Former Walmart chairman Robert Walton‘s Walton-Penner Family Ownership Group bought the Denver Broncos for $4.65 billion. It’s the most costly sports franchise sale ever. Chelsea Football Club of the Premier League sold for $3.13 billion in May. Amazingly, the Broncos broke the record by 48.6%.
Joe Ellis, Broncos CEO, and the president said he’s loved getting to know Rob Walton, Carrie Walton Penner, and Greg Penner. I’m convinced that their leadership and support will help the Denver Broncos achieve great things on and off the field after learning about their background and vision.
“While this purchase and sale agreement is requiring NFL finance committee and league ownership approval, today represents an important step in Broncos history.”Ellis is technically accurate that the sale is still seeking clearance, although it would be odd if the NFL’s other owners or finance committee opposed Walton.
“We’re pleased to buy the Broncos!” Carrie, Greg, and I are inspired by the opportunity to steward this outstanding business in a dynamic town with passionate fans,” said possible new owner Rob Walton. As Coloradans, we’ve always adored the Broncos. Our excitement has risen as we’ve gotten to know the squad, staff, and Broncos Country. Mellody Hobson, co-CEO of Ariel Investments and chair of Starbucks’ board, will join the Walton-Penner Family Ownership Group’s quest to buy the company.
Walton-Penner beat Josh Harris, Jose E. Feliciano, and Mat Ishbia to win the Broncos’ bid. The Walton-Penner group bid between $4.35 billion and $4.55 billion, according to a source.
The Pat Bowlen estate trustees and their sales reps chose the Walton group since it didn’t need any partners to reach $4.5 billion, although it will have limited partners to diversify. Three bidders needed investors to reach $4.5 billion.
The agreement was made 30 hours after the final bids were presented at 3 p.m. when the Waltons upped their offer to $4.65 billion. Greg Penner and Carrie Walton-Penner will run the Broncos day-to-day. Greg and Carrie met as freshmen at Georgetown and then earned master’s degrees at Stanford. Once from Atherton, Calif., they now have two houses in Colorado. And the idea is to stay there. Three generations of Waltons will own the Broncos, making it a family-run enterprise.
“I appreciate our football leadership, administrative team, and staff at UCHealth Training Center and Empower Field at Mile High in recent months and years. Allen & Company and Proskauer Rose supported us through this procedure efficiently.
“While this purchase and sale agreement is requiring NFL finance committee and league ownership approval, today represents an important step in Broncos history.”
As Ellis said, the NFL finance committee will analyze and approve the Walton-Penner sale. In six to two months, a special league meeting is expected. 24 of 32 owners must approve Walton-takeover Penners at the league meeting. Rob Walton’s cousin, Los Angeles Rams owner Stan Kroenke, should vote.
Mellody Hobson, a corporate executive, also joins Walton. She, Rob Walton, and the Penners were the only investors in the winning bid.
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Rob Walton and Greg Penner commented, “We’re excited to buy the Broncos!” Carrie, Greg, and I are driven to lead this excellent organization in a lively, passionate community.
As Coloradans, we’ve always adored the Broncos. As we’ve learned more about the team, personnel, and Broncos Country, our excitement has risen.
Mellody Hobson, co-CEO of Ariel Investments, has joined our ownership group. Mellody is a leader in corporate and civic organizations nationwide.
Mellody chairs Starbucks’ board and is a JPMorgan Chase director. She’ll contribute strategic insight and leadership to our team. “Thanks to Joe Ellis and the Broncos staff for the first-class sale process. Hogan Lovells provided advice and support.
Our next step in this process is to earn the NFL’s trust and support. We look forward to the next step.” Our family is eager to share more with Broncos fans, the organization, and the community when the required approval requirements are satisfied.”
So, who stands to gain from the $4.65 billion in cash up front? Pat Bowlen’s brother, John Bowlen, will get 22% of the money, which is $1.023 billion. Pat’s seven children from two marriages will each receive 11.14 percent of the remaining 78 percent, or a total of 78 percent. That leaves each child with $518,010,000 in savings.
To save money, do what you can. Improve Your Quality of Life. To this day, the Walmart discount chain lives by this credo, and it’s made several members of the Walmart family multibillionaires. Also, be prepared to pony up $4.65 billion if required to acquire the Denver Broncos.
The late Sam Walton’s eldest son, Rob Walton, is the head of Walmart, the cheap retail chain he created. It has since been modified to “Always Low Prices” as the company’s motto. To “Save Money. Live Better,” in 2007.