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MLSE in Talks to Purchase LEEDS UNITED


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According to a TSN Report Maple Leaf Sports Entertainment is looking to diversify once again and spread its wings Internationally.

From a business stand-point, I always thought that you needed to BE SUCCESSFUL at your "Core Business" before diversifying, need I say more???

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Hmmm, I figured that the Leafs could do a bit better than Leeds. I mean, they have money, so why didn't they try to get a middling Premiership team such as Sunderland or Fulham?

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If my train goes off the track, pick it up! Pick it up! Pick it up!

Back on the scene, crispy and clean,

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According to a TSN Report Maple Leaf Sports Entertainment is looking to diversify once again and spread its wings Internationally.

From a business stand-point, I always thought that you needed to BE SUCCESSFUL at your "Core Business" before diversifying, need I say more???

Now their success with the Leafs on the ice hasn't been amazing, but isn't it damn near impossible to get a ticket? From the little I know about hockey, I always thought the Leafs were one of the most successful teams in terms of revenue around.

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I've also heard the names of Sheffield United and Tottenham Hotsp*r being bandied about with regard to MLSE interest. That said, I'll believe something when I see it.

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So is this a case of "buy low, hope to sell high"?

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According to a TSN Report Maple Leaf Sports Entertainment is looking to diversify once again and spread its wings Internationally.

From a business stand-point, I always thought that you needed to BE SUCCESSFUL at your "Core Business" before diversifying, need I say more???

MLSE is successful. Where it counts. In dollars and cents. That's all that matters. An acquisition like this broadens their revenue stream not only internationally, but it also stabilizes their revenue year-round provided Leeds United remains a top-flite club.

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Leeds United would have to become a top flight club first, and taking over a club with as many financial problems as Leeds have had over the last few years might not be they best way to stabilize income. Leeds United is definately a "fixer-upper".

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Leeds was in the top-6 for English attendances. Absolutely bonkers for a League 1 outfit.

Fulham and Sunderland could never hope to attain that kind of support.

Leeds United is also the only draw in town (advantage over Fulham) and Leeds has four times the population as Sunderland.

And, I hate to be so presumptuous, but MLSE doesn't have near the cash to make Leeds a true moneymaker on the scale of the bigger clubs in England. As Tom Hicks and George Gillett found out, the cash needed in the US to make you a winner is just enough to tick off the supporters and demand more... which is just what Leeds supporters would do.

[Croatia National Team Manager Slavan] Bilic then went on to explain how Croatia's success can partially be put down to his progressive man-management techniques. "Sometimes I lie in the bed with my players. I go to the room of Vedran Corluka and Luka Modric when I see they have a problem and I lie in bed with them and we talk for 10 minutes." Maybe Capello could try getting through to his players this way too? Although how far he'd get with Joe Cole jumping up and down on the mattress and Rooney demanding to be read his favourite page from The Very Hungry Caterpillar is open to question. --The Guardian's Fiver, 08 September 2008

Attention: In order to obtain maximum enjoyment from your stay at the CCSLC, the reader is advised that the above post may contain large amounts of sarcasm, dry humour, or statements which should not be taken in any true sort of seriousness. As a result, the above poster absolves himself of any and all blame in the event that a forum user responds to the aforementioned post without taking the previous notice into account. Thank you for your cooperation, and enjoy your stay at the CCSLC.

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Leeds was in the top-6 for English attendances. Absolutely bonkers for a League 1 outfit.

Fulham and Sunderland could never hope to attain that kind of support.

Leeds United is also the only draw in town (advantage over Fulham) and Leeds has four times the population as Sunderland.

And, I hate to be so presumptuous, but MLSE doesn't have near the cash to make Leeds a true moneymaker on the scale of the bigger clubs in England. As Tom Hicks and George Gillett found out, the cash needed in the US to make you a winner is just enough to tick off the supporters and demand more... which is just what Leeds supporters would do.

