Ronin Posted August 5, 2014 Share Posted August 5, 2014 http://www.wgrz.com/story/sports/nfl/future-of-the-bills/2014/08/04/bills-sale-nda-bon-jovi-trump/13606473/ "I think they've backfired on Morgan Stanley, the firm representing the Wilson estate. I think the NDA is a big reason why there are only three bids that we know of to this point," Benigni said. "I think it's a major factor for Tom Golisano, for example, for holding back his bid. And as a result, they've extended the deadline to accept new bids from that original July 29th date. The estate wanted a bidding war, and so far they've failed to create one." I'm wondering why they wanted a bidding war, it makes it sound as if it's going to the highest bidder. This thing really is turning into a circus though. Another article, the best written that I've seen on the trust, talked about how the stringency of the NDA would repel bidders. The guys orchestrating this are experts with trusts and these kinds of things. Why they would desire a bidding war and yet create an NDA that deters would be bidders from getting involved makes it seem like the whole thing is being run by amateurs. Link to comment Share on other sites More sharing options...
Kirby Jackson Posted August 5, 2014 Share Posted August 5, 2014 (edited) http://www.wgrz.com/story/sports/nfl/future-of-the-bills/2014/08/04/bills-sale-nda-bon-jovi-trump/13606473/ "I think they've backfired on Morgan Stanley, the firm representing the Wilson estate. I think the NDA is a big reason why there are only three bids that we know of to this point," Benigni said. "I think it's a major factor for Tom Golisano, for example, for holding back his bid. And as a result, they've extended the deadline to accept new bids from that original July 29th date. The estate wanted a bidding war, and so far they've failed to create one." I'm wondering why they wanted a bidding war, it makes it sound as if it's going to the highest bidder. This thing really is turning into a circus though. Another article, the best written that I've seen on the trust, talked about how the stringency of the NDA would repel bidders. The guys orchestrating this are experts with trusts and these kinds of things. Why they would desire a bidding war and yet create an NDA that deters would be bidders from getting involved makes it seem like the whole thing is being run by amateurs. They want to drive the bids as high as they can but that doesn't necessarily mean that it will go to the highest bidder. In addition, there are more parties out there but there isn't a ton of advantages to submitting a preliminary bid. There were people that were going to try to gauge the preliminary bids and see where the process has gone. I would be surprised if we don't see more groups emerge. We have 2 loud mouth groups in Trump & JBJ so they want everyone to know that they are involved. In addition, Pegula has long been (and still is) considered the favorite. When he makes a move people will cover it. That doesn't mean that it is only those 3. Edited August 5, 2014 by Kirby Jackson Link to comment Share on other sites More sharing options...
Mr. WEO Posted August 5, 2014 Share Posted August 5, 2014 (edited) They want to drive the bids as high as they can but that doesn't necessarily mean that it will go to the highest bidder. In addition, there are more parties out there but there isn't a ton of advantages to submitting a preliminary bid. There were people that were going to try to gauge the preliminary bids and see where the process has gone. I would be surprised if we don't see more groups emerge. We have 2 loud mouth groups in Trump & JBJ so they want everyone to know that they are involved. In addition, Pegula has long been (and still is) considered the favorite. When he makes a move people will cover it. That doesn't mean that it is only those 3. How? Edited August 5, 2014 by Mr. WEO Link to comment Share on other sites More sharing options...
Dan Posted August 5, 2014 Share Posted August 5, 2014 Maybe the trust did that to make it easier to disqualify bids that they don't want? Makes perfect sense if their primary interest is to approve sale to someone they like (that will keep the team in Buffalo) and not sell to the highest bidder. Link to comment Share on other sites More sharing options...
GG Posted August 5, 2014 Share Posted August 5, 2014 I think that sports reporters should generally avoid talking about business issues. Benigni has no point. If the estate wanted a bidding war, it wouldn't have put onerous bidding conditions in the auction. Link to comment Share on other sites More sharing options...
C.Biscuit97 Posted August 5, 2014 Share Posted August 5, 2014 How is it becoming a circus when no one from the trust or Pegula has even commented? Shockingly, it's the media creating the circus. I know, that never happens. Link to comment Share on other sites More sharing options...
