Dr G,
Re: Can someone fill me in on why this is performing so poorly in comparason to the other tech stocks?
This may be a factor.
Disney nears deal to sell Angels, Ducks - paper
LOS ANGELES, Sept. 10 (Reuters) - An investor group led by local Internet businessman Henry Nicholas III is close to buying the Anaheim Angels baseball and Mighty Ducks hockey teams from the Walt Disney Co. for $400 million to $500 million, the Orange County Register reported on Friday.
Acquisition talks, widely rumored in entertainment and sports circles and published in newspapers around the country, are near the letter of intent stage, according to the paper.
Disney officials and a spokesman for Nicholas, however, remain tight-lipped on the negotiations, declining to comment on details or even confirm the talks.
The Register reported Michael Eisner, chairman of the Burbank, Calif.-based Disney <DIS.N>, met with the investor group over the Labor Day holiday weekend, and Disney has asked Major League Baseball officials for permission to open the Angels' books to the investor group.
Owners of professional baseball teams are allowed to vote on changes in control of various league teams, and Major League Baseball does extensive background checks on new owners before a vote. Those checks can take months to complete, so a final deal could be far down the road.
Nicholas is a co-founder and chief executive of Broadcom Corp. <BRCM.O>, a maker of specialized semiconductors that allow rapid data communications over the Internet via cable TV and other systems. Broadband is based in Irvine, Calif., south of Los Angeles in Orange County. The Angels and Ducks also are based in the county.
The Register said other investors in the Nicholas-led group included Broadcom co-founder Henry Samueli and Marvin Winkler, chairman of Gotcha International, parent of Gotcha surfwear.
The three are partners Gotcha Glacier, an indoor snowboard and sports park planned to be built next to Edison International Field in Orange County, where the Angels play.
Along with Winkler's wife Sherri, the businessmen are partnered in a company called Broadband Interactive Group, which hopes to develop sports-related content for broadcast over the Internet and television.
Broadcom shares were off $3.38 at $122 by mid-afternoon on the Nasdaq market system, while Disney shares lost about 81 cents to $27.94 on the New York Stock Exchange.
Disney is currently shedding non-core entertainment assets and streamlining operations at several divisions following recent quarters of earnings underperformance and a stock price that lags behind the market.
((bob tourtellotte, 213-380-2014, Los Angeles bureau))
REUTERS
Rtr 16:01 09-10-99
Copyright 1999, Reuters News Service. All rights reserved. Replication or redistribution of Reuter's content is expressly prohibited without the prior written consent of Reuters. Reuters shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.
¸ Copyright 1999, The Nasdaq Stock Market, Inc. All Rights Reserved.
Please read our Disclaimer, Trademarks, and Privacy Statement.
|