At this point, not many people have the cash and clout to barge in on the EPL and upset the apple cart. Abramovich was a one-time occurence, and I don't see that happening again unless some mysterious oil-laden sheik decides to pump some heavy dosh in a struggling squad, red ink be damned. MLSE is far from that.

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At this point, not many people have the cash and clout to barge in on the EPL and upset the apple cart. Abramovich was a one-time occurence, and I don't see that happening again unless some mysterious oil-laden sheik decides to pump some heavy dosh in a struggling squad, red ink be damned. MLSE is far from that.

Of course. Sunderland spent over £40 million (That's about $80 million, folks.) on players this past season after being promoted to the English Premier League. They ended the season 3 points above the relegation zone.

[Croatia National Team Manager Slavan] Bilic then went on to explain how Croatia's success can partially be put down to his progressive man-management techniques. "Sometimes I lie in the bed with my players. I go to the room of Vedran Corluka and Luka Modric when I see they have a problem and I lie in bed with them and we talk for 10 minutes." Maybe Capello could try getting through to his players this way too? Although how far he'd get with Joe Cole jumping up and down on the mattress and Rooney demanding to be read his favourite page from The Very Hungry Caterpillar is open to question. --The Guardian's Fiver, 08 September 2008

Attention: In order to obtain maximum enjoyment from your stay at the CCSLC, the reader is advised that the above post may contain large amounts of sarcasm, dry humour, or statements which should not be taken in any true sort of seriousness. As a result, the above poster absolves himself of any and all blame in the event that a forum user responds to the aforementioned post without taking the previous notice into account. Thank you for your cooperation, and enjoy your stay at the CCSLC.

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At this point, not many people have the cash and clout to barge in on the EPL and upset the apple cart. Abramovich was a one-time occurence, and I don't see that happening again unless some mysterious oil-laden sheik decides to pump some heavy dosh in a struggling squad, red ink be damned. MLSE is far from that.

Of course. Sunderland spent over £40 million (That's about $80 million, folks.) on players this past season after being promoted to the English Premier League. They ended the season 3 points above the relegation zone.

Yeah, but most of those were insane buys from Roy Keane, bidding against himself. About the only one that acquitted himself well was Kenwyne Jones and he was almost an afterthought in the buying spree. Still, their hold on the PL is extremely tenuous. I'd expect them to be back in the drop zone next season.

Anyway, it just illustrates the gulf in the english game between the big four and everyone else. Even relatively free-wheeling spenders like Tottenham and Newcastle can't sniff a CL spot.

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Leeds was in the top-6 for English attendances. Absolutely bonkers for a League 1 outfit.

Fulham and Sunderland could never hope to attain that kind of support.

Leeds United is also the only draw in town (advantage over Fulham) and Leeds has four times the population as Sunderland.

And, I hate to be so presumptuous, but MLSE doesn't have near the cash to make Leeds a true moneymaker on the scale of the bigger clubs in England. As Tom Hicks and George Gillett found out, the cash needed in the US to make you a winner is just enough to tick off the supporters and demand more... which is just what Leeds supporters would do.

At this point, not many people have the cash and clout to barge in on the EPL and upset the apple cart. Abramovich was a one-time occurence, and I don't see that happening again unless some mysterious oil-laden sheik decides to pump some heavy dosh in a struggling squad, red ink be damned. MLSE is far from that.

Roman Abramovich's takeover of Chelsea was far from a one-time occurence. Since 2005, many EPL teams have been suddenly bought up by people who simply used their wealth to get what they wanted. To recap, there is Malcolm Glazer (Manchester United, 2005), Randy Lerner (Aston Villa, 2006), Alexandre Gaydamak (Portsmouth, 2006), the Drumaville Consortium (Sunderland, 2006), Björgólfur Guðmundsson (West Ham, 2006), Tom Hicks (Liverpool, 2007), George Gillet (Liverpool, 2007), Thaksin Shinawatra (Manchester City, 2007), and Mike Ashley (Newcastle, 2007). That's nine of the twenty Premiership teams and seven out of the 2007-08 top ten (including Abramovich's Chelski).

