NHL BOG Approves Sale Of Oilers, Lightning At Annual Meetings
 |
NHL BOG Approves Sale
Of Oilers To Daryl Katz |
The NHL BOG yesterday at their annual meetings in N.Y. unanimously approved the sale of the Oilers to Katz Group Chair Daryl Katz, and the purchase of the Lightning by a group of investors led by Hollywood producer Oren Koules and former NHLer Len Barrie, according to Ira Podell of the AP. Katz in February agreed to buy 100% of shares owned by the 34-member Edmonton Investors Group (EIG) for nearly $200M. He also "offered to pay about $22,000 for each of the 7,492 shares -- a deal that represented twice the original purchase price." Katz made "five offers to buy the Oilers during a 10-month period, starting with a bid of $145[M]." Katz "intends to keep the Oilers in Edmonton and has had discussions with the city of Edmonton for a deal that would keep the team there long term." He has also "promised to pay up to $100[M] for a new arena, build a practice facility for the team, and raise the payroll to the limit of the salary cap which is expected to be about $56[M] next season." Oilers President & CEO Patrick LaForge: "Daryl Katz is and Edmonton guy. He grew up there and he's been a fan since the club was put together. He's Edmonton Oilers through and through. He bought them for a reason." Meanwhile, Koules' OK Hockey group "reached a deal in February to buy the Lightning for $206[M] and existing debt from" Palace Sports & Entertainment (PSE) (AP, 6/18).
OILERS: In Edmonton, Robert Tychkowski writes Katz will "officially take possession of the hockey club on June 30." The franchise has "come a long way since the mid '90s, when it was a money loser, playing to half empty buildings and hanging by a thread." LaForge: "I wouldn't have believed it would have survived at such a high level, 120 straight sellouts, a value of $200[M]. When they (EIG) bought it, it was pretty much a gift for the city of Edmonton. I'm sure none of them thought they'd ever see that money again." Katz has been "tight-lipped about his plans for the club," but he said that it will "benefit from more aggressive, hands-on management and fewer committee meetings" (EDMONTON SUN, 6/19). Also in Edmonton, Dan Barnes writes approval "was in fact a foregone conclusion, but it took 134 days to reach fruition and produced some unfounded nervousness" in Edmonton. But Katz "could not receive formal NHL approval" until yesterday's BOG meeting. LaForge noted, "They still have to close the deal. It's the largest and most important step, getting 34 investors to close the deal. There's a lot of work left, but there is no hiccup there. There is just more labour associated with 34 separate deals" (EDMONTON JOURNAL, 6/19).
 |
| Lightning Sale To Koules' Group Gets Approval |
LIGHTNING: In St. Petersburg, Damian Cristodero writes of the Lightning sale, "It's not quite a done deal." The group, which includes Koules' business partner Mark Burg, California banker Russell Belinsky, Kane's Furniture CEO Irwin Novak and three unnamed investors, "still must close the $200[M] purchase from [PSE] for the team, the St. Pete Times Forum lease and 5 1/2 nearby acres in Tampa." Those events are "expected to happen by the end of the month" with PSE and Galatioto Sports Partners "splitting about $100[M] in financing" (ST. PETERSBURG TIMES, 6/19). Also in St. Petersburg, Tom Zucco notes Barrie has investments in real estate, but he has "another love: hockey. And perhaps a small debt to repay the sport." It is not yet known how much Barrie will "put up to secure the purchase of the Lightning." Some reports have his investment "close to $50[M], a quarter of the team's price tag -- but it's likely substantial compared with other individual investors." Barrie "reportedly will become Lightning president and Koules will become governor" (ST. PETERSBURG TIMES, 6/19). In St. Petersburg, Gary Shelton writes of Koules, "For now, he is Oren Koules, Hollywood Guy. ... Eventually, he will be judged as Oren Koules, Hockey Guy." Koules has to "restore a team's direction." He has to "rebuild a minor-league system." He also has to "put a shattered Stanley Cup team back together" (ST. PETERSBURG TIMES, 6/19).
|
Related Stories By Company
|
Related Stories By Sport
|
Detroit Teams Seek To Lure Fans
November 3, 2009 :
SportsBusiness Daily
Barrie Unable To Buy Out Koules
September 22, 2009 :
SportsBusiness Daily
Proposed Sale Of NHL Panthers Derailed
September 10, 2009 :
SportsBusiness Daily
Funding At Heart Of Oilers Arena Debate
September 9, 2009 :
SportsBusiness Daily
Barrie Trying To Buy Out Resort Investors
September 4, 2009 :
SportsBusiness Daily
|
Filings Show Coyotes Lost $5M In Oct.
November 20, 2009 :
SportsBusiness Daily
Canucks Criticized For Getting H1N1 Vaccine
November 20, 2009 :
SportsBusiness Daily
Panthers Hold Promo For Rink Naming Rights
November 20, 2009 :
SportsBusiness Daily
Ticket Package Offered For Flyers, 76ers
November 20, 2009 :
SportsBusiness Daily
Blackhawks' John McDonough Profiled
November 19, 2009 :
SportsBusiness Daily
|
|
