States, Ganis said of the $3-billion offer.

The proposal also offers further warning to players that the old NHL and its soaring salaries are gone and that the longer they're locked out, the worse off they may be.
I definately can't see them upping their offer to almost $5 Billion.

But listening to Prime Time Sports, and the interview with man behind this offer, it does make sense.

And it is something the NHL (& its owners) might have to look more seriously in the future. Hopefully, not when/if they use replacement players and it royally bombs. Then, they might beg for the $3+ billion offer.