Pittsburgh Penguins For Sale
TSN’s Bob Mckenzie dropped a bomb on the hockey world on Wednesday evening, mostly Pittsburgh Penguins fans. Mckenzie announced via Twitter that the Pittsburgh Penguins were reportedly for sale.
Pittsburgh Penguins potentially for sale. Details here: http://t.co/tx969HujjP #TSN
— Bob McKenzie (@TSNBobMcKenzie) June 3, 2015
Two months ago, Mike Colligan wrote a piece for thehockeywriters.com about this exact topic. Kudos to him for being way ahead of the game here. Now, we’re all left wondering, what does it mean if the Pittsburgh Penguins are sold? Could they relocate? Is there more to the story than what we’ve seen so far?
Here’s what we know. The Pens confirmed that they have hired Morgan Stanley to “oversee a review of their strategic options”. Lemieux and Burkle released a joint statement on the matter.
“After buying the team out of bankruptcy, ensuring it’s long-term future in Pittsburgh and creating a strong foundation for continued success, we believe it’s time to explore our options”.
At this point, a sale isn’t imminent, but it is very possible. It obviously isn’t something I’d expect to happen overnight as there’s a lot of work to be done by the organization and Morgan Stanley. Forbes.com currently has the Pittsburgh Penguins valued at $565 million, and 10th most valuable in the NHL, and it’s said that the amount is actually on the low side.
Lemieux stated that he plans to stay involved with the organization in the event of a sale. I wouldn’t be surprised to see him take over as President and CEO, a position currently filled by David Morehouse. Burkle has long-been an investor that’s known for his success with that which all investors aim to do, buy low and sell high. I wouldn’t be surprised to see him out of the picture completely after all is said and done.
An announcement like this immediately sparks a lot of different emotions for Pens fans. As far as the panic about the team relocating, consider that the Pittsburgh Penguins signed a 30-year lease when moving to Consol Energy Center. Also, no one in their right mind would take the 10th most valuable NHL franchise and move them to a new city. This is a completely different set of circumstances than when the team had the potential to leave in the early 2000’s.
My likely unpopular opinion is that maybe a change in ownership is a good thing. Consider Morehouse’s struggles and criticism over the past few years, and remember that he’s here largely due to Ron Burkle. Also, if Lemieux steps into a different role with the team it could mean more input on hockey operations. I would love to see Mario more involved with the hockey side of things with the Pittsburgh Penguins.
Things are going to get very interesting over the next few weeks as more news develops. But, one thing is for sure. There is no reason for the Pittsburgh Penguins faithful to be concerned about losing their team.
Next: 5 Reasons the Pens Will Win the Cup in 2016