Engine, Engine, Number Nine, on the New York transit line,

If my train goes off the track, pick it up! Pick it up! Pick it up!

Back on the scene, crispy and clean,

You can try, but then why, 'cause you can't intervene.

We be the outcast, down for the settle. Won't play the rock, won't play the pebble.

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Leeds was in the top-6 for English attendances. Absolutely bonkers for a League 1 outfit.

Fulham and Sunderland could never hope to attain that kind of support.

Leeds United is also the only draw in town (advantage over Fulham) and Leeds has four times the population as Sunderland.

And, I hate to be so presumptuous, but MLSE doesn't have near the cash to make Leeds a true moneymaker on the scale of the bigger clubs in England. As Tom Hicks and George Gillett found out, the cash needed in the US to make you a winner is just enough to tick off the supporters and demand more... which is just what Leeds supporters would do.

At this point, not many people have the cash and clout to barge in on the EPL and upset the apple cart. Abramovich was a one-time occurence, and I don't see that happening again unless some mysterious oil-laden sheik decides to pump some heavy dosh in a struggling squad, red ink be damned. MLSE is far from that.

Roman Abramovich's takeover of Chelsea was far from a one-time occurence. Since 2005, many EPL teams have been suddenly bought up by people who simply used their wealth to get what they wanted. To recap, there is Malcolm Glazer (Manchester United, 2005), Randy Lerner (Aston Villa, 2006), Alexandre Gaydamak (Portsmouth, 2006), the Drumaville Consortium (Sunderland, 2006), Björgólfur Guðmundsson (West Ham, 2006), Tom Hicks (Liverpool, 2007), George Gillet (Liverpool, 2007), Thaksin Shinawatra (Manchester City, 2007), and Mike Ashley (Newcastle, 2007). That's nine of the twenty Premiership teams and seven out of the 2007-08 top ten (including Abramovich's Chelski).

LOL, and not one of those has shown anywhere near the cash drop that Abramovich foisted on his squad. Maybe Thaksin comes close, but he's already looking like too hands-on of a loose cannon to keep his team in serious contention or to attract further quality signings.

The rest? Nowhere near the Abramovich level, and correspondingly, none of have vaulted themselves into serious contention (if they weren't there already, i.e. ManU and Liverpool). Hell, the West Ham and Newcastle purchases can look like unqualified busts.

Abramovich was willing to spend whatever it took and bled whatever in order to mold his squad into a perpetual CL contender. Not one of those other consortiums you listed appear as fully willing or able to do as much.

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I'd be remiss if I didn't further explain what I was talking about when I was doubting MLSE's ability to fund Leeds United to the point where their supporters expect. For the uninitiated, Soccer in the rest of the world (and to a small extent MLS) works on a completely different system of acquiring players than in North American sports. Players under contract are not traded, but rather bought and sold according to their perceived value. There are no restrictions on Free Agency, but players who go on "free transfers" are generally players who aren't wanted by their club, rather than potential fortune changers like they are in North America.

If they were to buy Leeds United, the amount of cash spent would possibly go a bit like this:

2008-09 season: MLSE drops $10 million on players in the offseason to provide the impetus to get Leeds back into the Coca-Cola Championship

2009-10 to 2011-12 season: MLSE consolidates Leeds' position in the Coca-Cola Championship, and gets an annual team salary at about $30 million, spending about $10-15 million along the way.

2012-13 season: Leeds United rolls through the Coca-Cola Championship to win the title and earn automatic promotion. Whilst the trophy is nice, the $70 million in television money paid to the team after the next season is what the supporters at Elland Road are crowing about. Their ire grows when MLSE says that half of the $70 million will go to eliminate the debt on the club's books (including deferred payments on previous years' transfers) and buy their stadium, Elland Road, back from the creditors.

2013-14 season: Leeds' return to the Premier League, a decade after their demise, ends with the club staving off relegation on the last day of the season. Leeds supporters breathe a sigh of relief as January signing Wayne Rooney, on his last go-around before retiring, scores the winning goal. As long as they remain in the Premier League, they're guaranteed at least $70 million in income, which will offset their near $60 million in annual player wages. Leeds supporters demand better players than the old and worn out Rooney, and the cycle continues...

