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Monday debate: finding a buyer

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Hurricanes owner Peter Karmanos Jr. wants to sell 49 percent of the team, preferably to a local investor or group of investors, and has hired a New York investment firm to help with the sale.

Karmanos said he has no intent of selling the team. NHL commissioner Gary Bettman said too much is being made of ownership changes and reorganizations.

What do you think? Is there anything unsettling or worrisome about this recent development, or is Bettman right? And what are the chances Karmanos will be able to find someone or some group locally to buy into the team?

The floor is open.

 

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Good Question?

When Mr. Karmanos came out looking for a partner, the media really mislead the public saying the whole team was being sold, then it took Peter later that day to clarify the report. Hopefully someone in the Raleigh area or Charlotte will purchase half the team. The Canes have proven themselves they are a solid franchise unlike others in the NHL.

Given the downsizing that

Given the downsizing that WRAL and Capitol Broadcasting have endured, I'd be surprised to see Goodmon belly up to the bar for $75 million (roughly half the value of the club). Revenues from TV and radio ads will increase as the economy eventually improves, but I don't know how fast it will happen.

Maybe Goodnight has gotten over the mega-millions he lost in Midway Airlines, maybe not.

It maybe tricky

it maybe tricky, but oh so do able...heck there are serval fans from another sports blog and i visit alot...are thinking seiously about trying to form a possible group like the EIG did up in Edmonton...what we don't know is:
1. What conditions of sale PK put on that 49%
2. If it is done by that NY firm...how big of a fee will they charge and individula or group for "facilitating/Brokering" such a deal...for me i do hope someone or group ( even a fan based group) locally can or could put something together...but no matter who or whom it is...they will have to be on the same page as PK is...otherwise the deal will never work...

but i'm just a fan...what would i know ?

The Canes are Good,My Grandkids are Better, and Life is Great !!
Go Canes !!

Buying a share...

I am only a STH but can I get stock in the Canes?  We should look into owning them like Green Bay is owned by their town!!!

You can't. Gale Force

You can't. Gale Force Holdings LP, Hurricanes Hockey LP, and KT Sports & Entertainment, Inc are the three companies in the ownership structure of the club. None of these is publicly traded, nor has any of the three indicated an interest in selling ownership shares to the general public.

The GB Packers situation is unique in professional sports and dates back to 1923. I don't think you'll ever see that model used again. The NFL subsequently adopted a rule that prohibits any further use of this ownership model. I suspect that the NHL has a similar rule.

When the Boston Celtics went public in the 1980s, everyone discovered how complex a deal it was to administer. That deal was un-done.  

A practical issue is that every team in the NFL is profitable. However, many teams in the NHL are not. Do you want to be dunned out of your pocket by the Canes in seasons when they lose money?

Losing Money...

I would think about it if it was a tax write off...LOL

ownership

This is a tricky one. When you hire someone to look for investors it gives the appearance that you have not had any luck on your own. Hiring someone to do this is not new. It can be like hiring a "head hunter" to fill a vacancy at a large business firm. As for this situation, it really needs to be someone in the area, even maybe from Charlotte. Mr. Goodman and Capital Broadcasting would seem to be the ideal partners. Dr. Goodnight would be another. My suggestion of possibly someone in Charlotte is based on the fact that the AHL franchise will be there beginning this year and someone with ties there could help promote both franchises. Promote in the sense of getting other businesses and groups on board as season ticket holders thus providing a healthy and viable franchise. I am surprised that I have not read anything about this on TSN. They love running with stories on U.S. franchises looking for financial stability thus starting the Balsillie and moving teams to Canada nonsense.

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About the blogger

A Raleigh native, Chip has worked at the N&O since 1979 and is the Canes beat writer. He can be reached at chip.alexander@newsobserver.com. You can follow him on Twitter at @ice_chip.
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