Elway’s Bid to Own Franchises Falls Short

A group headed by billionaire Donald Sturm beat out John Elway and a Saudi Arabian princess Monday, winning the chance to bid for ownership of the Denver Nuggets of the NBA and the Colorado Avalanche of the NHL.

The Sturm group offered $461 million for Ascent Entertainment Group’s two teams and its new Pepsi Center arena.

Wednesday, the Sturm group will compete with Bill Laurie and his wife, Nancy, heiress to the Wal-Mart retail fortune, in a live auction to determine the new owner.

Princess Thara Al Saud offered $450 million in cash, said Valerian Butler Smith III, chairman of New York-based Ashland Capital Holdings and the princess’s principal investment manager.

Elway’s business manager, Jeff Sperbeck, declined to reveal the amount of the bid submitted by the retired Denver Bronco quarterback, Denver financier Bjorn Erik Borgen and Colorado ski mogul George Gillett.