The Denver Broncos are expanding their ownership reach into baseball by buying a 40-percent share of the Rockies.
The Denver Broncos ownership group is making a big move into the local baseball market, buying a minority share in the Colorado Rockies, in a move that Patrick Saunders of the Denver Post described as a “seismic shift” for the Rockies.
The Penner Sports Group is the family entity formed by Greg and Carrie Walton Penner that holds a large stake in the Broncos, and now they’ll hold a 40 percent stakes in the Rockies, according to Saunders. The move was announced today by Rockies chairman and CEO Dick Monfort and owner/general partner Charlie Monfort.
Greg Penner will continue in his role as Broncos CEO, while Carrie Walton Penner, who is his wife, will also continue in her various roles with the team. According to a source Saunders used, the Penners will have no day-to-day involvement in running the Rockies.
“We are excited to expand our commitment to the Denver sports community through a minority partnership with the Colorado Rockies,” the Penners said in a prepared statement. “This investment from Penner Sports Group reflects our deep appreciation for what the Rockies mean to this region, the passion of their fans and our confidence in the future of the franchise.”
According to Forbes, the Rockies are valued at $1.68 million, which is 25th in value among major league teams. The investment of the Penner Sports Group has been formally approved by MLB.
The Penners’ investment is expected to help the Rockies by giving them more resources to navigate what Saunders called “baseball’s current, uneven financial landscape, as big-market teams like the Los Angeles Dodgers and New York Yankees have consistently outspent mid-market teams like the Rockies.
According to the Rockies, this move will allow the franchise to retire all outstanding debt while providing more working capital for the baseball franchise.
The Monforts will also continue in their current roles, with Dick Monfort’s son Walker remaining as the Rockies president tasked with running day-to-day operations.
“Speaking personally, on behalf of Charlie and our family, our other partners and the organization, we’re excited to welcome Greg and Carrie Penner into the Colorado Rockies ownership group,” Dick Monfort said in a statement. “I’ve had the pleasure to build a strong relationship with Greg and Carrie over the past few years. For many reasons, including their recent success with the Broncos, we know we are gaining much more than just financial support in this partnership with Penner Sports Group.
“Greg and Carrie have proven that they share the same passion for our region and a strong commitment to compete at the highest level. We are thrilled to add them to the Colorado Rockies’ ownership group as we best position this franchise for long-term sustained success.”
Negotiations for this transaction have reportedly been ongoing for months, and it will be interesting to see if there’s any crossover in the methodologies and business practices used to run these two sports entities. The hope for local fans is that the Rockies learn some things from the Broncos, who have become one of the better-run organizations in the NFL in the last couple of seasons.