CodeMonkey Posted August 6, 2014 Posted August 6, 2014 because ultimately Pegula won't really have to pay much more than the 2nd highest bid. If, between Trump and John Francis Bongiovi, they can't coax more than a $1b bid, Pegula will only have to commit to $1.01billion. I'm sure they'd rather see it actually go for the $1.3b we keep hearing Pegula pledged. If no one else comes close to that, he purchase price drops. I'm sure morgan Stanley is busting their asses trying to find other bidders, because I think the price of this deal is dropping fast. ps...my speculation of course. That's the way I see it as well (and was speculated upon in a Forbes article recently as well). From 60 NDAs down to potentially 1 bidder. I suspect the location stipulations by the trust turned off a lot of them. And the prospect of keeping the team in Buffalo for a fairly long time would keep the bid amounts down as well. All of this spells fire sale price, and Mr. Pegula could end up getting a hell of a deal. MS I'm sure is doing everything they can to find more bidders. But with the restrictions apparently in place, good luck with that. If Golisano isn't in, I suspect it is because he is confident Pegula will end up with the team and his entry would only drive up the price. He has done business with Pegula in the past, obviously, so why screw him over.
thebandit27 Posted August 6, 2014 Posted August 6, 2014 i wonder if the Toronto group submitted their bid yesterday. was hoping to see the amount leak. unless it was over $1 BIL it's gotta be game over for them at this point. the risk of relocating PLUS the lowest bid? not a good look for JBJ and friends It's almost certainly game over anyway.
eball Posted August 6, 2014 Posted August 6, 2014 The team that he currently owns has gone from middle-of-the-road to rock-bottom under his tenure. I don't believe that is at all the way the Sabres are viewed outside of a certain eccentric fan circle.
K D Posted August 6, 2014 Posted August 6, 2014 It's almost certainly game over anyway. true, but i can't relax until it's official. that announcement could be coming very soon though
CodeMonkey Posted August 6, 2014 Posted August 6, 2014 I don't believe that is at all the way the Sabres are viewed outside of a certain eccentric fan circle. I agree with you. He bought a team that was middle of the road, but on the downward slope. It has now apparently bottomed out, and he is fueling the rebuild. I like this past off season for the Sabres and am looking forward to a season for the first time in several years. Also FWIW, hockey is Pegula's passion. I strongly believe the only reason he is bidding on the Bills is to keep them in Buffalo. I wouldn't expect him to meddle at all in Bills day to day operations or even in draft, FA, etc. except to approve expenditures.
thebandit27 Posted August 6, 2014 Posted August 6, 2014 true, but i can't relax until it's official. that announcement could be coming very soon though Personally, I wouldn't count on hearing that any time soon. The Trust isn't stupid, and as long as there's even a perceived threat from a Toronto group they'll use it--even if it only gains them an iota of negotiating leverage (and it very well may not). On this point, I am speculating. Either way, try to relax and enjoy the process--we'll probably only go through this once in our lives, and the outcome will be worth it.
BuffaloRebound Posted August 6, 2014 Posted August 6, 2014 Thank you! Holy, I feel like I want to cut and paste this into every thread about the sale to stop the "Mary Wilson is greedy, she should call Pegs and end this!" It doesn't work that way and never will. It's a billion dollar plus transaction, there's going to a lot of DD happening which takes time, this isn't a Craigslist transaction... People w Business is business. If true that only 3 groups advanced, pointless to keep Trump and Toronto group around. They are not serious bidders. Bonjovi winning bid would cause riots in Buffalo and Trump even if he truly wants the team probably wouldn't get approval from enough owners. Trust and Morgan Stanley f'd up by treating this sale like this was gonna be an LA Clippers type situation with multiple serious bidders and a sky-rocketing price. You could count on 2, maybe 3 fingers the amount of people capable of paying over $1B and interested in keeping team in WNY. Team is Pegula's if he wants it. Just run the risk of pissing him off and him lowering his bid or pulling it altogether the longer this drags on.
thebandit27 Posted August 6, 2014 Posted August 6, 2014 I agree with you. He bought a team that was middle of the road, but on the downward slope. It has now apparently bottomed out, and he is fueling the rebuild. I like this past off season for the Sabres and am looking forward to a season for the first time in several years. Also FWIW, hockey is Pegula's passion. I strongly believe the only reason he is bidding on the Bills is to keep them in Buffalo. I wouldn't expect him to meddle at all in Bills day to day operations or even in draft, FA, etc. except to approve expenditures. I'm not convinced of that at all--in addition to owning an NFL sports agency, he's an avid football fan: http://espn.go.com/nhl/story/_/id/7325044/buffalo-sabres-owner-terry-pegula-buys-nfl-player-agent-company
K D Posted August 6, 2014 Posted August 6, 2014 Business is business. If true that only 3 groups advanced, pointless to keep Trump and Toronto group around. They are not serious bidders. Bonjovi winning bid would cause riots in Buffalo and Trump even if he truly wants the team probably wouldn't get approval from enough owners. Trust and Morgan Stanley f'd up by treating this sale like this was gonna be an LA Clippers type situation with multiple serious bidders and a sky-rocketing price. You could count on 2, maybe 3 fingers the amount of people capable of paying over $1B and interested in keeping team in WNY. Team is Pegula's if he wants it. Just run the risk of pissing him off and him lowering his bid or pulling it altogether the longer this drags on. that's how i feel. negotiate with Pegula, make that $1.3 BIL official, done deal. they can't expect more than that, especially at this point. anything north of $1 BIL is a great selling price
CodeMonkey Posted August 6, 2014 Posted August 6, 2014 Just run the risk of pissing him off and him lowering his bid or pulling it altogether the longer this drags on. Lower his bid yes, and if what we are reading is true I would be surprised if he did not. Why pay more than you have to? But pulling his bid? Extraordinarily unlikely. He has bought and sold businesses before and I'm sure he understood the process the trust set forth before any of us even heard about it. Unless the trust does something stupid like put a bid minimum at 1.5B he isn't walking away from this.
