NFL meeting held as delayed $6.05bn Commanders takeover still not complete
Almost a month on from a $6.05billion deal being struck in principle that would make the Washington Commanders the most expensive sports team on the planet, progress getting the sale over the line has been slow.
A consortium led by Crystal Palace and Philadelphia 76ers co-owner Josh Harris, which includes basketball legend Magic Johnson, agreed a fee on April 13 that would bring an end to Daniel Snyder's woeful stewardship of the Commanders, who has been in charge since 1999.
The team has been in the doldrums for almost the entirety of his tenure, making the playoffs just six times, and the organisation has been embroiled in controversy off the field, with a Washington Post expose shedding light on a toxic working culture and sexual harassment, which led to a $10million fine after an NFL investigation in 2021.
As a result, owners across the league have been eager to see the back of Snyder and usher in a new era for the franchise, and Harris' bid could get conditional approval from the league later this month – with Snyder yet to put pen to paper on his end of the deal. The matter is on the agenda of the NFL's finance committee meeting on May 22-23.
However, per The Athletic, elements of the deal would break the mould for the sale of an NFL team, seemingly indicating how much the league wants to bend its guidelines to move on from the Snyder era.
Joe Burrow backs Patrick Mahomes after Kansas City Chiefs reach Super Bowl
Prospective owners are limited to the amount of debt they can secure against the franchise. The Harris-led bid proposes to borrow the maximum $1.1b that can be secured against the franchise, with additional debt secured against his portfolio of other sports teams, which includes the New Jersey Devils ice hockey team as well as the 76ers and Palace.
As a result, the league has to unravel what the consequences could be if Harris hypothetically defaulted on his debts. Each member of his 17-strong consortium will also have to face extensive vetting before the sale is signed off.
Harris faced stiff competition to buy the Commanders, with Jeff Bezos eager to make a bid, but he was blocked from proceedings by Synder due to Amazon supremo's ownership of The Washington Post, with its reporting playing a significant role in the imminent end of Snyder's tenure.
Josh Harris' bid to buy the Washington Commanders is rumbling on with plenty of conundrums for the NFL to unravel. (AP)It is understood the league could raise questions about Bezos being prevented from entering the running, given he is one of America's richest men and would have no trouble buying the team outright.
And with Snyder yet to put his signature to any deal, other buyers hypothetically could attempt to steal in.
Another matter for the NFL to examine is Snyder loaning $200m to the prospective buyers to seal the deal as well as his reported request for indemnification to prevent any lawsuits or fines coming after a sale is sealed.
“I still believe it will get approval,” a person close to Harris told The Athletic. “It’s dragging through the NFL because they’ve never had to evaluate this type of bid. The NFL’s choice is getting Dan out (versus) working through Josh’s complexity. I think they’ll find a way, but no guarantees.”
Should the deal be completed, the Commanders will be the most expensive sports team on the planet, surpassing the $4.65b sale of the Denver Broncos to the Walton-Penner consortium, which includes Formula 1 star Lewis Hamilton and ex-Secretary of State Condoleezza Rice.
Read more similar news:
Comments:
comments powered by Disqus
