Maple Leaf Sports & Entertainment Ltd.
Announces New Ownership Structure
February 11, 2003
Steve Stavro, Chairman of the Board of
Maple Leaf Sports & Entertainment Ltd., announced Tuesday
that the company is reorganizing the ownership structure to
ensure the long term strength and stability of the company.
“As part of this reorganization, I am selling
my interests in the company effective immediately. I will continue
to serve as Non-executive Chairman on the Board of Directors
through June 30, 2003.
“The time has come for me to pass the legacy of Canada’s
premier sports and entertainment group to the next generation
of owners,” said Stavro. “Personally, it has been
a real privilege having the opportunity to follow in the tradition
of some of the great hockey icons like Conn Smythe and Harold
Ballard in building this great sports franchise. I know that
I’m leaving the ownership in capable hands, with Canadian
owners who have the resources to ensure that it remains one
of the world’s leading sports and entertainment organizations
for years to come.”
Stavro is indeed leaving a remarkable legacy.
In 1998, he was instrumental in bringing the beloved Maple Leafs
and the exciting, young Raptors under one roof with the building
of the Air Canada Centre, thus creating one of the most dynamic
sports and entertainment organizations in North America. He
is credited with bringing together key partners that will continue
to provide a solid future for the Leafs and Raptors and ensure
that Canadian fans can continue to enjoy the teams for generations
to come.
The new ownership structure of MLSEL has some
familiar players with the Teachers’ Merchant Bank, the
private equity arm of the Ontario Teachers’ Pension Plan,
increasing its investment to 58%; Bell Globemedia with an investment
of 15%; TD Capital Group increasing its investment to 14%; and
Kilmer Sports Inc., owned by Larry Tanenbaum, increasing its
investment to 13%. The top priority of the group will be to
provide the commitment and solid financial foundation essential
to bringing a Stanley Cup and an NBA Championship to Toronto.
“We are very excited about what lies ahead for our organization
and for our fans,” said Larry Tanenbaum, owner of Kilmer
Sports Inc. and non-executive chairman-elect of the MLSEL board.
The ownership partners are avid supporters of both the Maple
Leafs and Raptors and share a championship vision for both teams.
“We are committed to providing the Leafs and Raptors with
the resources they need to attain those championship goals,”
stated Tanenbaum.
The new structure ensures that Maple Leaf Sports
& Entertainment Ltd. remains a strong Canadian entity with
four of the country’s most successful organizations supporting
the teams, including one of the largest and most innovative
pension funds in Canada, one of Canada’s leading banks,
a dynamic Canadian media company and a leading Canadian entrepreneur.
The MLSEL ownership partners all have one objective in common
– winning teams and satisfied fans.
Robert Bertram, Executive Vice President, Investments
with Ontario Teachers’ Pension Plan, said, “We believe
in the solid future of MLSE and its passionate commitment to
developing championship teams. Winning is good business.”
TD Capital’s John MacIntyre, echoed these
sentiments saying, “We are pleased to be part of a team
committed to winning - on the ice, on the court and as a sports
and entertainment business.”
“Our participation in MLSEL is complementary
to our core broadcast business,” said Ivan Fecan, President
and CEO of Bell Globemedia. “Bell Globemedia has extensive
national reach in Canadian sports through TSN and RDS and already
enjoys a good working relationship with MLSEL.”
The new board of directors for Maple Leaf Sports & Entertainment
will be comprised of Steve A. Stavro (who will remain on the
Board as Non-executive Chairman through June 30, 2003); Robert
Bertram, Ontario Teachers’ Pension Plan; Jim Leech, Teachers’
Merchant Bank; Dean Metcalf, Teachers’ Merchant Bank;
Ivan Fecan, Bell Globemedia; John MacIntyre, TD Capital Group;
Larry Tanenbaum, (Non-executive Chairman-elect, July 1, 2003),
Kilmer Sports Inc; Dale Lastman, Goodmans LLP; and Richard Peddie,
(President and Chief Executive Officer), Maple Leaf Sports &
Entertainment Ltd.
The ownership group is fully committed to the MLSEL management
team and will devote the kinds of resources needed to attain
the championship goals of the organization.
Closing of the transaction will occur as soon
as the necessary approvals have been obtained from the National
Hockey League, National Basketball Association and other regulatory
and non-regulatory bodies as applicable.
Maple Leaf Sports & Entertainment Ltd. (MLSEL)
is a privately held organization that owns and operates Canada’s
most coveted sports and entertainment enterprises including
the Air Canada Centre, Toronto Maple Leafs, Toronto Raptors,
LeafsTV, Raptors NBA TV and St. John’s Maple Leafs.
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Media contacts:
John Lashway, Vice President, Communications, MLSEL (416) 815-5449
Tara McCarthy, Manager, Corporate Communications, MLSEL (416)
815-5790
