No deadline set for Coyotes new franchise

[puckhead]

I'm new to hockey, can someone explain why the Coyotes are even in Glendale? It is a bitch to get there during afternoon spring training games from hotels in downtown Phoenix, let alone rush hour.

someone had the great idea that Glendale was going to be massively developed, and the Gila River sports/entertainment complex was ahead of the curve.
at least they have an In'n'Out over there.

 

[The Derski]

I think the Westgate entertainment district is pretty cool. The bars and restaurants are very lively on game days. It’s not like a ghost town.

 

[DevilishWon]

Has the team moved yet?

 

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Andrew Barroway, the owner of the Arizona Coyotes, is looking to sell 49% of the National Hockey League team at a $500 million valuation, according to multiple sources.

Barroway became the majority owner of the Coyotes in December, 2014 and the sole owner of the hockey team in June 2017.

The fact that Barroway is now seeking cash for his team is not surprising. When he bought out his partners I wrote: “Barroway’s buyout of his partners is the riskiest deal I can recall in recent memory. ... Barroway and the Coyotes are now leveraged to the hilt. As of now, the Coyotes have $250 million of debt. There is $100 million of NHL credit facility debt and two loans from MGG Investment Group; one for $100 million with about a 10% interest rate and a payment-in-kind loan for $50 million that would be redeemed in six years for $100 million.”

One source believes the deal as being presented would give the new investor a path towards control, if not immediate control. The team has consistently lost money. By our count, the Coyotes have posted aggregate operating losses (in the sense of earnings before interest, taxes, depreciation and amortization) of $45 million for the last five seasons through 2016-2017.

Andrew Barroway Seeking $500 Million Valuation For Arizona Coyotes

 

[Groo]

Andrew Barroway, the owner of the Arizona Coyotes, is looking to sell 49% of the National Hockey League team at a $500 million valuation, according to multiple sources.

Barroway became the majority owner of the Coyotes in December, 2014 and the sole owner of the hockey team in June 2017.

The fact that Barroway is now seeking cash for his team is not surprising. When he bought out his partners I wrote: “Barroway’s buyout of his partners is the riskiest deal I can recall in recent memory. ... Barroway and the Coyotes are now leveraged to the hilt. As of now, the Coyotes have $250 million of debt. There is $100 million of NHL credit facility debt and two loans from MGG Investment Group; one for $100 million with about a 10% interest rate and a payment-in-kind loan for $50 million that would be redeemed in six years for $100 million.”

One source believes the deal as being presented would give the new investor a path towards control, if not immediate control. The team has consistently lost money. By our count, the Coyotes have posted aggregate operating losses (in the sense of earnings before interest, taxes, depreciation and amortization) of $45 million for the last five seasons through 2016-2017.

Andrew Barroway Seeking $500 Million Valuation For Arizona Coyotes

Perhaps I'm just not getting it. He's want's to make a 250 million dollar profit and still remain majority owner ?
Or does the 49% put the buyer in the owners seat ?

 

[dash]

Perhaps I'm just not getting it. He's want's to make a 250 million dollar profit and still remain majority owner ?
Or does the 49% put the buyer in the owners seat ?

The way I'm understanding it, Barroway is trying to sell a 49% stake in the team using a valuation that the team is worth $500 million. Put another way, $245 million buys you 49% of the Coyotes.

/Also, the Coyotes now appear to operate on a year-to-year lease with the city of Glendale.

Cohen noted the Coyotes have an "evergreen lease," meaning it can continually renew annually with AEG. Dale Adams, AEG general manager, said the Coyotes never gave him the impression that they would leave.

"I don't know where they would go," Adams said.

I think Houston would be a nice landing spot.

https://www.azcentral.com/story/new...ore-year-glendale-gila-river-arena/963379001/

 

[Groo]

The way I'm understanding it, Barroway is trying to sell a 49% stake in the team using a valuation that the team is worth $500 million. Put another way, $245 million buys you 49% of the Coyotes.

/Also, the Coyotes now appear to operate on a year-to-year lease with the city of Glendale.

Cohen noted the Coyotes have an "evergreen lease," meaning it can continually renew annually with AEG. Dale Adams, AEG general manager, said the Coyotes never gave him the impression that they would leave.

"I don't know where they would go," Adams said.

I think Houston would be a nice landing spot.

https://www.azcentral.com/story/new...ore-year-glendale-gila-river-arena/963379001/

Thank you, Very helpful
Or Portland

 

[dash]

Thank you, Very helpful
Or Portland

I'm thinking Houston is a front-runner mainly because the Rockets owner has expressed interest in bringing the NHL to Houston.

The owner of the NBA's Rockets has expressed interest in bringing an NHL franchise to Houston, but is proceeding cautiously.

Tilman Fertitta posted on his verified Twitter account Thursday that he would be open to the possibility of acquiring an NHL team, but stressed it must be a deal that works for all parties concerned.

"As I've mentioned before, I'm very interested in the possibility of bringing the NHL to Houston, but it will have to be a deal that works for my organization, the city, fans of the NHL throughout the region and the NHL Board of Governors," said Fertitta, who bought the Rockets in September. "We are in the early stages of evaluating what opportunities may exist but look forward to a thorough process."

