May 28, 2011, 3:06 PM EDT
UPDATE: The New York Times confirms Adam Rubin’s report and adds that the deal being discussed between Einhorn and the Mets does not include SNY, which is the team’s television network. Einhorn didn’t say much during the conference call Thursday, but was adamant that he had “no interest” in owning a television station.
9:30 AM: Adam Rubin of ESPN New York reports that David Einhorn does indeed have a path to majority ownership with the Mets. Of course, that was the assumption all along, as it wouldn’t make much sense if he didn’t have that option, but the exact terms of the deal are a doozy.
Einhorn has agreed in principal to purchase roughly 33 percent of the team for $200 million, which will infuse cash and keep the organization solvent in the immediate future. In three years, according to the source, Einhorn has an option to up his stake to 60 percent, although principal owner Fred Wilpon and his family have an opportunity to block Einhorn from gaining that majority stake.
The source said the Wilpons can stop Einhorn from gaining the majority share essentially by returning Einhorn’s initial $200 million investment yet allowing him to keep the 33 percent share of the team.
So, basically, in three years either Einhorn will either have majority control of the Mets or get his initial $200 million investment back and still keep one-third of the team. Kind of makes you wish you had $200 million sitting around, right? Not only is this the best deal you’ll see this week (year?), but it also tells you how hard-up the Wilpons are for cash right now.
- And That Happened: Monday’s scores and highlights 23
- The Troy Tulowitzki trade might be the strangest deadline deal ever 26
- Report: Rockies trade Troy Tulowitzki to Blue Jays for Jose Reyes and prospects 84
- Alex Rodriguez celebrates 40th birthday with a home run 15
- Mets acquire Tyler Clippard from the Athletics 21
- Angels acquire Shane Victorino from Red Sox 25
- Happy 40th Birthday, A-Rod! 44
- Craig Biggio, John Smoltz, Randy Johnson and Pedro Martinez inducted into the Hall of Fame 41
- The MLBPA is considering withholding cooperation with ESPN, Fox over Colin Cowherd’s comments (156)
- The Cubs are in discussions with the Phillies on Cole Hamels (146)
- MLBPAA announces “Heart and Hustle” award, given mostly to Americans and white guys (131)
- Colin Cowherd wonders how baseball can be considered “complicated” if Dominicans can understand it (129)
- Major League Baseball rips Colin Cowherd in an official statement (123)