53461Re: [hockhist] MLSE in play
- Dec 1, 2010On 1-Dec-10, at 1:59 PM, Michael Levin wrote:
> Does Ballsillie have the money? Ted Rogers has some deep pockets andUntil fairly recently, Teachers' hasn't shown interest in divesting
> access to capital markets through Rogers Communications. Does
> Ballsillie have similar resources? If so, then why would he wait this
> long to make a bid for the pension fund's shares?
its share of MLS&E. However, it seems that lately it is in a mood to
cash out of some holdings. It just dumped a bunch of stock in Maple
Leaf Foods, the meat-packing and food-processing giant.
People are moving into the condominiums that MLS&E built on the real
estate near the Air Canada Centre. That was probably the last growth
opportunity for the company. Now would be an excellent time to take
some profits and deploy them in some depressed assets elsewhere.
If the $1.3 billion price tag for MLS&E (which apparently won't
include the real estate outside of the ACC) is correct, that would be
roughly half Balsillie's reported net worth. That's an awfully big
nut. Rogers Communications has a market cap about seven times as great
as Balsillie's net worth. And the Rogers estate is good for about five
Now, with the buzz about Terry Pegula trying to buy the Buffalo
Sabres, a more pertinent question might be, why isn't Balsillie all
over that option?
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