Showing posts with label No Deal. Show all posts
Showing posts with label No Deal. Show all posts

Thursday, September 01, 2011

Breaking News: David Einhorn is out as minority owner of the team


According to the Daily news, Potential savior of the New York Mets David Einhorn is out as a minority investor in the team.

According to reports , a source familiar with the negotiations for Einhorn to invest $200 million and gain a 33% stake in the Mets, the owner of Greenlight Capital "overplayed his hand" with owners Fred and Jeff Wilpon and Saul Katz and will not invest in the team.

"After months of negotiation, the parties were unable to reach agreement, and Mets Ownership has decided to explore other options," the team said in a statment.

It is unclear if the Mets' owners will seek another investor. Wilpon and Katz are embroiled in a $1 billion lawsuit filed against them by the trustee for the Bernie Madoff Ponzi scheme case, and have faced cash shortfalls in the wake of the litigation.

According to the statement, they "have provided additional capital to cover all 2011 losses and is moving forward with the necessary resources to continue to operate the franchise. Ownership will explore other strategic transactions and is under no financial pressure to do a deal on any particular schedule."

Friday, August 26, 2011

Einhorn/Mets deal, Still not a done deal and won't be in August


According to Mike Ozanian of Forbes,  the New York Mets and hedge fund manager David Einhorn will not close their deal to make the hedge fund manager a minority owner in the baseball team this month.

This deal which was first announced in May, was to get the the money-losing debt-laden baseball team some badly needed cash.



In early July, ESPN.com wrote the deal would would likely close in August. And in case there were still any doubters after the Mets began to cut their payroll by trading closer Francisco Rodriguez, in late July the New York Times reported that the deal between the Mets and Einhorn was essentially done except for the paperwork.

Mike Ozanian has learned that there will be no deal between the Mets and Einhorn in August. People familiar with the matter say the two sides are still on track to come to terms. Meanwhile, the team’s losses on the baseball diamond and income statements continue to pile up.

Ozanian does not know if a deal can get done, but says it's rather obvious that the more greater the team falls into the red, the more leverage Einhorn will have.
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