Conditional on Team in Southern Ontario
TORONTO, May 5 /CNW/ - Jim Balsillie tabled an offer today to purchase
the Phoenix Coyotes, following the team's bankruptcy filing. The offer to
purchase the team for $212.5 million (U.S.) is conditional on relocation to
Southern Ontario, to become the seventh NHL franchise in Canada.
"The current team ownership asked that I table an offer to purchase the
Coyotes and significant discussions resulted in an offer that is in the best
interests of the franchise, the NHL, and the great hockey fans of Canada and
Southern Ontario," Mr. Balsillie said.
"I am excited to move closer to bringing an NHL franchise to what I
believe is one of the best un-served hockey markets in the world, Southern
Ontario. A market with devoted hockey fans, a rich hockey history, a growing
and diversified economy and a population of more than 7 million people," he
At the request of the Coyotes franchise owner, Mr. Balsillie has also
agreed to post debtor-in-possession (DIP) financing of $17 million (U.S.).
Debtor in possession financing is bridge financing provided when a company is
in an insolvency proceeding which allows the company to continue to operate
through the proceeding in advance of a restructuring or sale.
Prior to a final decision being reached on the proposed sale, he called
for Canadian fans who want to see a seventh NHL franchise in Canada to make
their voices heard.
"It's particularly important for Canadian fans to demonstrate the kind of
hockey market we have and the passion we share for this game. We want those
Canadian voices who want a seventh NHL team in Canada to be heard throughout
the North American NHL market. Canadian fans can log on to www.makeitseven.ca
to add their voices to the call for an NHL team in Southern Ontario" Mr.
For further information: Bill Walker, Senior Vice President, Veritas
Communications Inc., email@example.com, O (416) 482-2710, C (416)