Penguins Sale: Lemieux and Burkle asking for $750 million

[frankgrimes 1,836]

http://www.tsn.ca/talent/sources-penguins-owners-looking-for-record-750m-for-team-1.354678

The owners of the Pittsburgh Penguins are asking $750 million (U.S.) for the team, but face long odds of finding a buyer who’s willing to pay that much because of the flagging North American economy and uncertainty over the future of the Canadian dollar, sports investment bankers say.

"We conduct periodic reviews of our business and, because we have received several inquiries about the franchise in recent years, we decided to engage Morgan Stanley for their insight and counsel," Lemieux and Burkle said in a joint statement at the time. "After buying the team out of bankruptcy, ensuring its long-term future in Pittsburgh and creating a strong foundation for continued success, we believe it is time to explore our options."

Further prove that Super Mario is a really smart guy, the Pens value is at an all-time high and their cup window is 2 years maybe 3 at best. Unless the Pens are getting another Superstar I don't see them being worth the same amount of money again.

Although I doubt someone will pay that much for a non original six franchise which has a fragile fan support. I am sure the new arena is worth a lot but even then the asking price is too high..If the Penguins are worth so much the Wings should be worth at least a 1 billion.

None the less an interesting story but man thinking about the Pens without Super Mario is strange this guy basically is their franchise. And since it all starts at the top I can't believe some Penguins fans would welcome such a change

Edited September 3, 2015 by frankgrimes

[vladdy16 2,154]

I was thinking they'd have to pay me that much to take the team off their hands, but then I realized I could mess with Crosby, so I need to figure out how much that's worth to me.

[marcaractac 3,963]

They are definitely aiming wayy too high. The only teams that could find a buyer for anything in that price range are the Leafs and Habs, as they will make piles of cash no matter what. It's basically a sure thing of an investment. The Pens? Not so much.

[Rivalred 630]

We should start potting our money together

I have $5

[wings87 1,290]

2 snickers and a kit kat bar that's my final offer. Err make that 1 1/2 snickers... I got hungry while writing this.

[toby91_ca 620]

Leafs already sold for way more than that, but no US team has ever sold for that much and unlikely Pittsburgh would, the market just isn't big enough. The most recent Forbes valuations I saw had the Wings and Pens valued at close to the same amount ($570M and $565M respectively). The more valuable US teams were the Rangers (obviously), Chicago, LA, Boston and Philadelphia (this one surprised me)

[amato 3,210]

wait, they're not just giving it to crosby?

[Smite 399]

Somewhere Jim Balsillie is lurking...

http://www.cbc.ca/sports/hockey/rim-exec-withdraws-penguins-offer-1.630232

I had to look up the bid... 190 mil To 750 mil in 9 years ... They say there is no value in owning a Sports franchise.

Balsillie, co-chief executive officer of Canada's Research in Motion Ltd. — the maker of the BlackBerry — agreed to buy the Penguins for $175 million US in October, pending approval by the league.

[frankgrimes 1,836]

Leafs already sold for way more than that, but no US team has ever sold for that much and unlikely Pittsburgh would, the market just isn't big enough. The most recent Forbes valuations I saw had the Wings and Pens valued at close to the same amount ($570M and $565M respectively). The more valuable US teams were the Rangers (obviously), Chicago, LA, Boston and Philadelphia (this one surprised me)

Well this whole the Leafs sold for a billion is a bit misleading, MLSE including all their franchises have been sold for that much. Otherwise I fullly agree no American franchise is worth that much I think if Lemieux can get a buyer in the range of 600 that would be awesome...the guy owns 20 % of the Penguins so that's a 120 million paycheck right there not bad not bad.

[DatsyukianDekes 2,428]

Well this whole the Leafs sold for a billion is a bit misleading, MLSE including all their franchises have been sold for that much. Otherwise I fullly agree no American franchise is worth that much I think if Lemieux can get a buyer in the range of 600 that would be awesome...the guy owns 20 % of the Penguins so that's a 120 million paycheck right there not bad not bad.

The MLSE sold for 1.4 billion dollars and probably could have gotten more. The leafs are worth 1 billion of that like it or not. The Raptors and the joke of a soccer team aren't worth much at all. The Raptors struggle to get 100k views on TV a night. Hockey and Baseball are the gems in Toronto.

Edited September 3, 2015 by darkmanx

[frankgrimes 1,836]

The MLSE sold for 1.4 billion dollars and probably could have gotten more. The leafs are worth 1 billion of that like it or not. The Raptors and the joke of a soccer team aren't worth much at all. The Raptors struggle to get 100k views on TV a night. Hockey and Baseball are the gems in Toronto.

