By Adriano Marchese
Rogers Communications is buying out the final portion of Maple Leaf Sports and Entertainment from Kilmer Sports for 4.35 billion Canadian dollars ($3.06 billion), giving the telco total control of one of Canada's most lucrative sports businesses.
The transaction, which is expected to close in the fourth quarter of the year, consolidates full ownership of the Toronto Maple Leafs, Toronto Raptors, Toronto FC and the Scotiabank Arena under Rogers.
Until recently, MLSE was jointly owned by Canada's two biggest rival telecom companies, Rogers and BCE, alongside Kilmer Sports, belonging to Canadian billionaire businessman Larry Tanenbaum.
In 2024, Rogers agreed to buy out Bell's 37.5% stake for C$4.7 billion, a move which would bring its ownership to a controlling 75%. When the deal closed, Rogers secured an option to buy out Tanenbaum's remaining 25% as well.
By buying out Tanenbaum, Rogers plans to combine MLSE with the Toronto Blue Jays baseball team and Sportsnet, the company's sports media brand, into a single sports and media powerhouse.
Part of the plan for MLSE has been for Rogers to sell a minority stake in the consolidated sports, media and entertainment business. The company said that it intends to do so over the course of the next year.
Rogers said on Monday that the full ownership of the iconic sports teams will strengthen its ability to drive long-term growth across its communications and sports entertainment.
Write to Adriano Marchese at adriano.marchese@wsj.com