Get out your checkbooks, “rich individuals, rivals, sovereign wealth funds, real estate firms, and private equity firms,” according to a memo circulated narrowly by AEG yesterday, owner Phil Anschutz is hoping one of you might buy it! Mind you, it won’t be cheap: although Anschutz sources told Reuters in September that the sports, entertainment, and real estate development group could fetch a whopping $8 billion, they’ve now changed their tune to the price of an additional $2 billion.
Over your sticker shock and ready to read on? Here’s what else we know about how this high-profile deal is shaping up:
Who’s Representing AEG:
Blackstone Advisory Partners, which may sound familiar because they were involved in the sale of the Los Angeles Dodgers. The baseball team sold for $2 billion in early 2012.
Who Might Make A Bid:
Guggenheim Partners, LLC
A privately held, NY-based global financial services firm.
Bain Capital LLC
Yes, that Bain Capital. The asset management and financial services group is based in Boston.
The local billionaire (currently the richest person in Los Angeles), attended a City Hall vote on the downtown football stadium AEG won approval to build last month. He bid unsuccessfully on the Dodgers in 2012.
Liberty Media Corp.
The mixed media company already owns interest in entertainment businesses including Starz, Sirius XM, and Live Nation.
How They’ll Pay:
According to the Reuters report, AEG won’t take American Express. A buyer would need to write a very large check in addition to lining up bank financing.
What They’ll Get:
AEG has developed more than 100 venues, including Staples Center and L.A. Live in downtown, and owns the Los Angeles Galaxy soccer team and the Los Angeles Kings hockey team. Anschutz is reportedly insisting on keeping AEG intact, so those interested only in either real estate or sports holdings should bid themselves adieu.
Photograph courtesy phillips.blogs.com