Ottawa Senators sold for record price to Michael Andlauer

[mikecubs]

Ottawa Senators owner Eugene Melnyk, 62, dies from illness

Ottawa Senators owner Eugene Melnyk has died from an illness, the team said Monday night. He was 62.

The team announced Melnyk's death with a statement from his family that mentioned "an illness he faced with determination and courage.'' The statement did not explain what the illness was, and a team spokesman did not immediately respond to a message seeking additional details.

Melnyk had a liver transplant in 2015 after a public campaign for a donor. He had owned the Senators since 2003, when he bought the NHL club for $92 million. Ottawa reached the Stanley Cup Final in 2007, losing in five games to the Anaheim Ducks.

The Toronto native was involved in other businesses around Canada and in 2010 had an estimated net worth of $1.21 billion. Melnyk bought the Senators after Rod Bryden's deal to reacquire the franchise was unsuccessful.


Eugene Melnyk had owned the Senators since 2003, when he bought the NHL club for $92 million. The team made its only Stanley Cup Final appearance while under Melnyk's ownership, in 2007. Phillip MacCallum/Getty Images
"The National Hockey League mourns the passing of Ottawa Senators owner Eugene Melnyk,'' NHL commissioner Gary Bettman said in a statement. "The words 'passion' and `commitment' define the man who has owned the Ottawa Senators since 2003.

"While successful in business, it was our game and his Senators that he was most passionate about. Eugene was often outspoken but he maintained an unwavering commitment to the game and his roots and he loved nothing more than donning a Senators sweater and cheering on his beloved team. On behalf of the entire National Hockey League, I extend my deepest sympathies to Eugene's daughters, Anna and Olivia, his extended family, and all those who benefited from his generosity.''

Senators captain Brady Tkachuk said in a tweet: "Mr. Melnyk provided me, my teammates, and many Sens players who came before us with an opportunity to live out our dream. The Ottawa community will miss you greatly. Condolences to your family.''

Melnyk was also a successful thoroughbred horse-racing breeder, twice being named Canada's top owner. His horses won all three legs of the Canadian Triple Crown, including Archers Bay capturing the '98 Queen's Plate and Prince of Wales Stakes en route to being named Canada's champion 3-year-old male.

In 2013, Melnyk reduced his horse-racing operation and went from breeding to purchasing yearlings and racing those instead. Melnyk was inducted into the Canadian Horse Racing Hall of Fame in 2017.

www.espn.com/nhl/story/_/id/33619056/ottawa-senators-owner-eugene-melnyk-62-dies-illness

[mikecubs]

Ottawa Senators’ dream of playing in a new downtown arena is very much alive again

A trio of longtime Ottawa reporters sat so close behind Eugene Melnyk in the packed NCC board room, we could have tapped him on the shoulder.

And when he heard the winning bid announced, “RendezVous LeBreton! … ,” the Senators owner looked visibly stunned. He mumbled something like, “I’m surprised,” before shaking the hand of the man sitting next to him, then-Senators president Cyril Leeder. Leeder, a co-founder of the franchise, was the architect of the Senators portion of a bid to build a new arena on LeBreton Flats, a low-lying, 21-hectare parcel of undeveloped land near the Ottawa River, just west of Parliament Hill.


The year was 2016, decidedly pre-COVID, and so reporters comfortably formed large scrums around the principals involved – Melnyk, his new business partner, John Ruddy of Trinity Developments and Ottawa mayor Jim Watson.

They all said essentially the same thing – there would be a ton of work involved, including negotiations with First Nations peoples (LeBreton sits on traditional Algonquin land) and costly toxic waste removal to resolve, but that the Senators could be playing in their new arena as early as 2021 or 2022. The arena, of course, was just one aspect of the multi-purpose, multibillion-dollar project.

Fast forward six years, and the most stunning development of all is not that the arena didn’t get built, but that the entire concept, which fell apart in a string of disputes and lawsuits, could be revived this year, just around the time the Senators once imagined christening their beautiful new building.

As Ottawa Citizen columnist Kelly Egan wryly noted, it’s appropriate that the NHL rink at LeBreton concept is being discussed just before Easter, “when thoughts turn to resurrecting the dead.”

Indeed, on the agenda for Thursday’s National Capital Commission meeting is a planned 30-minute update of the LeBreton development situation, which is expected to include mention of a potential NHL arena. That in itself is remarkable. The plan was officially declared dead in the water in late February 2019 – and the three-plus years of planning, discussion and delays had cost the NCC $2 million in legal costs, salaries, benefits and fees.


It’s a wonder the NCC hasn’t washed its hands of the entire idea at this point.