If you're keeping score at home, MLSE would have shelled out $50 million to get players into the squad, and that's before the ~$200 million in player salaries in that six year span. This is just for a squad that would be surviving by the skin of its teeth in the Premier League, not someone challenging for the Title.

For the record, player salaries are generally lower in Europe than in North America (Though in the English Premier League the average salary is about £1.1 million, or about $2.2 million), as Europe's top earner (Kaka) earns $14.2 million per year, but because the only way

[Croatia National Team Manager Slavan] Bilic then went on to explain how Croatia's success can partially be put down to his progressive man-management techniques. "Sometimes I lie in the bed with my players. I go to the room of Vedran Corluka and Luka Modric when I see they have a problem and I lie in bed with them and we talk for 10 minutes." Maybe Capello could try getting through to his players this way too? Although how far he'd get with Joe Cole jumping up and down on the mattress and Rooney demanding to be read his favourite page from The Very Hungry Caterpillar is open to question. --The Guardian's Fiver, 08 September 2008

Attention: In order to obtain maximum enjoyment from your stay at the CCSLC, the reader is advised that the above post may contain large amounts of sarcasm, dry humour, or statements which should not be taken in any true sort of seriousness. As a result, the above poster absolves himself of any and all blame in the event that a forum user responds to the aforementioned post without taking the previous notice into account. Thank you for your cooperation, and enjoy your stay at the CCSLC.

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Roman Abramovich's takeover of Chelsea was far from a one-time occurence. Since 2005, many EPL teams have been suddenly bought up by people who simply used their wealth to get what they wanted. To recap, there is Malcolm Glazer (Manchester United, 2005), Randy Lerner (Aston Villa, 2006), Alexandre Gaydamak (Portsmouth, 2006), the Drumaville Consortium (Sunderland, 2006), Björgólfur Guðmundsson (West Ham, 2006), Tom Hicks (Liverpool, 2007), George Gillet (Liverpool, 2007), Thaksin Shinawatra (Manchester City, 2007), and Mike Ashley (Newcastle, 2007). That's nine of the twenty Premiership teams and seven out of the 2007-08 top ten (including Abramovich's Chelski).

Let's take a look at these owners...

Abramovich (Chelsea)- Spent £150 million in 28 days in the Summer of 2003 to turn a top-half Premier League side into title contenders. Bought the club, ground, and club's debts with cash, and has funded the club through interest-free loans from himself.

Glazer (Manchester United)- Used a shell company to execute a hostile takeover of the previously-publicly traded club. The £660 million ($1.2 billion) refinancing plan places 100% of the debt load on the club, including £256 million ($512 million) on the clubs physical assets. The club posted a loss of £56 million ($112 million) loss this past fiscal year, mainly because of the club only servicing the interest of the refinancing plan (at 14.5%, a rate higher than the one I got in March for a loan for major repairs to my car) and backloading transfer repayment agreements.

Lerner (Aston Villa)- Owns Aston Villa after buying shares in a non-hostile takeover. Funds the club in a similar situation to Abramovich, but with the current credit crunch (Lerner is the chairman and majority stockholder in MNBA), transfer funds available to the club will be reduced.

Gaydamak (Portsmouth)- Scion of the Russo-Israeli Gaydamak family. Bought 50% of Portsmouth in 2006, and bought out then co-owner Milan Mandaric 6 months later. Funds the club in a similar situation to Abramovich, but Portsmouth posted a £50 million ($100 million) loss this past fiscal year, mainly through a high wage bill.

Drumaville Consortium (Sunderland)- A consortium of 7 Irishmen: Niall Quinn, Charlie Chawke, Louis Fitzgerald, Jack Tierney, Paddy Kelly, Pat Beirne, John Hays, and Patsy Byrne. Bought the club when it was reentering the Coca-Cola Championship and have a limited financial base for transfers.

