Rogers buys controlling stake of Toronto Maple Leafs for $3.5 billion

For the first time since 2012, the Toronto Maple Leafs will enter a season under the control of one majority owner.

Rogers Communications entered into an agreement to purchase 37.5 percent of Maple Leaf Sports and Entertainment (MLSE), the parent company of the Leafs, from rival Bell Canada Enterprises on Wednesday in a deal that will double Rogers’ equity in the business to a controlling 75 percent in exchange for $3.5 billion USD. News of the massive transaction was first reported by Sportico.

Rogers and Bell, Canada’s two telecom conglomerates, had each owned 37.5 percent of MLSE since buying the principal stake from the Ontario Teachers’ Pension Plan in 2012. Larry Tanenbaum controls the remaining 25 percent of MLSE.

The deal, which also includes controlling stake in Scotiabank Arena, the NBA’s Toronto Raptors, the MLS’ Toronto FC, the CFL’s Toronto Argonauts and the AHL’s Toronto Marlies, puts a total valuation of MLSE at $9.3 billion USD. Rogers already completely owns the MLB’s Toronto Blue Jays and Rogers Centre.

This is a significant change for the future operation of the Leafs. It was not unusual for there to be friction among the board of MLSE, as the stakeholders – those nominated to the board to represent Bell and Rogers’ voting interests – did not always agree on issues, including how they saw and evaluated team personnel and front office staff. The NHL’s 900-pound gorilla, the league leader in revenue and eyeballs, the Maple Leafs have been run as a corporate entity with a board for the last 20-plus years, which some critics say has impacted their on-ice success.

With Bell exiting the business, it will be interesting to watch what kind of stamp – if any – Rogers elects to put on the Leafs. As part of the transaction, Bell said it secured a regional television rights package for TSN to air Maple Leafs games for the next 20 years, continuing to broadcast approximately one-third of the Leafs’ schedule as they have since 2014; however, that has not been formalized yet, as Bell has the option to renew long-term at fair market rates once the current regional broadcast agreements expire.

“MLSE has been fortunate to have one of the very best ownership groups in sports and entertainment for many years and it has led to MLSE becoming one of the leading organizations in our industry,” MLSE president and CEO Keith Pelley said in a statement. “As an organization, we are grateful for their contributions, and we remain fully focused on our priorities and further driving a championship mentality across MLSE.”

The sale is expected to close in mid-2025, and league approvals are required.