California based Godfather Media Inc. who purchased the Yuma Scorpions, is the owner of its second North American League franchise; Orange County Flyers.
In a press release issued by Godfather Media, they have purchased 60% of the team’s assets.
The Flyers, who are in the midst of their own struggles sat out the 2011 season while negotiating a deal for a new stadium. They are also planning to revert to their old name “Fullerton” when the 2012 North American League season begins.
The Flyers, one of the original Golden Baseball League franchises, remain one of the few Independent teams that continue to battle and make it through year to year. Even though stadium negotiations resulted in an absent 2011, their new owners won’t let that happen this year.
According to Yahoo Finance, Godfather Media CEO Michael Cummings is looking to reward its shareholders;
"This is a great addition to our new business strategy and our goal is to continue to grow rapidly through strategic acquisitions, such as the Orange County Flyers. With this acquisition, we've achieved a significant milestone and I look forward to our continued success. We have acquired an asset, which I believe will yield a significant return to our shareholders."
The investment group on the other hand, will retain “40%, for (i) 12 million in Godfather Media, Inc. restricted common stock”.
Only time will tell if this merger is successful.
According to the Orange County Business Journal, the Flyers annually produce an average $650,000 in revenue but continue to show loses. While the main goal of the Flyers is to possess their own stadium, sustaining this team will continue to be a struggle.
Without that, revenue will continue fall below expectations. Advertising and marketing will only take you so far, and without that revenue stream, rent or lease payments will draw from the bottom line.
Godfather Media is focused on investments in the sports industry and the social media market. But without a legitimate home for the Flyers it will certainly be interesting to see how the long the new owners stay with their investment.
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