Adrian Richard Creedon
Two months ago

Perth Wildcats sold for $8.5m

Perth Wildcats Sold TO Ballpark Ent. Pty LTd $8.5 Million

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Anonymous  
Two months ago

Yep see other link for more detail ...

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Anonymous  
Two months ago

My takeaways from the announcement:

- SEG to acquire 100% of the Wildcats (was previously spoken of as a "consortium");
- SEG to divest their ownership of Melbourne United, Hutchison has stepped down as Chairman;
- Purchase price of $8.5 million;
- Wildcats acquisition expected to deliver "positive but immaterial" earnings to SEG (i.e. they make a small profit);

Reply #857439 | Report this post


Anonymous  
Two months ago

Very cheap, I'd think 12 mill.

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Bol  
Two months ago

Yeah that does sound cheap.

But it sits more comfortably with me now that SEG has divested their ownership of MU.

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Bol  
Two months ago

A lot of fans not happy with a Victorian owning the club. Im sure he already realises the profits only start rolling in around game 3 of the GF series and thats when its not a Covid affected season. Unless hutchy plans to really cut back on spending and rely on the passionate supporter base to continue filling out perth arena which will only last so long and then we'll be left with nothing but a shell of a great organisation.

Still its a very savvy investment and he's a savvy businessman it would be in his best interest to maintain spending to keep the success going. The NBL is in an upward trajectory and possibly another golden era and he could sell in a few years for a very tidy profit.

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D2.0  
Two months ago

Dr Jack is no dummy, and has very astute people working for him.
Him I trust to have done the right thing.

What they paid for it is immaterial. Wouldn't bother Dr Jack one way or the other, he could wipe his ass on $8.5M.

The question is how much they're prepared to pump in, and how little they are prepared to screw things up.
Presumably there would be ways and means of locking in some security for the organisation. (Although ultimately, over time, they will be able to do as they please, since they are the owners.)

One good thing, is that being a Public Company, there is a higher level of scrutiny, and they will need to abide by any covenants in the agreement.

I guess the question now is who is going to be pulling the strings?
Georgiu is a gopher. Trev would have had a very large say in the team, and somebody higher up in Dr Jack's organisation would have been pulling other strings.

Still, great to see that their first move was to retain Norton, presumably at a decent clip.

I still think its a strange acquisition, but the guys running SEG aren't dummies. (Hutchy is a twat, but a clever one.) Hopefully they wanted the Cats as they are, and will strive to keep them on top.

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Senator11  
Two months ago

I'll reserve judgement until we see how things pan out, optimistically hopeful.

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loungefly  
Two months ago

Hasn't Dr Jack been trying to sell the team for years now and the reason nothings gone through till now is he has very specific terms the new owners must adhere to ie the community programs, players not allowed to swear in public etc (which is also why players don't carry on like CG43 does because the team frowns on it and players are told its their job to play Trev will take on any issues with refs)

At the end of the day you'd be pretty stupid to try changing the running of the team

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LoveBroker  
Two months ago

At the end of the day you'd be pretty stupid to try changing the running of the team


I have been part of several takeovers, mergers in my career.

Without fail, the new management will operate differently, enact different policies even after telling the staff that they believe in the 'current culture' and wish to continue furthering it.

Reply #857530 | Report this post


LV  
Two months ago

[. Im sure he already realises the profits only start rolling in around game 3 of the GF series]

If this is true, why pay $8.5mil for the club?

Reply #857550 | Report this post


proud  
Two months ago

I still find it surprising that Kerry Stokes didn't buy the Wildcats again...

Reply #857567 | Report this post


Perthworld  
Two months ago

Why? He's been there, done that already.

Reply #857569 | Report this post


KET  
Two months ago

Relive the nostalgia?

Reply #857570 | Report this post


Senator11  
Two months ago

I'll put this in here cause it's not confirmed, but apparently we're close to signing Mooney, but he'll have an NBA out clause.

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Bol  
Two months ago

LV i think it was Marvin a couple of years ago that was quoted as saying that they need to make the grand final just to break even due to high stadium costs etc. Im only speculating that they would have run at a loss this year due to the Covid affected crowd numbers.

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Bol  
Two months ago

8.5 million sounds like a pretty good purchase price. No doubt he could sell for more than that when the time comes.

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LV  
Two months ago

What makes someone pay $8.5mil for a business that's breaking even?

Prestige, connections and networking, love of the game?

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Anonymous  
Two months ago


"What makes someone pay $8.5mil for a business that's breaking even?"

They previously paid money for United too and it isn't making profit. I think the return is more indirect for them as it's an opportunity to cross promote their other brands.

Could also be you buy an asset that isn't making much money now but you think it might in the future

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Anonymous  
Two months ago

Where did you hear that senator

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Senator11  
Two months ago

They mentioned it on WA Channel 10 news last night, Lachy is usually pretty spot on.

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loungefly  
Two months ago

Pretty sure Mooney would have had a contract from the Wildcats to look over when he left for US and judging by his comments during the year will sign it and be back once summer league is done, Bucks are the last team that needs another PF/Small ball Center but good experience for him.

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