Report: NHL to help fund Coyotes sale
May 30, 2013, 6:55 PM | Updated: 7:10 pm
The Phoenix Coyotes (again) appear to be closing on on being sold, and Renaissance Sports & Entertainment is the group that would be taking over.
According to Forbes, the purchase price will be $170 million, with $85 million of that coming from the NHL itself.
The $80 million the total capital investment ($250 million) exceeds the enterprise value of the purchase ($170 million) will be used as working capital. In other words, no capital calls even if the team loses a lot of money over the next few years.
The NHL has owned the franchise since 2009, when Jerry Moyes put the team into bankruptcy and ceded control of the team to the league. As such, it may be willing to give the team’s new ownership group a bit of a bargain as long as it means the sale goes through and the Coyotes stay in Arizona.
