Denver, CO -
Ascent Entertainment Group (Nasdaq:GOAL) announced this morning that it has signed a definitive agreement to sell the Denver Nuggets of the NBA, the Colorado Avalanche of the NHL and the Pepsi Center where the two teams play, to E. Stanley Kroenke, Vice Chairman of the Super Bowl Champion St. Louis Rams, for $450 million.
"Today, I'm fulfilling a lifelong dream," said Kroenke, a national real estate developer. "These are two quality professional sports franchises that are embedded in the Denver community, and I plan to do everything I can to continue that relationship and deliver championships to the fine fans of Denver and the Rocky Mountain region."
Kroenke, who for many years has had a residence in Steamboat Springs, Colorado and has business interests throughout the Rocky Mountain region, signed the agreement this morning in Denver. The agreement is subject to the approval of the National Basketball Association, the National Hockey League, the City and County of Denver, receipt of all required governmental approvals and all other customary conditions. The transaction is not subject to the receipt of financing.
As part of the transaction, Liberty Media Corporation, the controlling stockholder of Ascent, will retain its 6.52% interest in the teams and the arena. "This is a wonderful outcome for the Denver community and its great fans," said Gary Howard, Executive Vice President and Chief Operating Officer of Liberty. "Stan Kroenke is a highly respected and successful businessman who has a superb record of achievement and who will bring financial stability and commitment to the teams and the Pepsi Center. We are excited about remaining part of the organization and working with Stan to give Denver, the State of Colorado, and the whole Rocky Mountain Region two championship teams."
Kroenke, who is named after baseball hall-of-famers Enos Slaughter and Stan Musial, said he had considered pursuing ownership of an NBA franchise for a number of years, and the deal with Ascent and Liberty Media accomplishes that goal.
"Since I entered the real estate development business 25 years ago, I've worked to satisfy my dream of owning a professional sports franchise, especially an NBA team. Now I have the opportunity to own not only an NBA franchise, but also a championship NHL team and a state of the art arena," Kroenke said.
He added: "We have a tremendous opportunity to continue the achievements of both these sports franchises and that is our goal. Our basketball team was immensely improved this year and I believe is on the right track. And we've got our game face on right now with the Avalanche. It's an exciting time. There's perhaps nothing more challenging in professional team sports than winning the Stanley Cup. It will be thrilling watching Joe Sakic, Peter Forsberg, Patrick Roy and the rest of the team battle the next several weeks."
Kroenke, who has been in discussions with city representatives and informed Mayor Wellington Webb of the deal Monday morning prior to the announcement, said he looks forward to becoming part of the Denver business and civic community and examining ways to enhance the Pepsi Center, which he described as "a wonderful, world class venue."
In late March, Liberty Media successfully completed a tender offer for Ascent Entertainment Group, Inc., the assets of which include the Nuggets, the Avalanche, the Pepsi Center, On Command Corporation, and Ascent Network Services. On Command is the nation's leading supplier of pay-per-view movies to hotel guests and Ascent Network Services provides video distribution services to NBC and other private networks.
On Command and Ascent Network Services are not part of the agreement signed today with Kroenke.
Liberty Media (NYSE:LMG.A)(NYSE:LMG.B) holds interests in a broad range of video programming, communication, technologies and Internet businesses in the US, Europe, South America and Asia.
"Today, I'm fulfilling a lifelong dream," said Kroenke, a national real estate developer. "These are two quality professional sports franchises that are embedded in the Denver community, and I plan to do everything I can to continue that relationship and deliver championships to the fine fans of Denver and the Rocky Mountain region."
Kroenke, who for many years has had a residence in Steamboat Springs, Colorado and has business interests throughout the Rocky Mountain region, signed the agreement this morning in Denver. The agreement is subject to the approval of the National Basketball Association, the National Hockey League, the City and County of Denver, receipt of all required governmental approvals and all other customary conditions. The transaction is not subject to the receipt of financing.
As part of the transaction, Liberty Media Corporation, the controlling stockholder of Ascent, will retain its 6.52% interest in the teams and the arena. "This is a wonderful outcome for the Denver community and its great fans," said Gary Howard, Executive Vice President and Chief Operating Officer of Liberty. "Stan Kroenke is a highly respected and successful businessman who has a superb record of achievement and who will bring financial stability and commitment to the teams and the Pepsi Center. We are excited about remaining part of the organization and working with Stan to give Denver, the State of Colorado, and the whole Rocky Mountain Region two championship teams."
Kroenke, who is named after baseball hall-of-famers Enos Slaughter and Stan Musial, said he had considered pursuing ownership of an NBA franchise for a number of years, and the deal with Ascent and Liberty Media accomplishes that goal.
"Since I entered the real estate development business 25 years ago, I've worked to satisfy my dream of owning a professional sports franchise, especially an NBA team. Now I have the opportunity to own not only an NBA franchise, but also a championship NHL team and a state of the art arena," Kroenke said.
He added: "We have a tremendous opportunity to continue the achievements of both these sports franchises and that is our goal. Our basketball team was immensely improved this year and I believe is on the right track. And we've got our game face on right now with the Avalanche. It's an exciting time. There's perhaps nothing more challenging in professional team sports than winning the Stanley Cup. It will be thrilling watching Joe Sakic, Peter Forsberg, Patrick Roy and the rest of the team battle the next several weeks."
Kroenke, who has been in discussions with city representatives and informed Mayor Wellington Webb of the deal Monday morning prior to the announcement, said he looks forward to becoming part of the Denver business and civic community and examining ways to enhance the Pepsi Center, which he described as "a wonderful, world class venue."
In late March, Liberty Media successfully completed a tender offer for Ascent Entertainment Group, Inc., the assets of which include the Nuggets, the Avalanche, the Pepsi Center, On Command Corporation, and Ascent Network Services. On Command is the nation's leading supplier of pay-per-view movies to hotel guests and Ascent Network Services provides video distribution services to NBC and other private networks.
On Command and Ascent Network Services are not part of the agreement signed today with Kroenke.
Liberty Media (NYSE:LMG.A)(NYSE:LMG.B) holds interests in a broad range of video programming, communication, technologies and Internet businesses in the US, Europe, South America and Asia.
News, photos provided by Business Wire.