BRAWNDO Posted August 6, 2014 Posted August 6, 2014 (edited) Not gonna happen. The Trust isn't stupid, and furthermore, El Pegual wants the team. This is simply how huge business transactions go sometimes, and I don't think anyone is getting their feathers ruffled over it. Exactly. Goliasno rebuffed his first two tries to buy the Sabres. Also when he did agree to sell, he dragged out the entire process so Pegula kept upping his offer. IIRC The Buffalo News reported the price of the team went from 170 Million to 189 Million in the last week of closing the deal. Pegula created his company East Resources in 1983 and did not see the financial windfall until he sold it almost thirty years later. He is a patience to see this through to the end Edited August 6, 2014 by BRAWNDO
The Wiz Posted August 6, 2014 Posted August 6, 2014 The team that he currently owns has gone from middle-of-the-road to rock-bottom under his tenure. The funny part is. Fans are happier now that they are rock bottom as opposed to the 3 years it took them to get there.
JohnC Posted August 6, 2014 Posted August 6, 2014 (edited) The team that he currently owns has gone from middle-of-the-road to rock-bottom under his tenure. On the surface it might appear to be at the rock-bottom but from the standpoint of rebuilding the franchise most people are on board with the approach he is taking. Most hockey analysts believe that the prospects stockpiled in the organization are the best or near the best in all of hockey. In a few years this team won't be a fringe playoff but it will be a serious contending team. Pegula and his wife have gained a tremendous amount of credibility because of their large financial committment along canalside (near the current arena) that is coming to fruition. He very much is investing in the community and having a major impact in stimulating additional investment. There is no doubt that the overwhelming fans in the area want him to win the bid for the football team. Since you are located in the heart of Texas what is the public's response to Jerry Jone's pictures with some young maidens? Is he being blackmailed? It just seems odd to me that he would allow himself to pose for these somewhat salacious pictures. What makes these pictures creepy is not the posing but the age discrepancy with the "youngsters." Edited August 6, 2014 by JohnC
Jauronimo Posted August 6, 2014 Posted August 6, 2014 (edited) Business is business. If true that only 3 groups advanced, pointless to keep Trump and Toronto group around. They are not serious bidders. Bonjovi winning bid would cause riots in Buffalo and Trump even if he truly wants the team probably wouldn't get approval from enough owners. Trust and Morgan Stanley f'd up by treating this sale like this was gonna be an LA Clippers type situation with multiple serious bidders and a sky-rocketing price. You could count on 2, maybe 3 fingers the amount of people capable of paying over $1B and interested in keeping team in WNY. Team is Pegula's if he wants it. Just run the risk of pissing him off and him lowering his bid or pulling it altogether the longer this drags on. Again, why would he be pissed off when he knew how the process was going to work all along??? If Pegs had issue with the process then he probably wouldn't have participated from the get go. There are a few steps associated with the bid process. Round 1 just concluded, which consisted of preliminary bids which were not binding. The process was never going to end this week. Bidders who pass round 1 then receive financial statements from the team and get to perform their due diligence. Bids will likely change once the analysts get to pour over the books and look at the earning power of the team. After all qualified bidders have had time to look at the books, there will be another bid deadline. At this point my understanding is that bids will be official. The Trust will deliberate and pick a winner. From what I've read, the Trust has no time constraints as far as making their decision. If I know the process is going to work, then the participants sure as hell know how its going to work. Edited August 6, 2014 by Jauronimo
dpberr Posted August 6, 2014 Posted August 6, 2014 Probably because I'm not a billionaire, I don't see why the Wilson family is dicking around with the bids and "process". What's $1.3 billion versus $1 billion to them? It's still a billion dollars of found money. Just get on with it already.
Tyrod's Tailor Posted August 6, 2014 Posted August 6, 2014 Probably because I'm not a billionaire, I don't see why the Wilson family is dicking around with the bids and "process". What's $1.3 billion versus $1 billion to them? It's still a billion dollars of found money. Just get on with it already. bidders have to see the books before they can submit a binding bid. Reviewing the books of a billion dollar enterprise takes time. Everything is fine.
CodeMonkey Posted August 6, 2014 Posted August 6, 2014 Probably because I'm not a billionaire, I don't see why the Wilson family is dicking around with the bids and "process". What's $1.3 billion versus $1 billion to them? It's still a billion dollars of found money. Just get on with it already. It's $300,000,000.00 . Just think about that much money for a minute.
PromoTheRobot Posted August 6, 2014 Posted August 6, 2014 The team that he currently owns has gone from middle-of-the-road to rock-bottom under his tenure. A strategic bottoming out to rebuild. Big difference. Most pundits consider the Sabres loaded with grade A prospects. Wait two years.
DC Tom Posted August 6, 2014 Posted August 6, 2014 Probably because I'm not a billionaire, I don't see why the Wilson family is dicking around with the bids and "process". What's $1.3 billion versus $1 billion to them? It's still a billion dollars of found money. Just get on with it already. Little hint: it's not like buying a toaster. Or even a car.
Jauronimo Posted August 6, 2014 Posted August 6, 2014 Hey, does anyone know if Pegula can even own both the Bills and the Sabres? Is that allowed???
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