New whale, higher Seattle bid and other news, rumors. etc.
- Thread starter Dreamtiger
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Seattle can raise the price, they are entitled too. **** them though. This isn't a biding war, however that being said it may well become one if the seattle conglomerate is willing to make it one. Im confident sacto will match any immediate offer, however that being said if its a continuous issue eventually the team with deeper pockets wins
Forgive me if I am wrong, but hasn't someone somewhere indicated that this revised bid may be due to an "escalation clause" in the contract and may have a cap/limit? Perhaps the $25 million increase in valuation is spelled out as an "option" in the contract? In which case it is both A) a "legal" / allowed increase in the contract price and not a "bidding war" and B) should have been fully anticipated by TeamSactown (and I am not saying it wasn't - look at the non-purchase of the 7%, etc., as a "fluidity-of-situation adjustment" and possible counter to the price increase just to name one option). Remember, TeamSactown is counteroffering which means they get a chance to match.
I bet the "deadline" from MSE was just to "lock in" TeamSactown to a "price" right before Seattle increases their offer. Yet another attempt at something slimy by MSE and smart move on our part to wait it out and follow the NBA lead.
Edit - found it - mentioned in a tweet to Carmichael Dave - have no idea on the veracity of the idea. So please consider the above, like much of what we read/hear right now, to be speculation/conjecture and not much more. Interesting topic of discussion if it wasn't so darn serious to all of us.
Obviously, take this all with a grain of salt. I firmly believe that if this offer increase is allowed by the league that TeamSactown will match.
I bet the "deadline" from MSE was just to "lock in" TeamSactown to a "price" right before Seattle increases their offer. Yet another attempt at something slimy by MSE and smart move on our part to wait it out and follow the NBA lead.
Edit - found it - mentioned in a tweet to Carmichael Dave - have no idea on the veracity of the idea. So please consider the above, like much of what we read/hear right now, to be speculation/conjecture and not much more. Interesting topic of discussion if it wasn't so darn serious to all of us.
Carmichael Dave@CarmichaelDave12h
“@josh_shuacarmichaeldave there's an escalation clause in the deal, they can up the bid without tearing up the agreement.”
Wow! U saw it?
“@josh_shua: @CarmichaelDave nope, but it's being reported. There's a cap to it, don't know what that is though.”
Reported where? By who?
“@Penko_14: @CarmichaelDave It HAS been confirmed by @bcondotta (multiple in-touch sources told him)"
OHHHHH
“@josh_shua
carmichaeldave there's an escalation clause in the deal, they can up the bid without tearing up the agreement.”Wow! U saw it?
“@josh_shua: @CarmichaelDave nope, but it's being reported. There's a cap to it, don't know what that is though.”
Reported where? By who?
“@Penko_14: @CarmichaelDave It HAS been confirmed by @bcondotta (multiple in-touch sources told him)"
OHHHHH
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I agree that it is a act of desperation. Regardless of this move by Hanson/Balmer and what Stearn has said about it not being a bidding war, it looks it could come down to exactly that. The BOG is going to be hard pressed to look beyond this 25 million increase (or 16 mill, whatever the latest number is that is being thrown about) and rule in favor of the KIngs here if they don't up their bid. By increasing the sale price of the Kings, it also increases the value of their own franchises. They have already pressurred Sac into matching the 30 million deposit to make Balmer/Hanson whole and match. Why wouldn't the NBA not do the same here?
I think Sacramento's new ownership group is going to have to match this bid as well in order to keep the Kings here. I think they will but it really pisses me off that they will have to.
One other thing. While I am not a lawyer it would seem logical that if the BOG does in fact vote for Sacramento without us uping our bid to match, doesn't that open up a can of worms for anti trust lawsuits? It would appear that the magoofs could claim they were damaged by not being allowed to receive a higher price on the sale of their team. I mean after all, 25 million is 25 million. Maybe in Balmers world that is chump change, but not in maloofopia...
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In the case of the Hornets, the NBA owned the team and didn't want them relocated so they accepted a lower bid. The same thing occurred with the Warriors, I believe, in the fact that current ownership accepted a lower bid because they didn't want the team relocated. Two different ownership groups, but both did the same thing to accomplish the same goal.
Had the Warriors ownership group not cared whether the new owners wanted to relocate the team and was only after the most $$, then a similar situation to what'll going on here could have occurred in Oakland/SF.
