Who is Redbird Capital?

I don't know which they have most of but they are well stocked in Brains and Money.

I think you are correct that the CFL needs money more than Redbird needs the CFL.

I don't think the owners want to sell but they have very little options as far as I can see. The situation reminds me of Canadair and their regional jet. They don't have the money to get the product to market.

People tend to forget that the CFL has taken fans and broadcaster's money last year and spent it. Not only are most teams broke, they owe a year's revenue before they can make a clean dollar.

1 Like

Why did Redbird even bother with the XFL? Right now, they have no assets except for their name. Restarting what existed in 2019 and playing in 2022 is probably going to cost them $100 million. I thought at the time that Johnson, Garcia, and Redbird purchased the league with the intention of flipping it. But then who wants to purchase a league whose fans were McMahon marks at best and q-anoners at worst?

1 Like

I went to both Guardians games and was neither of those. Most fans were 20-30 years old and had a great time. Football in February is a hard sell especially when it cost $40 just to park and the trains weren't running to the stadium. Had they played at Red bull arena we would've had 18-20k a game easily

Dan Barnes of the Calgary Herald interviewed Garcia. She addressed the concern that this partnership is a cash move by the CFL, since it was in financial trouble brought on the cancelled 2020 season. She went on record stating "That's the farthest from the truth, the money concept".

I think a merger is happening. The CFL owners aren't selling their teams. The bankruptcy of the XFL has tainted their credibility and viability to acquire TV deals, stadium leases, players ,coaches, staff, etc.

The CFL can go it alone with a centralize ownership model with MLSE being the sole owner, if it choses to do so. I don't believe the CFL owners and the BOG will sell out a Canadian institute for a few million dollars

It isn't a few million dollars Dave. as a league, it is anywhere between 100 and 200 million dollars and I can't see all nine teams reaching in their pockets and playing the next season basically for free.

What did you expect Miss Garcia to say? This was a PR exercise and I'm sure they are excited about the prospect of growing their league by nine teams and becoming an International brand.

We will know all the details by the time May rolls around and the owners have to mail out plane tickets to their players.

1 Like

I believe that the CFL will have to pay for the 2021 season out of their own pocket. They already avoided doing that by not having a 2020 season. The CFL won't get a bail out from the Federal Gov't again.

I posted a thread that the CFL should explore playing in the US until the league gets the go ahead from the Provinces. Texas is fully opening up . The Texas Rangers are going to open their home opener against the Blue Jays at full capacity. The CFL can play at San Antonio and Austin(has a MLS stadium) to mitigate their losses. They won't pay any taxes there. Ticket sales will in US funds and the conversion to CAN funds would help them get close to break even. Play half the season in Texas and break for two weeks and resume the rest of the CFL schedule in Canada as the rest of the country opens up by August. Make plans now, the CFL can get some games in by mid June

I suspect the Rock's visit is a takeover, not a partnership. This has the earmarks of Vince McMahon's attempt to but the CFL in '99 and move the league to the US. But you are right, we shall see what the end is in this situation in early May

Three parts to the deal .

One money from media deal(s) . This is all on Redbird /XFL .
One (s) with the CFL and one(s) without .

Two the hybrid of rules . Global roster must equal whatever CDN content structure to even out the playing field .

Three there still needs to be some sort of a franchise structure to sell and show the league is not a manipulated TV show . Plus the revenue that is required and the mitigating of risk is a staple to this whole idea of a league and again not a wrestling TV show with new villains each week .

Just my thoughts . The XFL has lot's of work to do to first get a media deal accomplished then sell some sort of independent franchise /centralized revenue consortium established .

1 Like

I don't think that is true but I don't really remember but one thing I do remember

Bombardier did not buy Canadair and boom....put out the regional jet....it was 4 or 5 years before they went with it...They worked to improve what they bought first, then expanded

How about if Redbird funded the 2021 CFL season in exchange for a share of the TV rights if/when a merger or partnership begins. TSN has a ratings clause which pays an increase for expansion teams and ratings over a certain threshold.

Danny Garcia also runs a very successful production company, she could produce some CFL content and sell it to streaming services as well. With a 14-16 team league maybe we'll see CTV or the CBC try getting back in the picture. ESPN would surely pay more than the $500k or so for the USA rights they currently give the CFL yearly.

1 Like

I have no idea what any of this looks like Jonathan. DJ and his Ex picked up the XFL corpse for 15 million, which is relative peanuts compared to what putting the league back online will cost. How much money Redbird is prepared to throw at this is unknown at this time.

1 Like

That was a wise move LOL!

LOL I thought it might derail your thread and go somewhere into the abyss . My idea of humour is not always welcomed or understood .

I may be mistaken but that 15 million only bought him 20%

Looks to me like that was the entire amount. But I can't find the actual filing.

The Rock bought the XFL in a $15 million purchase with RedBird Capital and his business partner Dany Garcia. ESPN reports that early this morning, a bankruptcy court in Delaware has officially approved the sale. US District Judge Laurie Silverstein approved the decision after the XFL settled a dispute over the price with the court’s unsecured creditors committee. The sale will be finalized later this month and includes $9 million in payment of cure amounts.

That could be....but from what i remember The Rock His Ex and Garcia own 20% and Redbird owns 80

So when Push comes to shove..The guy proclaimed as the great savior only owns 7% of the XFL

For the individual owners they would probably vote for the buyout/merger whatever it is.
For the community owned teams, they would have to put it to a vote at a shareholders meeting, that could be problem. Not sure about "running to the government for money" when the community owned teams need money they increase the price of the share and hope more people buy more shares. They need the sale of shares to survive and it's mainly the season ticket holders that buy the shares.

1 Like

The CFL's "governing articles" state that a six vote majority is required to make any changes to the league. If the six privately held teams vote to sell. I don't think there is much the shareholders can do maybe other than to pull themselves out of the deal which probably makes it messy as it changes the value of the transaction but then who would they play? Create a 3 team league?

The wildcard might be MLSE who is owned in part by Bell that owns the TV rights of the CFL but if the league can't go forward is it worth their while to block the transaction? My guess is Redbird would probably be ok with TSN continuing to broadcast games in Canada if they are willing to give up the digital and broadcast rights outside of Canada.

And those are just a few of the details. It is hard to imagine how this marriage can be consumed.

1 Like

One of those influencer moments we now get everywhere ; when I walked into a sport check today who was there on the shelf but the Rock with his brand of sportswear .

I see cobranding opportunities galore but the XFL needs to do some heavy lifting to be capable of accomplishing this huge undertaking in two years .

They need 8 real owners and a media deal that pays them real money not just production costs . They need whoever they partner with to have a stake in the league's success so they can't run when the ratings dip .

Plus if there is a gambling bonanza coming you don't want to be tainted with a TV show pretending to be a league .

1 Like