A Dog Named Kelso Posted August 5, 2014 Share Posted August 5, 2014 They want to drive the bids as high as they can but that doesn't necessarily mean that it will go to the highest bidder. In addition, there are more parties out there but there isn't a ton of advantages to submitting a preliminary bid. There were people that were going to try to gauge the preliminary bids and see where the process has gone. I would be surprised if we don't see more groups emerge. We have 2 loud mouth groups in Trump & JBJ so they want everyone to know that they are involved. In addition, Pegula has long been (and still is) considered the favorite. When he makes a move people will cover it. That doesn't mean that it is only those 3. I understand this but there must be a person that was somewhat amazed that, allegedly, a 1.3 billion offer came in. I know the clippers went for 2 billion but it is silly to compare that sale to what is going on with the Bills. It seems like they may annoy some of the bidders and, though unlikely, those bidders could withdraw. I doubt the NDA stopped anyone from bidding. Link to comment Share on other sites More sharing options...
Kirby Jackson Posted August 5, 2014 Share Posted August 5, 2014 How? We have heard that 3 bids were received. We have also heard different numbers (Trump $1B cash, Pegula up to $1.3b, etc...). There are people now that have a sense for the competition and where the price may go. There really isn't much of an advantage to the non binding bids except you can see more info. I understand this but there must be a person that was somewhat amazed that, allegedly, a 1.3 billion offer came in. I know the clippers went for 2 billion but it is silly to compare that sale to what is going on with the Bills. It seems like they may annoy some of the bidders and, though unlikely, those bidders could withdraw. I doubt the NDA stopped anyone from bidding. Was his bid $1.3B? It won't annoy bidders; these are big time business people. They are at the trust's mercy if they want the Bills. The trust will ultimately select the best person for the team but they certainly won't eliminate people or take extra $ off the table. It's a negotiation. Link to comment Share on other sites More sharing options...
BuffaloBill Posted August 5, 2014 Share Posted August 5, 2014 Hate to say it but this is just speculative BS that may be out there just to create a story when there is not one. Trump and JBJ are highly public figures and if there was any thought they would "shut up" for long in this process the trust was simply short sighted. The longer this looks like a circus the better I feel about Pegula's chances of winning. He has the money and seems to have the behavior to get the deal done. No doubt I am biased as I want him to win. Link to comment Share on other sites More sharing options...
Fan in San Diego Posted August 5, 2014 Share Posted August 5, 2014 Of course they want a bidding war. They want to get the highest price possible. Business 101. Just like selling your house, wouldn't you want a bidding war? Link to comment Share on other sites More sharing options...
Captain Hindsight Posted August 5, 2014 Share Posted August 5, 2014 Of course they want a bidding war. They want to get the highest price possible. Business 101. Just like selling your house, wouldn't you want a bidding war? Exactly. This is normal and frankly I can't control it, so I'm not worried about it Link to comment Share on other sites More sharing options...
ALF Posted August 5, 2014 Share Posted August 5, 2014 The Bills franchise cost $25,000 , made many millions since 1960, and they did not accept a $1.3 Billion bid Link to comment Share on other sites More sharing options...
May Day 10 Posted August 5, 2014 Share Posted August 5, 2014 How? I dont get how not submitting a non-binding bid and not getting a shot at meeting with the seller and going over the financials this week is appealing in any way or provides an advantage. Link to comment Share on other sites More sharing options...
Rubes Posted August 5, 2014 Share Posted August 5, 2014 The Bills franchise cost $25,000 , made many millions since 1960, and they did not accept a $1.3 Billion bid This comment has so much fail to it I can't even quantify it. Link to comment Share on other sites More sharing options...
C.Biscuit97 Posted August 5, 2014 Share Posted August 5, 2014 The Bills franchise cost $25,000 , made many millions since 1960, and they did not accept a $1.3 Billion bid Agreed. They should sell the team for $25,000. It's only right. Link to comment Share on other sites More sharing options...