Had the Warriors ownership group not cared whether the new owners wanted to relocate the team and was only after the most $$, then a similar situation to what'll going on here could have occurred in Oakland/SF.
I'm sorry, and I know this is NOT going to be popular around here... but if Hansen's bid is for $550M, plus he's assuming all the Clowns's debt (to the NBA and City), then that's almost $750M. As far as I'm concerned, we're better off if the NBA lets him have the Kings and gives us an expansion team for $350 - $400M. I'd rather us get a fresh start than a team crippled by debt.It's bad enough at $525, if he can keep driving this up, then F* him and the Clowns.
Larry Ellison wasn't going to relocate the Warriors. He was going to try and build an SF arena just like what Lacob and Guber are doing now. The problem is that there were deadlines on the bids and Ellison's came in late. Personally, I think Cohan did that on purpose. It was clear that he didn't like Ellison so he set up the "deadline" to make sure the person of his choice would get the team.
While I think we're a overreacting a bit to the latest news, I do think this situation is a bit different because the out going owners don't want to protect the current market and the BOG thinks fondly of Seattle. They didn't think fondly of letting Ellison move a team to the Warrior's territory so they denied his chances of getting the Hornets and they had no real say over Ellison losing out on the Warriors as that was Cohan's call.
OTOH, there was a situation where Ellison lost out on a higher bid and that was ironically with the Sonics. He bid $425 million while Bennett only bid $350 million. The BOG didn't want to intrude on the Warrior bay area market and they wanted OKC in the league. Had Howard Schultz put up a fight, they may have had a legal tug of war but it never came to the that as Schultz was more than happy to unload the team for $350 million.
While I think we're a overreacting a bit to the latest news, I do think this situation is a bit different because the out going owners don't want to protect the current market and the BOG thinks fondly of Seattle. They didn't think fondly of letting Ellison move a team to the Warrior's territory so they denied his chances of getting the Hornets and they had no real say over Ellison losing out on the Warriors as that was Cohan's call.
OTOH, there was a situation where Ellison lost out on a higher bid and that was ironically with the Sonics. He bid $425 million while Bennett only bid $350 million. The BOG didn't want to intrude on the Warrior bay area market and they wanted OKC in the league. Had Howard Schultz put up a fight, they may have had a legal tug of war but it never came to the that as Schultz was more than happy to unload the team for $350 million.
No way a new bidder comes into the fray now no matter how much bling they flash.
I think Hansen's extra $16M is just, what they call in poker, "doing a Hollywood" before he folds. He is going to get an expansion franchise - probably already worked out. He's just shining up his image.
However, it does seem to me that the Maloofs are entitled to the extra $16M from Vivek. Good play by them.. I mean, which of us couldn't use another $16M?
I think Hansen's extra $16M is just, what they call in poker, "doing a Hollywood" before he folds. He is going to get an expansion franchise - probably already worked out. He's just shining up his image.
However, it does seem to me that the Maloofs are entitled to the extra $16M from Vivek. Good play by them.. I mean, which of us couldn't use another $16M?
Not sure I understand what difference that makes. It is still a crafty move for the Maloofs to get another $16M from the Sac group on the way out the door.
If you're saying that Sac outbid Seattle by that $16M (would have been a nifty crafty move by us)... and Hansen is desperately matching... well that would be magnificent. Talk about turning the tables.
What point are you making about the $16M / Cook shares "coincidence"?
If you're saying that Sac outbid Seattle by that $16M (would have been a nifty crafty move by us)... and Hansen is desperately matching... well that would be magnificent. Talk about turning the tables.
What point are you making about the $16M / Cook shares "coincidence"?
I was posing the question because the scenario you identified had actually occurred to me but I didn't want to say it unless somebody else had thought of it. I do not generally believe in coincidence so I was trying to think of what significance there was to that particular amount of money...
Ah, the joys of paranoia running rampant as we try to figure out the final page of this script when it hasn't been written...
Ah, the joys of paranoia running rampant as we try to figure out the final page of this script when it hasn't been written...
So wouldn't this be the case in Sacramento?
The only thing that I see different is that the Maloofs went behind everyone's back and sold the team to Seattle who had always planned to move the team, but at the end of the day it's up to the NBA which city the team plays in.
Of the three teams (maybe 4 wit Minnesota) the Kings are the team which most deserves to stay in one place (the Warriors a close second if not tied with us), and the Warriors were only going to move about an hour. We are in jeopardy of moving totally out of this market all together.
