RNWK--High-Tech Entrepreneurs Purchase the Professional Bowlers Association Owners to combine television and Internet to expand PBA's worldwide fan base
BUSINESS WIRE - March 22, 2000 10:18
SEATTLE, Mar 22, 2000 (BW SportsWire) -- The Professional Bowlers Association (PBA) board of directors announced earlier this week that the league will be sold to an investment group of entrepreneurs from the high technology industry.
A trio of high-tech experts, former Microsoft Vice President Chris Peters; past president of Paul Allen's Starwave venture Mike Slade; and Rob Glaser, currently chairman and CEO of RealNetworks, have agreed to purchase the PBA and, pending member agreement, will be the sole owners of the professional sports league.
The PBA, an Ohio-based non-profit organization founded in 1958, has nearly 3,000 members and is the acknowledged "major league" of professional bowling. With little or no marketing efforts, the PBA currently realizes higher television ratings than the National Hockey League, Major League Soccer, and the Women's National Basketball League. "We see the PBA as a diamond in the rough," commented Peters. "With even a little bit of marketing and investment, we feel it can achieve dramatic growth."
The PBA is already watched by millions of people worldwide. The sport enjoys a large fan base in Japan, Korea, and Northern Europe. Ownership of the entire league provides the investment group the flexibility to create new ways of comb-ining television and the Internet. The new owners plan to build one of the most innovative sport sites on the Internet, one that will reach out to this worldwide fan base and will use every aspect of worldwide web marketing.
The goal of the investment group is to make bowling into one of the first sports to utilize the power of the Internet and to webcast its tournaments. "Our mission going forward will be `To Entertain the Mass Audience with the Sport of Bowling.' The Internet is probably the most exciting mass audience channel in history," offered Peters.
The new owners will create an office in Seattle that will house the marketing, sponsorship sales, and Internet efforts, while the operations currently based in Akron, will remain there indefinitely. Chris Peters will act as chairman and is actively recruiting a president to run the new business areas and day-to-day operations. Mark Gerberich, the sport's commissioner, will continue in his current position.
"During Mark's tenure as commissioner, the sport has made some tremendous changes and his history and experience with the league is invaluable," commented Peters. "His leadership was instrumental in making this acquisition happen."
"I'm very excited about the future opportunities now available to the PBA and its members," said Gerberich, who's been with the association since 1983. "We received several offers, but the board of directors and myself were overwhelmingly in favor of this one. The team of Peters, Slade and Glaser epitomizes exactly what this association needed in a partner -- savvy investment entrepreneurs."
The group has agreed to purchase the National, Senior, and Regional tours, as well as the association itself including its logos, trademarks, copyrights, and website. With the acquisition, the PBA will become a for-profit LLC. The group has agreed to purchase the PBA for an undisclosed amount but has agreed to pay off all the PBA's debt in full, as well as contribute an extra $1,000,000 in prize money. The investment group has also agreed to fund the league's pension plan. The PBA will be a privately held company, and the new owners are not commenting on other details.
"We consider this a serious investment and plan to manage the association like a start up business," said Peters. "We think with the right expertise and resources behind it, the PBA will have its first real shot at success."
A telephone press conference will be held at 8:20 a.m. Pacific Time, March 22. To listen to or to participate, please call 1.800.230.1092 and ask for the "PBA Announcement" call. It will be available for replay for 24 hours. In addition, a webcast of the announcement will be at 8:00 a.m. and can be viewed live or archived at: www.pbatour.com. |