Fertitta's post comes a day after reports said Fertitta and NHL commissioner Gary Bettman have met to discuss the
viability of Houston as an NHL city.

Houston Rockets owner 'very interested' in bringing NHL team to city | CBC Sports

Seattle looks pretty much locked in to get an expansion team which would would bring the NHL up to 32 teams and would even up the conferences at 16 apiece.

 

[Groo]

I'm thinking Houston is a front-runner mainly because the Rockets owner has expressed interest in bringing the NHL to Houston.

The owner of the NBA's Rockets has expressed interest in bringing an NHL franchise to Houston, but is proceeding cautiously.

Tilman Fertitta posted on his verified Twitter account Thursday that he would be open to the possibility of acquiring an NHL team, but stressed it must be a deal that works for all parties concerned.

"As I've mentioned before, I'm very interested in the possibility of bringing the NHL to Houston, but it will have to be a deal that works for my organization, the city, fans of the NHL throughout the region and the NHL Board of Governors," said Fertitta, who bought the Rockets in September. "We are in the early stages of evaluating what opportunities may exist but look forward to a thorough process."

Fertitta's post comes a day after reports said Fertitta and NHL commissioner Gary Bettman have met to discuss the
viability of Houston as an NHL city.

Houston Rockets owner 'very interested' in bringing NHL team to city | CBC Sports

Seattle looks pretty much locked in to get an expansion team which would would bring the NHL up to 32 teams and would even up the conferences at 16 apiece.

It's also a much bigger market.
I'd perfer Portland. Expand in Seattle and move the Knights to the central

 

[Slimpikins]

Move them to Quebec, Montreal needs an equally belligerent fan base with which to fued.

 

[dash]

Move them to Quebec, Montreal needs an equally belligerent fan base with which to fued.

I think Quebec's best chances are likely the re-location of the Panthers. I would have said the Hurricanes, but since they have a new owner, they're probably staying put for the foreseeable future.

 

[Slimpikins]

Yeah moving a western team out east would just unbalance the conferences even more. I just like the idea of a Quebec Montreal rivalry more.

Seattle Portland sounds more like a passive aggressive disagreement than an actual rivalry.

 

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There’s good reason Andrew Barroway wants investors for the Arizona Coyotes. His NHL team is burning cash at a rapid pace.

Sources familiar with the team’s situation, but not authorized to speak about it publicly, say the Coyotes have been averaging cash losses of around $30 million a year the past five years, and during the latest fiscal year they estimate team lost some $50 million. That’s a big loss when revenues are only $300 million or thereabouts.

Arizona Coyotes Burned Through About $50 Million Last Year

 

[forty_three]

There’s good reason Andrew Barroway wants investors for the Arizona Coyotes. His NHL team is burning cash at a rapid pace.

Sources familiar with the team’s situation, but not authorized to speak about it publicly, say the Coyotes have been averaging cash losses of around $30 million a year the past five years, and during the latest fiscal year they estimate team lost some $50 million. That’s a big loss when revenues are only $300 million or thereabouts.

Arizona Coyotes Burned Through About $50 Million Last Year

Build 'em a new arena. That'll fix it all.

 

[obxyankeefan]

I'm thinking Houston is a front-runner mainly because the Rockets owner has expressed interest in bringing the NHL to Houston.

The owner of the NBA's Rockets has expressed interest in bringing an NHL franchise to Houston, but is proceeding cautiously.

Tilman Fertitta posted on his verified Twitter account Thursday that he would be open to the possibility of acquiring an NHL team, but stressed it must be a deal that works for all parties concerned.

"As I've mentioned before, I'm very interested in the possibility of bringing the NHL to Houston, but it will have to be a deal that works for my organization, the city, fans of the NHL throughout the region and the NHL Board of Governors," said Fertitta, who bought the Rockets in September. "We are in the early stages of evaluating what opportunities may exist but look forward to a thorough process."

Fertitta's post comes a day after reports said Fertitta and NHL commissioner Gary Bettman have met to discuss the
viability of Houston as an NHL city.

Houston Rockets owner 'very interested' in bringing NHL team to city | CBC Sports

Seattle looks pretty much locked in to get an expansion team which would would bring the NHL up to 32 teams and would even up the conferences at 16 apiece.

How did the Aeros draw compared to the rest of the WHL?

 

[puckhead]

latest fiscal year they estimate team lost some $50 million. That’s a big loss when revenues are only $300 million or thereabouts.

salary of about 53 mill last year..... that's a fuckton of miscellaneous expense

 

[jstewismybastardson]

There’s good reason Andrew Barroway wants investors for the Arizona Coyotes. His NHL team is burning cash at a rapid pace.

Sources familiar with the team’s situation, but not authorized to speak about it publicly, say the Coyotes have been averaging cash losses of around $30 million a year the past five years, and during the latest fiscal year they estimate team lost some $50 million. That’s a big loss when revenues are only $300 million or thereabouts.

Arizona Coyotes Burned Through About $50 Million Last Year

That revenue # of 300 shmill makes no sense whatsoever

Gotta be a typo... in dec 2017, the same article writer for forbes (mike ozanian) wrote that arizona had 98 million in revenue (net of arena revenues used for debt payments)

Arizona Coyotes on the Forbes The Business of Hockey List

 

[esls79]

I hear the Yotes are up for sale again.

 

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