I will stand by what I had said in the past, the Kings are not moving, there is a 99.99999999999999999% chance they stay in Sac.
The only thing that I see different is that the Maloofs went behind everyone's back and sold the team to Seattle who had always planned to move the team, but at the end of the day it's up to the NBA which city the team plays in.
Of the three teams (maybe 4 wit Minnesota) the Kings are the team which most deserves to stay in one place (the Warriors a close second if not tied with us), and the Warriors were only going to move about an hour. We are in jeopardy of moving totally out of this market all together.
I will stand by what I had said in the past, the Kings are not moving, there is a 99.99999999999999999% chance they stay in Sac.
Bennett was approved of the Sonics because it was a carefully crafted plan to deceit the city, state, and media that the NBA "tried" to keep the team. Ellison just wanted to move the team, if an owner came into Seattle and openly said he was moving, there probably would have been a significant backlash, and momentum to keep the team in Seattle, like what Sacramento is now doing to keep the Kings. It was the deceitfulness, which is what Stern wanted in the first place, that allowed the team to be sold for a lower valuation.
The difference in each case though is that those teams had owners that were selling to those that wanted to keep the team in that city so the NBA could reject higher bids to keep the teams there. In our case its a lot different because Magoofs are selling to the highest bidder and they couldn't case less if the new owners keep the team in Sacramento or move them to Antarctica.
As a result, Magoofs will make this difficult and even though NBA wants the team to remain in Sacramento, they cannot just overrule the Magoofs and forcing them to take less because that opens up a whole can of worms. If Sacramento keeps the Kings, it has to be at the same price otherwise we are screwed. I am confident this latest bid will be matched.
Think about it, recently KJ said that our first bid was a stab in the dark and now that our ownership group has seen the bid, they know exactly what they need to do. That leads me to believe that were prepared for this and it might explain why we chose not to match on Cook's 7%. That $15 million is just about what Hansen's increase nets the Magoofs. If the rumors of capped clause are true, the offer from Seattle might not be able to be increased again which means the ball is in our court.
I think we would have been prepared for this, hence why we did not abide by Magoof's request that we submit a formal offer by Friday and why we decided to not match Cook's 7% as that $15 million is better spent elsewhere.
As a result, Magoofs will make this difficult and even though NBA wants the team to remain in Sacramento, they cannot just overrule the Magoofs and forcing them to take less because that opens up a whole can of worms. If Sacramento keeps the Kings, it has to be at the same price otherwise we are screwed. I am confident this latest bid will be matched.
Think about it, recently KJ said that our first bid was a stab in the dark and now that our ownership group has seen the bid, they know exactly what they need to do. That leads me to believe that were prepared for this and it might explain why we chose not to match on Cook's 7%. That $15 million is just about what Hansen's increase nets the Magoofs. If the rumors of capped clause are true, the offer from Seattle might not be able to be increased again which means the ball is in our court.
I think we would have been prepared for this, hence why we did not abide by Magoof's request that we submit a formal offer by Friday and why we decided to not match Cook's 7% as that $15 million is better spent elsewhere.
550 valuation for a franchise valuated at 300 a year or so ago? This entire thing is troubling. That we are even having to ask this new ownership group to put up this kind of money because a cretin group from Seattle is trying to take our team. Even if we do match and the NBA voids Seattles bid, what is binding the Maloofs to sell to us instead of opening up a new bidding war? In any event, I was near confident that this was in the bag, and now I feel Seattle has momentum, we need some good news in the coming days
I think the NBA could simply say that the relocation of the Kings in not going to happen. Others could bid on the Kings, but the Kings stay in Sac - let the bidding begin.
I agree that this is troubling. It feels at the moment that this city is having it's team held for ransom. We have done everything the league has asked. We are a proven market. Please make this insanity stop and let the new era of the Sacramento Kings begin. If not - well, that would speak volumes.
I agree that this is troubling. It feels at the moment that this city is having it's team held for ransom. We have done everything the league has asked. We are a proven market. Please make this insanity stop and let the new era of the Sacramento Kings begin. If not - well, that would speak volumes.
The precedent of all of this is what upsets me and will forever taint me to national sports..
