Carolina Hurricanes owner Peter Karmanos Jr. said today that an investment group of nine to 10 people is coming together that could collectively buy a 15 to 20 percent share of the hockey team.
Karmanos, in an interview, said all of the investors were based locally, although he did not name any of the individuals. In mid-February, he said he hoped to have a group of 20 or 30 investors, each investing $1 million to $3 million.
"We won't have quite that many, but the ones we will have will invest closer to the higher number ($3 million) than the lower," Karmanos said. "Things are going pretty well. We have had a lot of local people who have shown interest. It doesn't hurt that Forbes magazine calls Raleigh one of the best places to do business and live.
"We're still in the process of going through all the legal documents. It's moving along well. These are people who want to see the Hurricanes thrive and understand their involvement will give the Hurricanes even more exposure in the community."
Karmanos said he was not sure when an announcement would be made on the ownership change, or if one would be made.
"I'm not sure a public announcement is something (the investors) would care to have, to have it publicized," he said. "But it's still an ongoing thing. We're still trying to get more local people."
Karmanos controls 100 percent of the team after buying the 49-percent share of the late Thomas Thewes, his former business partner at Detroit-based Compuware Corp. The team cut back its payroll last season, in part, to better attract potential investors.
Despite the Hurricanes missing the Stanley Cup playoffs last season, the team broke even financially, said Karmanos, who praised the job done by general manager Jim Rutherford.
"Jimmy is always referring to us as a budget team, but the fact of the matter is he has done an outstanding job of having the Hurricanes not far from contending for a Stanley Cup while staying at the lower end of what we have to spend," he said. "We're certainly not a cap team but we're not scraping the bottom, either."
Karmanos announced in early June that he was stepping down as Compuware CEO. Karmanos will remain executive chairman of the board of directors.
"I'm setting my schedule now and I plan to spend at least two days a week in Raleigh, and eventually more in hockey season," he said.
A Raleigh native, Chip has worked at the N&O since 1979 and is the Canes beat writer. He can be reached at
Comments
Have to Disagree
Sat, 07/16/2011 - 20:53 — hockey101Hey Jgrant641, I have been a STH for 12 yrs and do follow hockey and keep up with the Canes more than you. How long have you followed this team?
After winning the Stanley Cup in 06 everyone was confident PK would spend the money to continue winning by making the playoffs and another Stanley Cup. After firing Lavi which left a bad taste in alot of peoples mouth, alot of fans were questioning why he did this. After not breaking up the team to get younger, I guess he figured with older players he still make the playoffs and still bring revenue in from playoff ticket sales and that didn't happen.
I guess he lost focus by not having a hands on approach with the team while running Compuware. Now that he has retired, and is going to have a more hands on aproach, with the investors he has coming in, he can now spend the money to get high end players and make this a playoff team every year.
So before you start criticizing, just make sure your are following what is going on with the team and organization because I AM A PASSIONATE AND DIE HARD CANES FAN!!!
Have to disagree
Sat, 07/16/2011 - 23:18 — louis12580I, too, am a STH for 12 years (boy do I miss the drive to Greensboro!). As for your criticism of the way Peter Laviolette was dealt with by the organization, it went both ways. There were some things that he did not do that were required (exit interviews for example) and that rubbed the higher ups the wrong way. Mr. K did make some comments that weren't called for (at least publicly) but that, for better or worse, is his style. He speaks his mind, whether or not any of us like it or not. As for his not being "hands on" enough, that's what he has Jim here for. Mr. Karmanos is the owner and Jim is the G.M. He trusts Jim to make the hockey related decisions. I'd rather that than some of these owners who are fans and treat the team as some fantasy league team. spending money year in and year out, going to the cap level, doesn't always equate to winning the Cup. Detroit is about the only team that has spent and won. People seem to forget that the core of that team, Lidstrom, Zetterberg, and Datsyuk were all drafted. Holmstrom, Draper were as well. Tell us how many Cups the Leafs, Flyers, Rangers, Blues have won after all their spending? Save for the 94 Rangers, that would be a big fat ZERO!! St. Louis is in financial trouble, as was Colorado. Have there been some mistakes made? Yes. Also remember that Pittsburgh were in trouble as well and were rescued by Mario. They made deals that brought high draft picks (got a bit fortunate the year they got Crosby) and the core of that team was drafted as is the case with Washington. Would I love to see a Shea Webber or Zach Parise wearing a 'Canes jersey. Darned skippy I would, but losing a first round draft pick 4 or 5 years isn't worth it. It's a business, not a hobby.
So
Sat, 07/16/2011 - 17:00 — gso_canes_fanwhat is your point or comment
after reading each of these
Sat, 07/16/2011 - 13:05 — jgrant641after reading each of these comments I have come to realize you all don't seem to read the articles, or even follow hockey... you just read the headlines then say something overly critical.
PK's cashing out
Fri, 07/15/2011 - 20:37 — anonymous2010Time for him to get some money out of the organization. He'll pocket the proceeds and the team will continue as is, especially since the team broke even last year. Good for him. He's getting old and better to begin the 'sale' of the team than to wait until his estate has to.
Ou Ohh
Fri, 07/15/2011 - 15:44 — Hockeydad92Two days a week may be a bad thing i.e. Jerry Jones. I will always have a soft spot in my heart for PK for bringing NHL hockey to the triangle and ultimately the Cup but I will also never forget how he threw Lavi under the bus in the most unprofessional way. Not sure if him being around more is a curse or a blessing.
new ownership
Fri, 07/15/2011 - 14:51 — hockey101Since PK is coming out saying this and is going to spend more time here during hockey season, now maybe he will see that he has to spend the money to make money to get us in the playoffs.
If he wants this organization to do well and make the playoffs every year he has got to spend the money. Take a look at Tampa, Buffalo, and any other teams and look at them now, with new ownership going out and spending the money needed to win a Stanley Cup.
Let's hope with the new investors coming in they will have the same idea.
Break Even Point
Fri, 07/15/2011 - 14:11 — WAStoutSo what would have been the break even point if we had invested in a decent coach and winger for Staal? What would have been the profit point?
Gee that is great news
Fri, 07/15/2011 - 12:31 — esteban1949as local ownwership is far better than some outside group with just a "local face" ..that is good stuff to hear Chip...and thank you for staying on that...too bad i din't have 5 mill laying around...I'd toss it in the ring as well...and hell i don't live in the Raleigh area...LOL
If It Ain't Hockey,It Ain't Nothing!! Go Canes & Checkers !!