Tribune to sell Chicago Cubs for $845 million
24 Aug 2009
The publisher of Chicago Tribune and Los Angeles Times, Tribune Co, finally ended its two-year mission to sell the Chicago Cubs baseball team late last week, when it signed a definite agreement to sell 95 per cent of the franchise and related assets to the billionaire Ricketts family for $845 million.
Under the agreement, Ricketts will acquire a 95 per cent stake in the Chicago Cubs and related assets, including Wrigley Field, for $845 million.
The assets also include 25 per cent of the cable channel Comcast SportsNet Chicago, which broadcasts the Cub's games.
Tribune, now operating under Chapter 11 since January, (See: Tribune files for bankruptcy protection) had purchased the Cubs and the Wrigley Field in 1981 for $20 million from the Wrigley family- maker of the famous chewing gum Wrigley.
The deal will have to be approved by the bankruptcy court overseeing Tribune's reorganization, and by a three-quarters majority of Major League Baseball's team owners.
''Final closing of the agreement is dependent upon approval by Major League Baseball owners and bankruptcy court approvals. As part of the court's approval process, the entity holding most of the assets of the Cubs franchise will voluntarily file for Chapter 11 protection so that the franchise can emerge free and clear of Tribune Company's financial obligations,'' Tribune said.