Ethically, whoever has the most money should not dictate where a franchise should be placed. It is just wrong. It is why I didn't even think we should have had to match the initial bid. It should not be tolerated. Just as a 50 billionaire shouldn't be allowed to offer the Buss' 800 million and relocate the lakers to Bismark, North Dakota, it shouldnt be tolerated here or anywhere. Where or not a city is deserving of its franchise shouldn't depend on whether they can outbid some ********** who is wealthier who wants to relocate them. This is where ethics have to trump money, yes, ethics have to trump money. The NBA shouldn't allow this precedent
Ethically, whoever has the most money should not dictate where a franchise should be placed. It is just wrong. It is why I didn't even think we should have had to match the initial bid. It should not be tolerated. Just as a 50 billionaire shouldn't be allowed to offer the Buss' 800 million and relocate the lakers to Bismark, North Dakota, it shouldnt be tolerated here or anywhere. Where or not a city is deserving of its franchise shouldn't depend on whether they can outbid some ********** who is wealthier who wants to relocate them. This is where ethics have to trump money, yes, ethics have to trump money. The NBA shouldn't allow this precedent
But they do care. It's been made quite apparent, several times now, that they don't want the team to remain in Sacramento under any circumstance.
First, they've rebuffed each and every inquiry from local ownership groups seeking to buy the team. For several years now, they've been angrily defiant that the team was not for sale and never would be.
Secondly, when they did decide to sell, they did so on the downlow and never even hinted to any interested party that they be receptive to an offer.
Lastly, once it was well-known that the Sacramento group was able and intent to match the offer, they went out of their way to address the BOG's and ask them to follow through with their agreement with the Seattle group.
You don't do all of that if you just want your money and could care less where the team ends up.
If the team stayed in Sacramento, that'd mean KJ (and the fans) won the war. They are still so upset that their previous attempts to relocate and possibly sellout to Samueli was thwarted that they've enacted scorched earth policy. They've decided that, if they can't keep the team, neither can we.
In response to them, I will forever say "Eff Ye!"
First, they've rebuffed each and every inquiry from local ownership groups seeking to buy the team. For several years now, they've been angrily defiant that the team was not for sale and never would be.
Secondly, when they did decide to sell, they did so on the downlow and never even hinted to any interested party that they be receptive to an offer.
Lastly, once it was well-known that the Sacramento group was able and intent to match the offer, they went out of their way to address the BOG's and ask them to follow through with their agreement with the Seattle group.
You don't do all of that if you just want your money and could care less where the team ends up.
If the team stayed in Sacramento, that'd mean KJ (and the fans) won the war. They are still so upset that their previous attempts to relocate and possibly sellout to Samueli was thwarted that they've enacted scorched earth policy. They've decided that, if they can't keep the team, neither can we.
In response to them, I will forever say "Eff Ye!"
I think the Seattle group and the Magoofs put their slimmy hands on the deal to increase the bid by $16 million.
It very much looks like Sacramento had the upper hand and the BOG would vote to keep the kings in town. Knowing that Sacramento would likely win the bid, I'm sure the Maloofs and Hansen decided to stick it to the Sacramento Group and cost them an extra $16 million in the process.
By most accounts, the Sacto group would have to match any increase, therefore, Hansen collaborated with the Magoofs to squeeze an extra $16 million from the Sacto group. Kinda a last screw you to the Sacto group. Basically, Hansen and the Magoofs is trying to stick it to the Sacto Group, i.e. "You may get the Kings, but it's going to cost you an extra $16 million in the process." And since the Seattle group looks likely to lose their bid, raising the price won't cost them in the end.
Hopefully, the plan backfires for Hansen and the Magoofs and the Sacto group can win the team, without having to give the Magoofs the extra $16 million.
It very much looks like Sacramento had the upper hand and the BOG would vote to keep the kings in town. Knowing that Sacramento would likely win the bid, I'm sure the Maloofs and Hansen decided to stick it to the Sacramento Group and cost them an extra $16 million in the process.
By most accounts, the Sacto group would have to match any increase, therefore, Hansen collaborated with the Magoofs to squeeze an extra $16 million from the Sacto group. Kinda a last screw you to the Sacto group. Basically, Hansen and the Magoofs is trying to stick it to the Sacto Group, i.e. "You may get the Kings, but it's going to cost you an extra $16 million in the process." And since the Seattle group looks likely to lose their bid, raising the price won't cost them in the end.
Hopefully, the plan backfires for Hansen and the Magoofs and the Sacto group can win the team, without having to give the Magoofs the extra $16 million.
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