New ownership potential emerges for the Penguins

Aside from the quality of their roster and potential moves of several veterans in the lineup, one of the main storylines from the Pittsburgh Penguins this summer has been that Fenway Sports Group (FSG), the majority owner of the Penguins franchise, is interested in selling a portion of the team. Up to this point, the former ownership group, led by franchise icon Mario Lemieux, has been the only entity to have expressed interest in purchasing the minority stake, and potentially even the majority share of the franchise should the opportunity arise.

According to Sportsnet’s Elliotte Friedman, another interested party has emerged. The Hoffmann family, composed of David and his son, Geoff, the owner of the ECHL’s Florida Everblades, has thrown their hat in the ring for ownership of the Penguins. Although Forbes doesn’t know the exact net worth of anyone unless personally disclosed, they’ve projected Hoffmann’s net worth to be approximately $2B.

If that’s the case, Hoffmann would likely require external assistance instead of using his assets for a loan, considering the Penguins’ projected value is approximately $1.75B. Lemieux sold the team to FSG in 2021 for a reported $900M, meaning that the franchise has nearly doubled in perceived value in four years.

It could come as a surprise that FSG would be willing to sell the Pittsburgh-based franchise only four years after its acquisition, but it’s not entirely without precedent for the ownership group. In 1999, the group purchased the MLB’s Miami Marlins for $150M, and sold it in 2002 for an $8.5M profit. Due to the exponential increase in the value of sports franchises in the current market, FSG would realize a significant profit if it opted for a full sale.

Still, there is no guarantee that FSG is willing to sell its entire stake in the franchise. Friedman reported that although Hoffmann is interested in purchasing a part of the Penguins, there is still much to be done, and the deal is far from completion. Additionally, considering his ties to the organization and his contributions to the franchise throughout his career, along with their previous agreements, Lemieux and his team might have the advantage despite the new competition.