In a groundbreaking move that has sent shockwaves through the sports industry, BCE Inc. has struck a deal to sell its 37.5 per cent stake in Maple Leaf Sports & Entertainment to Rogers Communications Inc. for a staggering $4.7 billion. This transaction gives Rogers majority control over Canada’s most valuable sports empire and solidifies executive chairman Edward Rogers’ position as a formidable player in the sports business world.
The deal, which values MLSE at an impressive $12.5 billion, has caught many Bay Street analysts off guard. For years, speculation has swirled about whether these two telecom giants would allow their arch-rival to wield control over the prized sports conglomerate.
As part of the agreement, Bell Media has secured content rights for the Toronto Maple Leafs and Toronto Raptors on TSN for the next 20 years. Mirko Bibic, president and CEO of BCE and Bell Canada, expressed pride in their ownership of these iconic teams and emphasized Bell’s commitment to supporting the fan base. The long-term deal with Rogers will enable TSN to continue broadcasting Toronto Argonauts and Toronto FC games through separate agreements with the leagues.
MLSE, previously valued at $8.7 billion by Forbes, boasts an impressive portfolio that includes the Toronto Maple Leafs, Toronto Raptors, Scotiabank Arena, OVO Athletic Centre, TFC, the Argonauts, BMO Field, and the Toronto Marlies. Rogers president Tony Staffieri hailed MLSE as a top-tier sports and entertainment organization, expressing pride in expanding ownership of these esteemed sports teams and vowing to unlock further value for shareholders.
Notably, Toronto billionaire Larry Tanenbaum retains a 20 per cent stake in MLSE through Kilmer Sports Inc. Rogers and BCE possess the option to buy out Tanenbaum by mid-2026, with Rogers widely expected to exercise this right. Additionally, Rogers holds exclusive ownership of the Toronto Blue Jays, a Major League Baseball franchise acquired by Ted Rogers in 2003. After a substantial renovation of the Rogers Centre, the team’s value has soared to a staggering $2.1 billion, according to Forbes.
Industry insiders speculate that Rogers may opt to consolidate its sports assets into a trust managed by Rogers family members. Drawing parallels to the Madison Square Garden Company’s 2015 separation of its sports and entertainment divisions, sources familiar with the matter hint at a potential restructuring within Rogers’ sports portfolio.
This historic deal marks a significant shift in the Canadian sports landscape and underscores Rogers Communications’ formidable presence in the realm of sports and entertainment. With the power dynamics in the industry undergoing a seismic transformation, all eyes are now on Rogers as they navigate the next chapter of their sports empire.
