Current Baltimore Orioles CFO John Angelos has agreed to sell the team to Baltimore native David Rubenstein, according to numerous published reports emerging late Tuesday.
Rubenstein would become the control person of the organization along with fellow businessperson Michael Arougheti, a principal part of the investment group.
WJZ-TV in Baltimore is reporting that Orioles legend Cal Ripken Jr. is part of the ownership group as well.
The deal values the team at $1.725 billion, according to Major League Baseball.
The timeline of the deal is not known yet, but according to WJZ-TV, MLB is anxious to approve the sale, and could do so as early as next week at the MLB owners convention next week in Orlando.
The Angelos family, led by Peter Angelos, have owned the team since 1983, but his son John, has been designated “control person” due to serious health issues with his father.
It has been widely known around Baltimore that Peter Angelos had intended for the team to pass to his wife, Georgia, and then immediately sold upon his death.
According to WBAL radio, Rubenstein and Arougheti will immediately own about 45 percent of the club and then will purchase the remaining stake upon Peter’s death.
What about MASN and that feud with the Nationals?
The Angelos family also owns a majority stake (97 percent) in the Mid-Atlantic Sports Network (MASN), with the Nationals owning the remaining portion.
At the announcement of the sale, it is not known if MASN is included in the deal, but speculation is that it will be at some date.
MLB granted MASN the Nationals’ broadcast rights to compensate Angelos for not blocking a move of the Montreal Expos to D.C. The two franchises have engaged in a protracted court battle over the fees and length of the grant of rights.
So, who is David Rubenstein?
Well, to begin with, he is a Baltimore native, and has a net worth of $5 billion, and is listed as one of the 800 richest people in the world, according to Forbes.
Rubenstein made his fortune as a founder of the Carlyle Group, one of the leading private equity firms in the world. He was once referred to as a person that could take a five-gallon bucket of steam and overnight convert it into a five-gallon bucket of gold.
Most important to Oriole fans is that Rubenstein has deep ties to the city and has given millions back to Baltimore.
He has explicitly stated his intent of purchasing the club was to reinvest back into the community, calling the Orioles franchise “an iconic franchise in Major League Baseball.”
Sale could explain quiet offseason for the O’s
Despite winning an American League-best 101 games last season, the Orioles have not been active at all in free agency, leaving many in the fan base frustrated.
The sale could spur some more action and spending, which should make the fans happy.
Baltimore is loaded with prospects, and currently has the No. 1 rated farm system in MLB. There has been speculation that the Orioles and Chicago White Sox have had ongoing discussions about trading highly-rated pitcher Dylan Cease to Baltimore for multiple Oriole prospects.
The hangup was the apparent unwillingness of Angelos to add a high salary contract to the roster. With deep-pocketed ownership in the future, that could change.
In addition to acquiring the Orioles, new owners get $600 million for ballpark renovations
Back in December, when the Angelos family signed a new long-term lease for Oriole Park at Camden Yards, they gained access to $600 million from the Maryland Stadium Authority, which owns the stadium.
The money is to be used for renovations and improvements to what many consider the gem of all MLB ballparks.
Rubenstein had said earlier that he was interested in purchasing the franchise with or without the Maryland Stadium Authority funds.
What’s $600 million or so for a billionaire?
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