Canadian telecommunications and media giant Rogers Communications announced on Wednesday that it became the new majority owner of Maple Leaf Sports and Entertainment (MLSE), the parent company of the NBA franchise Toronto Raptors and NHL team Toronto Maple Leafs.
Rogers teamed up with competitor Bell to acquire MLSE in 2011, with each company getting a 37.5% stake at a reported value of $1.32 billion. Now, Rogers, who already owns the MLB franchise Toronto Blue Jays, is buying out Bell and will hold a 75% stake in MLSE after the transaction becomes finalized. Businessman Larry Tanenbaum, who serves as MLSE chairman, holds the remaining 25%.
Rogers will pay approximately $4.7 billion CAD ($3.5 billion U.S.) for Bell’s share. This brings the value of MLSE to $12.53 billion CAD ($9.2 billion U.S.).
“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,” Tony Staffieri, President and CEO of Rogers, said in a statement. “As Canada’s leading communications and entertainment company, live sports and entertainment are a critical part of our core business strategy.”
As part of the agreement, Bell will continue to broadcast 50% of Raptors and Maple Leafs’ regional games through its TSN network for the next 20 years.
Besides Raptors and Maple Leafs, MLSE’s sports franchise portfolio includes the Toronto Argonauts of the Canadian Football League (CFL) and Major League Soccer’s Toronto FC.