Teachers announces sale of MLSE majority interest to two leading Canadian corporations
Bell and Rogers to take joint ownership position
TORONTO - The Ontario Teachers' Pension Plan (Teachers') today announced it has reached an agreement to sell its 79.53% ownership share in Maple Leaf Sports and Entertainment (MLSE) to Bell and Rogers Communications Inc.
The purchase price for Teachers' interest is $1.32 billion, based on an enterprise value of just over $2 billion.
Although Teachers' announced on November 25 that it would retain its MLSE ownership position, it subsequently was approached by Bell and Rogers with an unsolicited offer that meets all of its original terms and conditions for sale. The sale agreement follows an eight-month review process of numerous expressions of interest in MLSE.
"MLSE is one of Teachers' longest standing and most successful investments," said Jane Rowe, Senior Vice-President, Teachers' Private Capital. "We are proud of this iconic company, in which we first invested in 1994. It is second to none in the industry and has a very bright future. We believe that Bell and Rogers, with their MLSE partner Kilmer Sports, will deliver on the company's potential."
The transaction is expected to close in mid-2012 and is subject to regulatory and league approvals. Larry Tanenbaum will continue to serve as Chair of MLSE and as a Governor of the NHL, the NBA and Major League Soccer.
All the parties to the transaction will host a joint news conference today (Friday, December 9) at 9:30 a.m. at the Air Canada Centre, 40 Bay St., Toronto. The event is limited to accredited media only. The news conference will be live streamed at www.mlse.com.
With $107.5 billion in assets as of December 31, 2010, the Ontario Teachers' Pension Plan is the largest single-profession pension plan in Canada. An independent organization, it invests the pension fund's assets and administers the pensions of 295,000 active and retired teachers in Ontario. For more information visit www.otpp.com
Director, Communications and Media Relations
Ontario Teachers' Pension Plan