Disney Is Closer to Selling Angels

The Walt Disney Co. could be days away from announcing an agreement to sell the Angels, for little more than half the original asking price.

Phoenix businessman Arturo Moreno is expected to buy the Angels for $165 million to $180 million. If Moreno completes the purchase, he will become the first Latino to own a major league team.

The other finalists -- real estate developer Frank McCourt and theater operators James and Robert Nederlander -- have not been told their bids were unsuccessful. But Moreno and Disney were described by one source as “inches apart” on a deal, which would be subject to approval by major league owners.

Moreno, 56, is the only finalist bidding as a sole investor. The McCourt and Nederlander bids involve partnerships, which could delay approval by requiring owners to investigate multiple investors. And, with a net worth estimated at $940 million by Forbes, Moreno could easily demonstrate the ability to buy the team and, if necessary, afford sustained financial losses.

Still, as eager as Disney is to transfer ownership -- and operating losses -- to another party, it is unlikely that a deal could be approved as soon as next month’s owners’ meetings, a source said. Commissioner Bud Selig is expected to meet with Moreno this week to discuss the proposed purchase.

Moreno, a former minority investor in the Arizona Diamondbacks, is believed to have given the impression that he would not make immediate or sweeping changes if he bought the World Series champions.

The contract of General Manager Bill Stoneman, the architect of the championship team, expires in October. Stoneman is one of several team executives who have met recently with Moreno; such meetings are typical for any serious bidder. Stoneman declined to comment Monday, as did a spokesman for Moreno.

Disney long ago achieved one objective for buying the Angels -- anchoring the team in Anaheim, and in a sparkling ballpark -- but failed in its desire to start a cable channel that would feature the Angels and Mighty Ducks. In 1999, when the company negotiated to sell both teams, Disney valued the Angels at $300 million.

As the years went on and the losses accumulated, the asking price had dropped considerably. The Angels have not turned a profit in seven years under Disney management, and the company has claimed a cumulative loss of more than $100 million.

Disney had hoped to recoup at least $240 million, its cost to buy the team ($140 million) and renovate Edison Field ($100 million). But the continued losses made that price unattainable at a time corporations would rather sell teams than buy them and individual portfolios have been lightened by sinking stock prices and the collapse of the high-tech sector.

Former Angel president Richard Brown, a consultant to Alabama businessman Donald Watkins during the sale process, said he valued the team at $150 million to $175 million last year, before the World Series run sparked record ticket sales this spring. By selling now, rather than waiting for a potentially higher bid, Brown said, Disney can avoid the chance of that fan bubble bursting.

“I commend them for the timing,” he said. “They could wait six months, but they might not be selling the world champions anymore.”