Billionaire outbids Obama donor for the Outdoor Channel
The Outdoor Channel, a leading hunting and fishing-themed television network, announced Thursday that it plans to sell itself to billionaire sports mogul Stan Kroenke’s company, destroying a merger deal with InterMedia Outdoor Holdings, which is owned by major Obama donor and Huffington Post blogger Leo Hindery Jr.’s private equity fund InterMedia Partners.
Kroenke Sport and Entertainment has purchased the Outdoor Channel for $227 million in an all-cash deal. The Outdoor Channel board considered Kroenke’s bid a “superior proposal” after Kroenke swooped in this week to outbid Hindery.
The Daily Caller first reported last week that Hindery is in the process of buying up and consolidating America’s leading pro-gun media outlets as part of a business plan that has already led to the gutting and virtual destruction of media facilities like the Petersen’s Hunting studio in Minnesota and Barrett Productions in Montana. (RELATED: Obama donor in process of buying up and destroying pro-gun media outlets)
InterMedia Outdoor Holdings currently publishes 17 hunting, fishing, and shooting magazines, including Guns & Ammo and Shooting Times, and owns the gun-culture television network the Sportsman Channel.
Employees of InterMedia and the Outdoor Channel expressed serious concern about the merger, which would allow Hindery to continue consolidating gun-culture media outlets. Outdoor Channel employees were concerned about their job security, prior to Kroenke’s outbidding of Hindery.
“In accordance with the terms of the InterMedia Agreement, Outdoor Channel has notified IMOTSC of its intention to terminate the InterMedia Agreement, subject to IMOTSC’s right to propose, within four business days of such notice, changes to the terms of the InterMedia Agreement that would, in the good faith judgment of the Outdoor Channel board (after consultation with outside legal counsel and financial advisors), cause the KSE proposal to no longer constitute a Superior Proposal,” according to an Outdoor Channel Holdings press release issued Thursday morning.
“At this time the InterMedia Agreement remains in effect, and the Outdoor Channel board has not changed its recommendation with respect to the InterMedia transaction. If the KSE proposal continues to constitute a Superior Proposal after the expiration of such four business-day period on March 12, 2013, Outdoor Channel expects to terminate the InterMedia Agreement and to enter into the merger agreement with KSE. In such event, Outdoor Channel would be required to pay IMOTSC a break-up fee in the amount of $6,500,000,” according to the press release.
Kroenke, who was named after St. Louis Cardinals legend Stan Musial, is the majority owner of the St. Louis Rams and former owner of the Denver Nuggets and Colorado Avalanche sports teams, which are now controlled by his son.