Gudmundsson (West Ham United)- Bought West Ham and leveraged part of the debt against the club. In a personal financial crisis at the moment because of the financial meltdown in his native Iceland (Prime interest rate is currently ~15%)

Hicks & Gillet (Liverpool)- Each own 50% of the company through a shell company that put 100% of the £500 million ($1 billion) purchase price on the club. Despite the club spending £40 million ($80 million) on transfers this past Summer, none of it came from either's pockets. Plans for the funding of the new Anfield are on hold because neither will pony up the money personally to fund it.

Shinawatra (Manchester City)- Former Prime Minister of Thailand bought the club and its debts with cash, and is funding the club in the same fashion as Abramovich, Lerner, and Gaydamak.

Mike Ashley (Newcastle United)- English Sporting-chain magnate bought Newcastle and half of the club's debts for £134 million. Within 2 months of buying Ashley reportedly put the club up for sale and has balked at spending the cash necessary to bring players to the club to threaten the Top 4.

[Croatia National Team Manager Slavan] Bilic then went on to explain how Croatia's success can partially be put down to his progressive man-management techniques. "Sometimes I lie in the bed with my players. I go to the room of Vedran Corluka and Luka Modric when I see they have a problem and I lie in bed with them and we talk for 10 minutes." Maybe Capello could try getting through to his players this way too? Although how far he'd get with Joe Cole jumping up and down on the mattress and Rooney demanding to be read his favourite page from The Very Hungry Caterpillar is open to question. --The Guardian's Fiver, 08 September 2008

Attention: In order to obtain maximum enjoyment from your stay at the CCSLC, the reader is advised that the above post may contain large amounts of sarcasm, dry humour, or statements which should not be taken in any true sort of seriousness. As a result, the above poster absolves himself of any and all blame in the event that a forum user responds to the aforementioned post without taking the previous notice into account. Thank you for your cooperation, and enjoy your stay at the CCSLC.

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MLSE's main stock holders are the Ontario Teacher's Pension Plan which now owns Bell Canada Enterprises. Throw in some other multi-multi billionaires to boot.

Money won't be an issue and all this would do is make our retiring teachers even more wealthy.

Some background info on MLSE thanks to Wikipedia:

Maple Leaf Sports & Entertainment Ltd. (MLSE) is the owner and operator of the Toronto Maple Leafs National Hockey League team, Toronto Raptors National Basketball Association team, Toronto FC Major League Soccer team, and Toronto Marlies American Hockey League team — all based in Toronto, Ontario, Canada. In addition to owning these franchises as well as Leafs TV and Raptors NBA TV (the official television stations of the Maple Leafs and Raptors respectively), MLSE is also involved in property management, including ownership of the Air Canada Centre, the home arena of the Maple Leafs and Raptors.

Ownership Breakdown:

58% - Ontario Teachers' Pension Plan

15% - CTVglobemedia

14% - TD Bank Financial Group, through TD Capital Group

13% - Kilmer Sports Inc. (Owned by Larry Tanenbaum)

Some more info about the OTPP:

The OTPP maintains a prominent role as one of Canada's largest investors, owning investments across Canada. Through its fully owned subsidiary Cadillac Fairview, the OTPP owns properties including the Toronto-Dominion Centre, Toronto Eaton Centre, and the Rideau Centre in Ottawa. Through its investment arm, Teachers' Private Capital, the OTPP owns or has interests in companies such as Bell Canada Enterprises (BCE), Samsonite, Maple Leaf Sports & Entertainment, Maple Leaf Foods, Parmalat Canada, Doane Pet Care, Shoppers Drug Mart, and Worldspan. In 2006 it acquired a 20% stake in CTVglobemedia.[3] In July 2007 Teachers' lead a group to take over Canadian telecommunications giant BCE Inc. (Bell Canada) private. The $51.7 billion deal is said to be the biggest leveraged buyout in Canadian history.

As of April, it is reportedly worth 1.75 Billion USD.

Believe me when I say all this would do is expand their brand and increase their income.

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