The famed Montreal Canadians hockey team has been sold to the Molson brothers for a reported $575 million. The team’s board of governors approved the sale on Tuesday. The sale includes the iconic team, the Bell Centre arena, and the Gillette Entertainment Group. Geoff Molson will become the chairman and chief executive officer.
George N. Gillett Jr and Geoff Molson announced the deal in principal today. Mr. Gillett commented on the high level of interest from the Montreal community to participate in the purchase. He also said he was happy to announce the winning bid going to a Montreal based family that were the previous owners of the club.
Prior to the sale, Mr. Gillett had denied that the Canadians were for sale and suggested he was simply reviewing his assets as part of an estate planning exercise. Turn up the heat a bit with the recession and low and behold a sale. Even though the Molson’s entered the negotiations last they prevailed.
The good news is that the Montreal Canadians will be staying in Montreal and not simply pawned off and moved like some other teams have been in the past. Hopefully this will turn into a successful business venture that will keep the Habs in Montreal indefinitely.
I wonder when we will see a team go public and trade on the TSX? Would you buy shares in an NHL team? Would the value of the team increase if they improve their record? This would be an interesting experience. Might be a great way to generate more fans…I want my stock to go up so I’ll cheer for the team. If large investment groups are purchasing teams, what’s taking so long for an IPO for us small guys?
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I wish I’ll become the next owner… in 25 years ;-D
You can look to the EPL for publicly traded sports teams
they are valued like any other company, based on cashflows, assets, future earnings potential etc. So, no, the onfield performance will only indirectly effect the value of the stock (i.e. through decreased revenues/winnings)
I’ve been a Habs fan since I started watching hockey when I was sitting in my fathers home in verdun, Montreal and I’ve seen the team get torn apart and some new additions to the team have been beneficial such as Price but I cannot see how anyone can benefit from the team being pond off to some rich contractor.
The better stay in Quebec of this really BIG Habs fan will be P*SSED!!!