Kirby Jackson Posted August 5, 2014 Share Posted August 5, 2014 Do you want the deeper pockets in Toronto to outbid Pegula ? Are you serious? Of course not!! They want the highest price from the best buyer (ie someone keeping them in WNY). Link to comment Share on other sites More sharing options...
odon59 Posted August 5, 2014 Share Posted August 5, 2014 Are you serious? Of course not!! They want the highest price from the best buyer (ie someone keeping them in WNY). What the trust "wants" is a very complicated issue that has gotten mischaracterized both here and in the media. The trust and the trustees have a fiduciary duty to the trust beneficiaries (the people who will receive the proceeds from the sale of the team) that is governed by the trust agreement (a legal document similar to a will) and applicable state law. To my knowledge there has not been a public disclosure as to what the trust agreement says - it could say the team must go to the "highest bidder," or say something much more ambiguous like "reasonable offer." It could also say something about the team's location or not. The point is we just don't know. Another wrinkle to this is if the trustees and beneficiaries are the same people, in which case they simply owe a fiduciary duty to themselves in which case they can probably do whatever they want. Link to comment Share on other sites More sharing options...
ALF Posted August 5, 2014 Share Posted August 5, 2014 This comment has so much fail to it I can't even quantify it. Try Link to comment Share on other sites More sharing options...
GG Posted August 5, 2014 Share Posted August 5, 2014 Try What do the cost basis and income earned to date have to do with current market value? Link to comment Share on other sites More sharing options...
ALF Posted August 5, 2014 Share Posted August 5, 2014 What do the cost basis and income earned to date have to do with current market value? Nothing at all, Pegula made a great bid, take it Link to comment Share on other sites More sharing options...
Kirby Jackson Posted August 5, 2014 Share Posted August 5, 2014 What the trust "wants" is a very complicated issue that has gotten mischaracterized both here and in the media. The trust and the trustees have a fiduciary duty to the trust beneficiaries (the people who will receive the proceeds from the sale of the team) that is governed by the trust agreement (a legal document similar to a will) and applicable state law. To my knowledge there has not been a public disclosure as to what the trust agreement says - it could say the team must go to the "highest bidder," or say something much more ambiguous like "reasonable offer." It could also say something about the team's location or not. The point is we just don't know. Another wrinkle to this is if the trustees and beneficiaries are the same people, in which case they simply owe a fiduciary duty to themselves in which case they can probably do whatever they want. It is complicated. This case is not that complicated and no there has not been a public disclosure as to to what it says. I guess that we will just have to let it play out... Link to comment Share on other sites More sharing options...
GG Posted August 5, 2014 Share Posted August 5, 2014 Nothing at all, Pegula made a great bid, take it That's not how things work in real life. Link to comment Share on other sites More sharing options...
Buffalo Barbarian Posted August 5, 2014 Share Posted August 5, 2014 http://www.wgrz.com/...trump/13606473/ "I think they've backfired on Morgan Stanley, the firm representing the Wilson estate. I think the NDA is a big reason why there are only three bids that we know of to this point," Benigni said. "I think it's a major factor for Tom Golisano, for example, for holding back his bid. And as a result, they've extended the deadline to accept new bids from that original July 29th date. The estate wanted a bidding war, and so far they've failed to create one." I'm wondering why they wanted a bidding war, it makes it sound as if it's going to the highest bidder. This thing really is turning into a circus though. Another article, the best written that I've seen on the trust, talked about how the stringency of the NDA would repel bidders. The guys orchestrating this are experts with trusts and these kinds of things. Why they would desire a bidding war and yet create an NDA that deters would be bidders from getting involved makes it seem like the whole thing is being run by amateurs. They want a bidding war to make more money, period. Link to comment Share on other sites More sharing options...
Direhard Fan Posted August 5, 2014 Share Posted August 5, 2014 How much money can one person or family want? I hope greed doesn't play a part in this. The family has money to begin with. Really? What is another Billion. GETT ER DONE. Please? So we can enjoy the season. I have a feeling we are going to need something to cheer about. Link to comment Share on other sites More sharing options...
