Explaining Southern California's economy

How much could LA sports and entertainment giant AEG be worth in a sale?

AEG

In this rendering released by AEG, the proposed football stadium to house a NFL team in Los Angeles, California is seen. Today, AEG's parent company announced that it's seeking buyers for the entertainment and sports group, but L.A. Mayor Antonio Villaraigosa said that the stadium plan will move forward.

Earlier today, the Anschutz Corporation announced that it's "exploring" or "planning" a sale of the Anschutz Entertainment Group (AEG) — various media outlets reported the announcement differently — and has hired the the mergers-and-acquistions arm of the Blackstone Group to manage the bids. From the company's statement, however, the objective seems to be to transition "AEG to a new qualified owner," which sounds very much like this is the real deal.

A substantial minority stake in AEG — 49 percent — was nearly sold to Ticketmaster and Cablevision in 2008. The transaction didn't ultimately happen, but it was thought to be worth $200 million, making AEG at the time worth around $400 million in total. [UPDATE: I misread the NYTimes DealBook report from 2008 — AEG wasn't thought to be worth $1 billion at the time.]

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Mark Cuban doesn't like smartphones

Mercer 18597

Robyn Beck/AFP

Joel Anthony (R) of the Miami Heat defends against Dirk Nowitzki (L) of the Dallas Mavericks during Game 4 of the NBA Finals on June 7, 2011 at the AmericanAirlines Center in Dallas, Texas.

At Dallas Mavericks games, anyhow. The somewhat hyperactive Mavs owners and semi-regular blogger writes about how he's always getting pitched about ways to bring smartphones into the Mavs game experience — and why he wants no part of it:

We in the sports business don’t sell the game, we sell unique, emotional experiences.We are not in the business of selling basketball. We are in the business of selling fun. We are in the business of letting you escape. We are in the business of giving you a chance to create shared experiences. I say it to our people at the Mavs at all time, I want a Mavs game to be more like a great wedding than anything else.

Bottom line is that he wants you looking up, not down, at almost all times. And he goes on to describe a pretty wild wedding. You wouldn't have time to do some appy smartphone things at such a wedding...er, Mavs game even if you wanted to.

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