But here’s the thing. The NCC, better known in these parts for sitting on its hands, has long been wanting to do something “bold” and grand with that land, rather than a piecemeal development on a smaller scale, with condos, green space and commerce.

What first attracted the NCC to the RendezVous LeBreton bid, as opposed to the rival Devcore Canderel DLS Group proposal, was that the Senators provided a vital tenant for its arena plan – the NHL Senators. They were a package deal – a famous tenant made up of millionaire players in a glitzy new venue, to serve as a draw for both visitors to the region and people living and working here, including along the LRT line being developed near the south shore of the Ottawa River.

That much hasn’t changed. Melnyk’s death last week only enhances the probability of a new arena downtown because of the new range of possibilities regarding ownership and future business partnerships.

As much as Melnyk was rightly lauded with tributes for rescuing the franchise from bankruptcy in 2003 – at a very good price – he was not in the habit of making friends with the Ottawa business community.

Sens and OSEG join forces

During his 19 years as owner, Melnyk had very public conflicts with the mayor, the city of Ottawa, and with the Ottawa Sports and Entertainment Group (OSEG, which includes John Ruddy, Roger Greenberg, William Shenkman and John Pugh as partners – respected Ottawa corporate giants with deep local roots. OSEG operates the CFL Redblacks and OHL 67’s).

This just in: One week after Melnyk’s passing, the Senators and OSEG have joined forces to submit a bid to host the 2023 IIHF World Junior Hockey Championships. It’s a whole new world, people. That Sens-OSEG partnership, which submitted the bid to Hockey Canada Tuesday, was a last-second shift away from a proposed joint bid with Quebec City, a liaison that fell apart when a story leaked in La Presse about the Senators planning to play five regular season games in QC next season.

This is just one example of the ground shifting mightily in Ottawa.

How the ownership takes shape in the weeks to come remains to be seen, but even before Melnyk’s passing it is believed the Senators submitted “an expression of interest” by the Feb. 28 NCC deadline regarding developing two parcels of land within LeBreton, one of which was designed for a major event venue, such as an NHL arena.

That submission will surely be discussed Thursday, as the NCC begins the procurement process, either negotiating with a shortlist of bidders, or with a single, individual bid. Surely the door is now open for OSEG, or at least Ruddy, to be a part of that process again.

As much as other potential bidders may have great ideas, we repeat, the Senators have the ace in the hole – the NHL team as a tenant.

Combine that with what we know:

• NHL under commissioner Gary Bettman wants the Senators to thrive in a more central location in a new building to replace a 26-year-old facility in Kanata.

• The Senators want to be downtown.

• Whatever shape the new ownership takes will want to be downtown.

As a source with intimate knowledge of the situation told me, “any new owner is going to want the team at LeBreton for the long-term health and valuation of the club.”

Even if Melnyk’s daughters, Anna and Olivia, in their early 20s, decide to honour their father’s wishes by keeping the team in the family, a strong chance exists they would take on a significant minority partner; something their father showed no interest in doing.

Fresh ideas, fresh capital and a fresh opportunity to build new liaisons between the hockey club, the NHL and the broader Ottawa-Gatineau community, adds up to a great deal of potential for something special to happen.

“I can’t wait to build that stadium, very quick,” Melnyk said, back in 2016.

Building it, “quick” left the barn a few years ago.

Building it, period, is still very much on the table.

www.sportsnet.ca/nhl/ottawa-senators-dream-of-playing-in-a-new-downtown-arena-is-very-much-alive-again/

[Bruinsfan]

Minority partner makes sense especially considering some major investments that will be needed if the team is going to build a new arena. Curious to know what a relocation fee would even be.

[mikecubs]

Apr 19, 2022 12:36:33 GMT -6 Bruinsfan said:

Minority partner makes sense especially considering some major investments that will be needed if the team is going to build a new arena. Curious to know what a relocation fee would even be.

I think his 2 college age daughters inherit the team so I think there will be a sale.

[ekjet72]

May 9, 2022 9:08:39 GMT -6 mikecubs said:

Apr 19, 2022 12:36:33 GMT -6 Bruinsfan said:

Minority partner makes sense especially considering some major investments that will be needed if the team is going to build a new arena. Curious to know what a relocation fee would even be.

I think his 2 college age daughters inherit the team so I think there will be a sale.

Mike I saw an article that implied he foresaw his "horizon" and wanted the kids to run the club. So he had them learn on the job so to speak but they are very young indeed and will need to be protected from the sharks circling in the waters around their legs and indeed even in their trusted inner circle. Life will be interesting over there.