ALF Posted August 5, 2014 Share Posted August 5, 2014 How much money can one person or family want? I hope greed doesn't play a part in this. The family has money to begin with. Really? What is another Billion. GETT ER DONE. Please? So we can enjoy the season. I have a feeling we are going to need something to cheer about. My sentiments exactly Link to comment Share on other sites More sharing options...
CodeMonkey Posted August 5, 2014 Share Posted August 5, 2014 How much money can one person or family want? I hope greed doesn't play a part in this. The family has money to begin with. Really? What is another Billion. GETT ER DONE. Please? So we can enjoy the season. I have a feeling we are going to need something to cheer about. Yeah what the hell. Who needs a billion dollars anyway. People astound me sometimes Link to comment Share on other sites More sharing options...
GG Posted August 5, 2014 Share Posted August 5, 2014 (edited) How much money can one person or family want? I hope greed doesn't play a part in this. The family has money to begin with. Really? What is another Billion. GETT ER DONE. Please? So we can enjoy the season. I have a feeling we are going to need something to cheer about. Why don't they just give away the team away for free so you can enjoy the season even more? Edited August 5, 2014 by GG Link to comment Share on other sites More sharing options...
BrooklynBills Posted August 5, 2014 Share Posted August 5, 2014 It would seem that they want the highest possible bid from a group who will be committed to the Buffalo region. Whoever emerged as the best candidate to keep the team here long term, the trust would want to maximize THAT bid. This is still a major business transaction and if whoever ends up getting the team is miffed that the trust tried to bleed them for a couple hundred million more, then they probably don't belong in this game. Link to comment Share on other sites More sharing options...
ALF Posted August 5, 2014 Share Posted August 5, 2014 Why don't they just give away the team away for free so you can enjoy the season even more? $1.3 Billion is more then a great bid Link to comment Share on other sites More sharing options...
GG Posted August 5, 2014 Share Posted August 5, 2014 $1.3 Billion is more then a great bid Too bad it's a non-binding bid, which under the rules of the auction can't be accepted yet. Link to comment Share on other sites More sharing options...
ALF Posted August 5, 2014 Share Posted August 5, 2014 Too bad it's a non-binding bid, which under the rules of the auction can't be accepted yet. So do you think Pegula was just kidding us with his bid ? Link to comment Share on other sites More sharing options...
Rubes Posted August 5, 2014 Share Posted August 5, 2014 So do you think Pegula was just kidding us with his bid ? It would help if you at least tried to understand the sales process before posting these ridiculous statements. Link to comment Share on other sites More sharing options...
jahbonas Posted August 5, 2014 Share Posted August 5, 2014 (edited) Are you serious? Of course not!! They want the highest price from the best buyer (ie someone keeping them in WNY). That IS the key sticking point - have read too many places that the best buyer = highest bidder Period -anything concrete to show thats not the case would be greatly appreciated. Edited August 5, 2014 by jahbonas Link to comment Share on other sites More sharing options...
GG Posted August 5, 2014 Share Posted August 5, 2014 So do you think Pegula was just kidding us with his bid ? No, it's his ante to get in the bidding game. He can also walk away in the next round if he chooses. Link to comment Share on other sites More sharing options...
Iraq Vet Posted August 5, 2014 Share Posted August 5, 2014 (edited) NDA's are very common in extremely large business deals. Anyone with big business knowledge and is a Billionaire has done deals like this before. NDA's does not deter anyone wanting to own an NFL team from bidding or buying say... a huge multinational company. if your a billionaire, this is not your 1st dance with confidentiality. The (only) three bidders emerged is because everyone else who would bid, wants the team out of Buffalo and knows that politicians, the state, county, and the league (maybe) will make their lives complete hell if they try to move it. Lawsuits from every corner would hit the new owners. Ask yourself....Would you want to fight corrupt Gov. Cuomo and "Up Chuck" Schumer... plus half a dozen Congressmen and State Senators? All of whom have made thinly veiled threats to the potential new owners. Schumer will turn the IRS on them... he done it before. So the big money guys will just wait until the next NFL sale... it is that simple. Add in the cost of relocation and stadiums... Yep 3 bidders seems just about right. Trump is not afraid of a financial exam (he has done tons of deals) and turning his life upside down is not a problem, he loves the attention. He is not moving the team... and he is not afraid of Cuomo and Up Chuck Pegulia has just done this dance with the Sabres. Local guy and rich fan. JBJ is desperate to own a team and made no secret about it. If he fails here, it sets him up for the next run at a team. This is totally worth it for him to bid. Edited August 5, 2014 by Iraq Vet Link to comment Share on other sites More sharing options...