Oh ok thank you so it's basically the majority amount for the Leafs and the rest for their football and baseball clubs. But yeah this should put the Penguins sale into perspective. Yeah Ballmer bought a team for 2 billion but what people are forgetting he is the former CEO and co-founder of Microsoft so money will never be an issue for him. And as always the best owners aren't the guys who are paying the most and then cut down on costs because they run it like a business instead of a fans' dream like our own Mr. I, Pegula or James Dolen. The best example for that strategy not working are - oh surprise - the Leafs there is no way Rogers and Bell will co-own them for long one of the 2 will buy out the other one soon.

[toby91_ca 620]

I don't know what percentage of the MLSE deal would come from the Leafs...but it's the majority and don't forget that the value of MLSE was closer to $1.8B as it wasn't 100% of the company that sold. The Ontario Teachers Pension Plan sold its interest to Bell and Rogers (Larry T didn't sell his interest, he actually increased it slightly).

[ami 273]

We should start potting our money together

I have $5

I'll chip in with my old used toothbrush (just bought a new one).

[DatsyukianDekes 2,428]

Oh ok thank you so it's basically the majority amount for the Leafs and the rest for their football and baseball clubs. But yeah this should put the Penguins sale into perspective. Yeah Ballmer bought a team for 2 billion but what people are forgetting he is the former CEO and co-founder of Microsoft so money will never be an issue for him. And as always the best owners aren't the guys who are paying the most and then cut down on costs because they run it like a business instead of a fans' dream like our own Mr. I, Pegula or James Dolen. The best example for that strategy not working are - oh surprise - the Leafs there is no way Rogers and Bell will co-own them for long one of the 2 will buy out the other one soon.

Blue Jays aren't MLSE, they are owned strictly by Rogers. MLSE consists of the Leafs, Raptors, Argo's and TFC which is why I said the Leafs could sell to a third party for easily 1 billion on their own.

Raptors and Argos aren't worth anything really, maybe the other 400 million dollars. Also Toronto is the most diverse city, you aren't fooling soccer fans that watch European soccer with the trash they put out on the field in Toronto.

But you are right, Rogers and Bell don't get along, most likely Bell won't be owning the team very soon.

[Vladinator16 236]

Flyers Fans have made a GoFundMe to try and buy the team!

http://www.gofundme.com/buythepens

[Hockeytown0001 7,652]

Flyers Fans have made a GoFundMe to try and buy the team!

http://www.gofundme.com/buythepens

Okay, now that's funny.

[Euro_Twins 4,476]

Flyers Fans have made a GoFundMe to try and buy the team!

http://www.gofundme.com/buythepens

We figure since the Flyers already figuratively own the Penguins, their fans might as well literally own them.

Edited September 5, 2015 by Euro_Twins

[chaps80 1,591]

The Raptors and the joke of a soccer team aren't worth much at all. The Raptors struggle to get 100k views on TV a night.

They need to give up on the Raptors and move the franchise to America like the owners of the Grizzlies did in Vancouver. Basketball just doesn't have a big enough market in Canada, plus the team sucking for basically as long as they've existed does'nt help things either.

[frankgrimes 1,836]

Absolute ridiculous but if they gain $ 733 each day from now on it would take a million days *g* but man would I ever love some case like this being presented to the NHL.

[toby91_ca 620]

MLSE does not own the Argos....not that it would make much of a difference in the value of the MLSE either way.

[Smite 399]

MLSE does not own the Argos....not that it would make much of a difference in the value of the MLSE either way.

Bell, (that owns TSN, that has exclusive TV rights to the CFL) and Larry T (MLSE Chairman) own the Argos. So no MLSE does not own the Argos but are heavily influenced by them. But all of that does not matter in this discussion because the purchase of the Argos happens after the sale of the MLSE and the Argos are not worth all that much.

Another crazy and not relevant fact: Bell and Larry bought the team from David Bradley who also owned the BC Lions, yes another team in the same league.... CFL Crazy Football League.

Now I will show my self the door....

[Barrie 900]

As Rick from Pawn Stars would say, the asking price is different then what it's actually worth. $750 Million is an insane amount for an NHL team, especially in a small market like Pittsburgh and a team that's almost gone bankrupt twice.

[Barrie 900]

They need to give up on the Raptors and move the franchise to America like the owners of the Grizzlies did in Vancouver. Basketball just doesn't have a big enough market in Canada, plus the team sucking for basically as long as they've existed does'nt help things either.

I'm no way a Toronto supporter, but I live in the area, the Raptors do very well in Toronto, they're top 1/3 in the league in attendance.

[number9 3,297]

I'm no way a Toronto supporter, but I live in the area, the Raptors do very well in Toronto, they're top 1/3 in the league in attendance.

Leafs, Raptors... how bout them Jays??? Am I right?