Puck News: Orioles sold to Rubenstein

[interloper]

Just now, Sports Guy said:

Why would he? What’s he going to consult on? How to steal from fans?

I don't know. But certainly he'd stand to gain from simply being an investor. 

[Satyr3206]

If I had to guess the Financing was already set up for the first phase of the purchase. I don't think phase 2 will be long behind.

[spleen1015]

I think him being an advisor is just some ego trip BS he wanted as part of the deal.

You don't pay 1.7 billion for something then take advice from the person you're buying it from. I know I wouldn't.

[Frobby]

1 minute ago, Satyr3206 said:

I assume Rubenstein will have the voting rights of the Minority Owners? I really don't know how that works with Sports Franchises.

MLB requires that one person be designated as the sole decision maker for the ownership group.  That will be Rubenstein, so it really doesn’t matter too much what the other owners think or what their shares are.   However, as a legal matter Rubenstein does have a fiduciary duty to the other shareholders in certain respects, so he can’t just arbitrarily do things that are against their interests.   His main duty however is to do what in his judgment is best for the organization itself.   

[SteveA]

12 minutes ago, Sports Guy said:

From that article:

Rubenstein is to become the team’s lead owner, or “control person,” in baseball parlance. He and his ownership group will have a 40 percent stake in the team to begin the season. Following the death of former owner Peter Angelos on Saturday, Rubenstein and co. are soon to likely acquire a larger stake in the team: the remainder of the 70 percent the Angelos family owned. The second acquisition will not be completed by Opening Day, a person briefed on the process said.

The second acquisition is just a standard business deal, right?   No need for another round of MLB approval?

[Satyr3206]

4 minutes ago, SteveA said:

The second acquisition is just a standard business deal, right?   No need for another round of MLB approval?

I don't think it would require another approval. Frobby would know.

[Satyr3206]

In my opinion Filling the Trophy case full of WS Championships is what's in the best interest of everyone.

[Frobby]

4 minutes ago, Satyr3206 said:

I don't think it would require another approval. Frobby would know.

Well, I don’t really know, but I’d assume the Wednesday vote is on the entire deal, not just the first stage.  

[Malike]

20 minutes ago, spleen1015 said:

I think him being an advisor is just some ego trip BS he wanted as part of the deal.

You don't pay 1.7 billion for something then take advice from the person you're buying it from. I know I wouldn't.

When the whole thing was announced months ago they stated that this is not uncommon. It's not like JA would be making the day to decisions but his family has owned the team for 3 decades so I'm sure there are some things he'd be useful for in the transfer.

[Orioles Jim]

54 minutes ago, Sports Guy said:

Because of a crappy beer?

It’s my family’s crappy beer, damn it! 

[Frobby]

53 minutes ago, spleen1015 said:

I think him being an advisor is just some ego trip BS he wanted as part of the deal.

You don't pay 1.7 billion for something then take advice from the person you're buying it from. I know I wouldn't.

It’s very common when acquiring a business to give a consulting agreement to former management in case the new group needs historical information or wants to know if a particular thing was done or attempted previously, who was involved, etc.   Usually these things are of short duration, 6 months or a year.  A friend of mine just sold his business and had a 6 month consulting gig like this.   The new owners hardly called on him at all during the consulting period, but he was available if needed.  Pretty typical, I’d say.  

[Obando]

1 hour ago, interloper said:

My question is does Angelos remain as an investor/consultant even after Rubenstein grabs the 70 percent?

I seriously doubt it.  I’m guessing Rubenstein offered to let JA stay on as an ownership consultant for this season as an olive branch for selling the team to him, and until the full 70% stake is acquired, but I doubt JA wants to stick around without having control of the franchise anymore.  

[oriolediehard]

MLB Owners Will Vote On Orioles’ Sale This Wednesday

https://www.mlbtraderumors.com/2024/03/mlb-owners-vote-orioles-sale-david-rubenstein-wednesday.html

[Frobby]

I wonder if Rubenstein will give a press conference and take questions from the media on Wednesday after the vote.   I'd love to hear what he has to say.

[Can_of_corn]

3 minutes ago, Frobby said:

I wonder if Rubenstein will give a press conference and take questions from the media on Wednesday after the vote.   I'd love to hear what he has to say.

On National Manatee Appreciation day?