Captain Hindsight Posted August 5, 2014 Share Posted August 5, 2014 They want a bidding war to make more money, period. How much money can one person or family want? I hope greed doesn't play a part in this. The family has money to begin with. Really? What is another Billion. GETT ER DONE. Please? So we can enjoy the season. I have a feeling we are going to need something to cheer about. Next time you sell your most valuable asset, let me know when you take less because "You don't need an extra million." This sale could set up their GREAT GRANDCHILDREN. Think about that before you question their intentions. The family is fully within their rights to try to get the best price. Link to comment Share on other sites More sharing options...
BillsVet Posted August 5, 2014 Share Posted August 5, 2014 Ask yourself....Would you want to fight corrupt Gov. Cuomo and "Up Chuck" Schumer... plus halve a dozen Congressmen and State Senators? From one Vet to another... Link to comment Share on other sites More sharing options...
FLFan Posted August 5, 2014 Share Posted August 5, 2014 http://www.wgrz.com/...trump/13606473/ "I think they've backfired on Morgan Stanley, the firm representing the Wilson estate. I think the NDA is a big reason why there are only three bids that we know of to this point," Benigni said. "I think it's a major factor for Tom Golisano, for example, for holding back his bid. And as a result, they've extended the deadline to accept new bids from that original July 29th date. The estate wanted a bidding war, and so far they've failed to create one." I'm wondering why they wanted a bidding war, it makes it sound as if it's going to the highest bidder. This thing really is turning into a circus though. Another article, the best written that I've seen on the trust, talked about how the stringency of the NDA would repel bidders. The guys orchestrating this are experts with trusts and these kinds of things. Why they would desire a bidding war and yet create an NDA that deters would be bidders from getting involved makes it seem like the whole thing is being run by amateurs. Sorry if I do not take Adam Benigni's opinion on this seriously, especially when he states he has not bothered to read the NDA before expressing it. Not sure what the story is here. Link to comment Share on other sites More sharing options...
yungmack Posted August 5, 2014 Share Posted August 5, 2014 My opinion about re-opening the bids is that it has less to do with the trust and a whole lot more to do with the NFL which would like a blockbuster price to push up the value of the other franchises. Link to comment Share on other sites More sharing options...
Mickey Posted August 5, 2014 Share Posted August 5, 2014 It would seem that they want the highest possible bid from a group who will be committed to the Buffalo region. Whoever emerged as the best candidate to keep the team here long term, the trust would want to maximize THAT bid. This is still a major business transaction and if whoever ends up getting the team is miffed that the trust tried to bleed them for a couple hundred million more, then they probably don't belong in this game. Why does it seem to you that they want the best bid from a group committed to Buffalo? Has any trustee said that was the case? Do we know if the trust documents require that? Even if they did, how would they even decide that? What does "committed to Buffalo" mean exactly? Given the stadium lease, no owner can leave Buffalo for quite sometime. How would an owner be "committed to Buffalo" if he is forced to keep the team here for awhile? Wouldn't being "committed to Buffalo" mean more than simply fulfilling the terms of what is a binding agreement? How would that commitment be demonstrated? Pinky swearing? An exchange of hostages? I certainly hope that the trustees are under some obligation to factor in keeping the team in Buffalo but I have zero actual facts that they are so obligated. Typically, the fiduciary duty of a trustee would obligate the trustee to maximize the value of the estate assets and that unfortunately means selling to the highest bidder. Link to comment Share on other sites More sharing options...
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