Fecking hell. Does this mean the Wilpons are all but guaranteed to own the team into next offseason?

Fecking hell. Does this mean the Wilpons are all but guaranteed to own the team into next offseason?

Unless JPM can force bankruptcy through some covenant violation, or MLB pulls its credit, it sounds like it.

The Mets are valued at $500mm?

The Mets are valued at $500mm?

Maybe desperation on the Wilpons' part since their 10 or 20 or whatever it is this week limited partners still haven't bought into the team? With no other options they had to strike a poor deal with the only parties interested in becoming limited partners.

Doesn't SNY have an interest in seeing that the team not freaking suck, and wouldn't this increase that interest?

So it seems that the majority of the 10 limited shares the Mets anticipate selling will either be bought by the Wilpons/Katzs themselves or by other parties that are already insiders. I imagine the others shares went to Steve Cohen (as has been reported) and others of his ilk who see this purchase as a way to put them in the drivers seat when the Wilpons are ultimately forced to sell the team.

The Wilpons will try to portray this as a success. It isn't.

The Wilpons will try to portray this as a success. It isn't.

The Wilpons' ownership share has been considerably diluted, but I don't see how this isn't a success. They basically get free money that is not more debt to cover expenses. They also now have Time Warner as an equity partner now responsible for 16% of the team. They are now sure to get even more favorable television deals. They also still retain the position to further dilute their ownership share while still retaining control of the team, should they need more money, and as an added bonus are diluting their risk at the same time.

They basically get free money that is not more debt to cover expenses.

Functionally, it is debt - reports had it repayable with interest in 3 years.

They basically get free money that is not more debt to cover expenses.

1: It is not free money, first of all a % of it is their own damn money (they own a chunk of SNY you know.
2: It dilutes their Mets ownership interest, sure they still have majority control- but it reduces their future wiggle room
3: It is supposed to be repaid to SNY within 3 years, if not you KNOW that Time Warner and Comcast are going to put the squeeze on

They also now have Time Warner as an equity partner now responsible for 16% of the team.

????? No, Time Warner owns a% of 16%, Time Warner is not liable for any of the Team'/s debts

They are now sure to get even more favorable television deals.

Really? my first thought was that Time Warner and Comcast were now going to make damn sure that the TV deal were going to be more favorable to SNY than even before

They also still retain the position to further dilute their ownership share while still retaining control of the team, should they need more money

Well, they have diluted their ability to do that, plus this deal value the Mets at a lower quantum than their previous attempts at selling minority shares did.

and as an added bonus are diluting their risk at the same time.

diluted what risk?

Essentially this is desperation, they need cash, they really have no minority partners coming on, and this is the absolute most that Time Warner and Comcast would let them pull from SNY...

The Wilpons' ownership share has been considerably diluted, but I don't see how this isn't a success.

They sold 16% of the team for a band-aid that will pay the debt for a year. If that is a success, I don't want to see what failure looks like.

But of course, the real losers are the fans who get stuck in a holding pattern for another year.

If that is a success, I don't want to see what failure looks like.

I think failure was Ch.11 in April. So, it's a success if they're desperate to hold onto the team.

I don't know why they won't sell.

I don't know why they won't sell.

For the same reason Mubarak didn't want to give up the throne. An ex-President-for-Life doesn't get his phone calls returned.

Looks like the de-Wilponization process will be strung out further while the current regime desperately holds on to control, leading to losing seasons played before ever smaller crowds and dwindling TV audiences. Sad.

[11] I think failure was Ch.11 in April. So, it's a success if they're desperate to hold onto the team.

Maybe the Time Warner misheard the Wilpons' plea and thought they were threatening to go "Channel 11" instead.

o it seems that the majority of the 10 limited shares the Mets anticipate selling will either be bought by the Wilpons/Katzs themselves or by other parties that are already insiders

They can't sel the samel shares to outsiders at a $1B valuation while selling shares to a partner at half that price.

real sorry mets fans

looks like all yall stuck for at least another year

looks like all yall stuck for at least another year

On the bright side, at least we get to stay in the National League a while longer.

And come in fifth, at least ten games out of fourth.

Just so I can feel worse, is there any somewhat reasonable scenario in which the Wilpons maintain control of the Mets for another decade plus? The economy continues to improve, a high percentage of the Mets minor leaguers pan out making the Mets a mid80s win team even on a small payroll, court decisions continue to be favorable...

On the bright side, at least we get to stay in the National League a while longer.

Boy, that's a toughie. Getting rid of the Wilpons, and getting the Mets into the hands of capable, well-capitalized owners. Would that be worth going to the American League? Astros fans don't face that choice, because they aren't getting the "capable, well-capitalized owner" as part of the deal.

I guess I honestly just don't get the actions of the SNY partners here. If I were them, I would want the Mets to be competitive on the field, and thus a ratings magnet for the network. That would be my priority. Ratings drives profits. Getting a new partner and getting the Wilpons out serves that purpose. Why should they want to draw this nightmare out, when the very fact that this (the necessity of SNY buying these shares) indicates that there are no other buyers for the shares, and thus that the end could be in sight (a matter of weeks, really) for the Wilpons as they simply cannot finance the losses/payments they have to make. At some level, I suppose it could simply be a case of deciding that if Fred Wilpon wants to continue to dilute his ownership share and thus have less to walk away with when he does, inevitably, have to sell his ownership interest, that's his business. But delay means continued decaying of the product, and I just don't understand why that is in Time-Warner or Comcast's best interest.

[19] I guess I honestly just don't get the actions of the SNY partners here. If I were them, I would want the Mets to be competitive on the field, and thus a ratings magnet for the network. That would be my priority. Ratings drives profits. Getting a new partner and getting the Wilpons out serves that purpose.

IIRC the SNY cableco partners can block any sale of (a part or all) of Wilpon's interest in SNY only if the buyer is a competitor, ie another cableco, etc. However, they have merely right of first refusal on a sale to an outside investor. What if the alternative to this loan to / minority equity purchase of the Mets was for the present SNY partners to meet an outside investor's offer for a piece of Wilpon's share of SNY? How should the present SNY partners have acted then to maximize their long term profits?

At some level, I suppose it could simply be a case of deciding that if Fred Wilpon wants to continue to dilute his ownership share and thus have less to walk away with when he does, inevitably, have to sell his ownership interest, that's his business. But delay means continued decaying of the product, and I just don't understand why that is in Time-Warner or Comcast's best interest.

Getting a piece of the Mets means they will have a say when it is time to sell the team, and they can block cheapskates. Or maybe one of them is planning to acquire the Mets themselves.

I don't think it's complicated. They are buying a significant chunk of the Mets as if the team is worth only $500 million. I suspect that SNY partners feel that the team is worth far more than that, and figured to take advantage of the Wilpons' financial woes to nab basically free money.

[22]

They are buying a significant chunk of the Mets as if the equity in the team is worth only $500 million.

The enterprise value of the team is comprised by much debt and far exceeds $500 million FWIW

On the bright side, at least we get to stay in the National League a while longer.

Boy, that's a toughie. Getting rid of the Wilpons, and getting the Mets into the hands of capable, well-capitalized owners. Would that be worth going to the American League?

Yes. Yes it would. Or sacrificing goats. Anything, really.