Rogers’ purchase of remaining 25% stake in MLSE finalized

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It is official: Rogers Communications Inc. has assumed complete control of Maple Leaf Sports and Entertainment.

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The media giant announced on Thursday that the deal to purchase the remaining 25% stake in MLSE from Kilmer Group for $4.35 billion had closed, meaning they now have 100% ownership of the NHL’s Toronto Maple Leafs, NBA’s Toronto Raptors, Toronto FC of MLS, the CFL’s Toronto Argonauts and other sports and entertainment properties.

The approval completes a takeover bid that was kick-started last year, when Rogers purchased a matching 37.5% stake from rival BCE Inc. for $4.7 billion.

“We’re proud to bring these beloved teams together with the rest of Rogers to deliver more for fans, audiences and customers,” Rogers president and CEO Tony Staffieri said in a statement released by the company.

“We know how much these teams mean to fans and we are fully committed to investing to build championship-calibre teams, to enhancing the fan experience and to delivering compelling experiences for our customers.”

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The purchase means Rogers now controls the Leafs, Raptors, their minor-league affiliates, Toronto FC, the Argos, Scotiabank Arena and a partnership with Live Nation in addition to properties it already owned including MLB’s Blue Jays, the Rogers Centre, its Sportsnet stations and other media.

“MLSE has some of the most iconic sports teams, they are part of the fabric of our communities and our country,” Rogers executive chair Edward Rogers said. “Sports fans invest more than their money into their teams, they invest their time, passion and dreams. Their investment is personal and so is our responsibility.”

What comes next?

Rogers said it will be creating a new business unit called Rogers Sports that will include the company’s sports, media and entertainment brands under the same umbrella, although they added that it will be “business as usual” in the interim.

That means the Blue Jays will continue to be in the hands of president and CEO Mark Shapiro. Keith Pelley will continue to hold those roles with MLSE, while also being tasked with oversight of Rogers Media, a role he had previously held before leaving to become commissioner and CEO of the European PGA Tour.

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The company also confirmed in July that its first order of business will be selling off a non-voting, minority stake in its new sports conglomerate with chief financial officer Glenn Brandt telling analysts that they do “not expect discounts and we will work hard to drive as strong a valuation as we can.

“But the market will determine what that is,” he said.

When asked if that was still the plan, if the company had a timeline for such a process and if they had an estimate of how much of a stake could be available, a spokesperson for Rogers referred to the earnings call from July.

However, reports have said the company plans to begin the process in the first half of 2027 so it can pay down its long-term debt, which The Globe and Mail pegged at about $40 billion in June.

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What could this mean for Toronto sports teams?

While Rogers referenced building “championship-calibre teams” in its release – the Blue Jays have consistently been a top-10 team in terms of payroll since 2023 under Rogers ownership – there was also the mention of “enhancing the fan experience and to delivering compelling experiences for our customers.”

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That vision came to light in an April report by The Athletic, which documented some of the exclusive perks that the Maple Leafs are offering under Pelley’s leadership.

Some of the experiences include $956.83 (plus a required ticket) for a child to stand on the ice and wave a Maple Leafs flag before the game, $95.68 to take a selfie on the ice after a game (also requiring a ticket) and $1,000 per person to enjoy “five-star dining” in the locker-room.

Meanwhile, after signing a new 12-year, $11-billion Canadian broadcast deal with the NHL that kicked in this season, Rogers has since ended its partnership to broadcast games on the CBC and reserved some content exclusively for its Sportsnet streaming platform.

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