TORONTO — Rogers Communications has signed an agreement to buy Bell Media’s 37.5% ownership stake in Maple Leaf Sports & Entertainment.
It gives Bell billions of Loonies in cash, as Rogers says it will “invest to bring championships to Canada.”
Rogers is paying $4.7 billion CDN for MLSE.
With this transaction, Rogers has pledged to continue to invest to the NHL’s Toronto Maple Leafs and the NBA’s Toronto Raptors. “Winning is everything for fans, and that’s why we’re committed to investing to bring more championships to Canada,” said Edward Rogers, Executive Chair of Rogers. “We’re passionate about sports and we’re passionate about winning.”
Rogers President/CEO Tony Staffieri added, “MLSE is one of the most prestigious sports and entertainment organizations in the world and we’re proud to expand our ownership of these coveted sports teams. As Canada’s leading communications and entertainment company, live sports and entertainment are a critical part of our core business strategy.”
Financing for this transaction will not affect Rogers debt leverage and financing will include private investors, the company said.
Rogers already owns the Toronto Blue Jays Major League Baseball team, Rogers Centre (formerly Skydome) and the SportsNet nationally distributed sports network.
When the transaction closes, Rogers will be the largest owner of MLSE with a controlling Interest in 75% of MLSE.
Meanwhile, the deal will provide Bell with the opportunity to renew its existing MLSE broadcast and sponsorship rights long-term at fair market value, Rogers says. This includes access to content rights for 50% of Toronto Maple Leafs regional games and 50% of Toronto Raptors games for which MLSE controls the rights.
The transaction is subject to league and regulatory approvals.
— RBR+TVBR in Vaughn, Ontario