[mikecubs]

May 9, 2022 9:36:23 GMT -6 ekjet72 said:

May 9, 2022 9:08:39 GMT -6 mikecubs said:

I think his 2 college age daughters inherit the team so I think there will be a sale.

Mike I saw an article that implied he foresaw his "horizon" and wanted the kids to run the club. So he had them learn on the job so to speak but they are very young indeed and will need to be protected from the sharks circling in the waters around their legs and indeed even in their trusted inner circle. Life will be interesting over there.

Thanks, I didn't realize that. I can't see them being able to navigate a downtown arena.

[mikecubs]

New Ottawa arena site may be in play after Senators sale

We may see a new Ottawa arena site proposed for the NHL’s Senators, with the preferred downtown LeBreton Flats site potentially at risk with new team owners and a new mayor in office.

The appeal of LeBreton Flats as a new Ottawa arena site has been its downtown location: downtown sites have been trendy in terms of new arena sites, due to the potential of associated development as part of the construction process. (See: Edmonton for an example of a new arena fueling downtown development.) The site was backed by NHL Commissioner Gary Bettman as a preferred location.

However, it sound like LeBreton Flats’ status as a preferred new Ottawa arena site may be slipping. During a recent visit, Bettman hedged a little when it came to a discussion of a new arena, warning that plans may change after developers warned it would be hard to monetize a relatively small parcel with associated development. In addition, new Mayor Mark Sutcliffe mentioned several other potential sites for a new arena, including Bayview Yards (near LeBreton Flats), RCGT Park and the Hurdman transit hub south of the stadium.

In the end, the new owners will be guiding the new-arena development, and the sale of the Senators has attracted plenty of attention from potential investors, including actor and entrepreneur Ryan Reynolds. This reality was acknowledged by Bettman during his annual visit to Ottawa:

“There’s going to be a new owner and that new owner is going to figure out what makes the most sense,” Bettman said….

That 2.5 hectare parcel of land set aside for a major events centre at LeBreton “struck me as being a little small,” Bettman told reporters.

“You need parking. You want to make sure you can build the arena big enough to have all the loading docks and TV hookups that make a building really accessible.”

arenadigest.com/2023/03/29/new-ottawa-arena-site-may-be-in-play-after-senators-sale/

[mikecubs]

Michael Andlauer to purchase Ottawa Senators for record price

The board of directors of Senators Sports & Entertainment announced Tuesday that a group led by Michael Andlauer has entered into an agreement to purchase the controlling interest of the Ottawa Senators.

Although the board has not disclosed the terms of the deal, multiple reports put the purchase price at nearly $1 billion.

The transaction next goes before the NHL's board of governors, to whom Andlauer is familiar. He owns a 10% stake in the Montreal Canadiens and is an alternate governor. He also owns the Ontario Hockey League's Brantford Bulldogs.

Andlauer, 57, would divest his stake in the Montreal franchise before being fully approved to take over the Senators. He agreed to terms of the sale, which prohibited moving the team from Ottawa, and shared plans for a new arena as part of his bid.

"My family and I are very excited to be part of the Ottawa Senators Hockey Club," Andlauer said in a statement. "I believe that the Senators' fanbase is one of the most passionate in the league, and I'm excited to take the franchise's success -- both on and off the ice -- to the next level.

"The short- and long-term future of the team is incredibly bright, and I look forward to getting to know the team, the fanbase and the community."

"Michael represents everything we could have hoped to find coming into this process -- a passionate owner who is committed to Ottawa," said Sheldon Plener, chairman and governor of the Senators.

Andlauer's offer edged a joint effort by Jeffrey and Michael Kimel of Harlo Capital to purchase the Senators. The Ottawa Sun reported that the bid submitted by Los Angeles-based producer Neko Sparks was "underfunded," and Toronto-based billionaire Steve Apostolopoulos dropped out of the bidding.

Previous owner Eugene Melnyk purchased the team out of bankruptcy in 2003. He died in March 2022, and his daughters, Anna and Olivia Melnyk, inherited the franchise. They will retain a 10% interest in the club.

Andlauer is the CEO of the Andlauer Healthcare Group Inc. and has 35 years of experience in the transportation industry in Canada. He also founded Bulldog Capital partners, a merchant bank based in Toronto.

One of seven NHL franchises based in Canada, the Ottawa Senators returned to the league in 1992 after a 58-year absence. The modern-day Senators have captured four titles in the Northeast Division and, in 2002-03, a Presidents' Trophy.

www.espn.com/nhl/story/_/id/37846661/billionaire-michael-andlauer-purchase-ottawa-senators