Ron Burkle, a co-owner of the Penguins, has invested in another professional sports team.
Burkle has acquired a controlling interest in a potential Major League Soccer expansion club, the Sacramento Republic FC. Sacramento currently competes in the Western Conference of the United Soccer League, the same league as the Riverhounds.
"For more than a year, we have worked tirelessly alongside Mayor [Darrel] Steinberg to identify a new lead investor that further strengthens our bid to bring Major League Soccer to Sacramento," Republic chairman and CEO Kevin Nagel said.
"While we held discussions with several potential investors, our focus was, and remains, on finding the right lead investor whose vision for our club and our city best aligns with ours. We are thrilled to announce today that we have found that new lead investor in Ron Burkle."
Burkle has also tentatively agreed to purchase Sacramento's proposed MLS stadium site in downtown Sacramento, as well as a nearby 14 acres to develop an entertainment district.
Should Sacramento join the MLS, the MLS expansion fee is reportedly expected to cost $150 million, and the team's new stadium could cost over $250 million, which would be financed with other Sacramento investors, not just Burkle. A 2020 timetable was originally the hope for an MLS expansion, but that may be out of reach now.
Burkle became a co-owner of the Penguins in 1999. Forbes lists his net worth at $2 billion.
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