According to the Los Angeles Times, the Anschutz Company announced Tuesday that the Anschutz Entertainment Group, a subsidiary of Anschutz Co,. is being put up for sale.
AEG is an icon in the Los Angeles sports and entertainment industries. The sale of AEG could be the largest sports-based transaction of all time, topping the current record-holding $2 billion sale of the Los Angeles Dodgers earlier this year.
Here's everything you need to know about AEG being put up for sale.
Philip Anschutz and the Los Angeles Kings
According to reuters.com, AEG's sale could be worth several billion dollars. Why so much? Here are some of AEG's assets:
- Los Angeles Kings (NHL)
- Los Angeles Lakers (NBA)
- Los Angeles Galaxy (MLS)
- Houston Dynamo (MLS)
- Reading Royals (ECHL)
- Ontario Reign (ECHL)
- Manchester Monarchs (AHL)
- Hammarby Fotboll (Swedish Football)
- Staples Center (Los Angeles)
- L.A. Live
- Home Depot Center (Carson)
- The O2 (London)
- Barclays Center (Brooklyn)
- Target Center (Minneapolis)
- Sprint Center (Kansas City)
- Rose Garden Arena (Portland)
- Mercedes-Benz Arena (Shanghai)
- Allphones Arena (Sydney)
- Coachella Valley Music and Arts Festival
- Stagecoach Country Music Festival
- Michael Jackson's This Is It Tour
- AEG Live
For a full list, visit AEG's website.
AEG has been a huge backer of bringing an NFL team to Los Angeles. In fact, AEG is known as one of the biggest supporters and contributors to the development of Farmers Field in downtown Los Angeles.
No one knows exactly what the sale of AEG means for bringing an NFL team to L.A. in the future; all it does is create a sense of uncertainty. Will the new owner be more excited than Philip Anschutz to bring football to L.A.?
Los Angeles mayor Antonio Villaraigosa, who has worked closely with AEG president Tim Leiweke and Anschutz, said (via the Los Angeles Times):
I have the commitment from both of them that this sale will not affect plans for an NFL team to return to Los Angeles in the near future and will not affect my support for moving ahead with Farmers Field and the Convention Center site.
Maybe with a new owner who is fully committed to bringing football to L.A., the dreams of Los Angeles football fans will be realized sooner rather than later.
The Los Angeles Times reports that Patrick Soon-Shiong is currently "exploring the purchase of AEG."
If that name sounds familiar, it should. Soon-Shiong joined Steven Cohen's bid group to purchase the Dodgers earlier this year.
Anyone who participated in bidding for the Dodgers must have a pretty large amount of money, and indeed he does. Soon-Shiong has a net worth of about $7.2 billion, according to Forbes.
To put that in perspective, Philip Anschutz has a net worth of $7 billion, and Nets owner Mikhail Prokhorov's net worth is $13.2 billion.
In addition, Soon-Shiong bought Magic Johnson's minority ownership in the Lakers in 2010, so if he ended up with the reins of the AEG empire, he would be adding to his Lakers ownership.
Although it is still very early to speculate on who AEG will be sold to, Patrick Soon-Shiong sure looks like a great candidate.
Another report (via marketplace.org) says that the same group that bought the Dodgers, Guggenheim Partners, may also be in the hunt to purchase AEG. The report also states that Soon-Shiong may be in Guggenheim's investment group this time around.
The sale of AEG is no doubt a huge surprise. Los Angeles sports fans will surely wonder what the future holds for the Kings, the Galaxy and, of course, the prospects of an NFL team in the City of Angels.
The timing of the sale is somewhat peculiar, though. After championships by both the Kings and the Galaxy, it seems as though both teams are ready to continue their success. However, the sale may just be a case of "selling high."
As more and more about the sale of AEG unfolds, sports fans around the world will be watching closely; this will be game-changing in the sports and entertainment world.
What are your thoughts on Anschutz Co. putting AEG up for sale? Who would you like to see be the new owner? Share your thoughts below!