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Vancouver Businessman Tom Gaglardi To Buy NHL’s Dallas Star

The Dallas Stars, the bankrupt National Hockey League team, won court approval to sell itself to Vancouver businessman Tom Gaglardi for about $50 million in cash and $100 million in new debt.

U.S. Bankruptcy Judge Peter Walsh said today at a hearing in Wilmington, Delaware, that he will approve the sale as part of the Stars’ prepackaged restructuring plan. The plan was negotiated with creditors before the hockey team sought bankruptcy protection about two months ago.

Gaglardi, a Vancouver-based businessman, and his family own Sandman Hotels, Inns & Suites, Denny’s Restaurants and the Western Hockey League’s Kamloops Blazers, according to court documents.

Under his offer, an NHL affiliate will be repaid about $51 million it loaned the Stars. Senior lenders owed $250.9 million will be given a new $100 million note, plus an amount of cash to be calculated later. Another group of lenders owed $146.2 million will get $500,000 in cash.

The Stars canceled a bankruptcy auction that was set to take place Nov. 21 after failing to receive any other offers.

After relocating to Dallas from Minnesota in 1993, the franchise made the postseason 12 times in a 14-year span, including back-to-back appearances in the Stanley Cup Finals in 1999 and 2000. Dallas won its lone NHL championship after the 1998-99 season, led by Mike Modano, Joe Nieuwendyk, Brett Hull and Ed Belfour.

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