Mark Cuban sells Mavs for 3.5 billion dollars

pdxKingsFan

pdxKingsFan

So Ordinary That It's Truly Quite Extraordinary
Staff member
#3
#3
what a weird deal but then again I assume if the Mavs ever went to pre-Cuban levels of bad that deal would change. but very interesting.
 
Capt. Factorial

Capt. Factorial

trifolium contra tempestatem subrigere certum est
Staff member
#6
#6
The_Jamal said:
What an insane deal.

"So you're telling me I get to do all the fun things with owning a team, just with a cool 3.5 bill in the bank?"

Damn
Click to expand...
When they use "valuation", that usually refers to the cost of 100% of shares in the team. A majority stake is more than 50% but he clearly didn't sell it all - so "a cool $1.75B in the bank, minimum" would be more accurate. But I can't imagine wanting to buy a majority of the team without having control of basketball operations.

Tetsujin said:
https://twitter.com/statuses/1729660540262212077

Amazing troll
Click to expand...
Well, there IS an almost brand new NBA-quality arena right there on Tropicana.
 
macadocious

macadocious

Starter
#7
#7
Also, Vivek only bought 17% of the kings initially. He’s since acquired more, but he was the managing partner shares. So technically Cuban could own 1% and be the managing partner. (It might be 5 or 10% minimum for that, I’m talking out my ass a bit).
 
pdxKingsFan

pdxKingsFan

So Ordinary That It's Truly Quite Extraordinary
Staff member
#8
#8
When I worked with AAC 20 something years ago I feel like Mark Cuban's #2 (the guy that I got on a weekly conference call to get yelled at by) had a minority stake in the team himself, so I'm not sure if Cuban owned 100% although it was probably much more than 50%+1 share.
 
kingsboi

kingsboi

Hall of Famer
#13
#13
what percentage of stake did he sell? this is strange, how can you continue to run operations and keep your shares? I'm trying to improve my economics here so maybe someone can fill me in
 
Section 101

Section 101

All-Star
#14
#14
Capt. Factorial said:
When they use "valuation", that usually refers to the cost of 100% of shares in the team. A majority stake is more than 50% but he clearly didn't sell it all - so "a cool $1.75B in the bank, minimum" would be more accurate. But I can't imagine wanting to buy a majority of the team without having control of basketball operations.



Well, there IS an almost brand new NBA-quality arena right there on Tropicana.
Click to expand...
You left out taxes.
 
pdxKingsFan

pdxKingsFan

So Ordinary That It's Truly Quite Extraordinary
Staff member
#17
#17
kingsboi said:
still doesn't quite make sense to me. if you are selling your team, why do you still have the opportunity to run the operations?
Click to expand...
Maybe the guy buying the team thought Cuban was good at it and agreed to keep him on as President or something. He's been a hands on owner for over 25 years, I can see the rationale.

This does happen often with corporate sales and mergers. And things buzz along for 2-3 years but maybe numbers never reach their potential and eventually the former owner now serving as president gets ousted and all kinds of hell comes down with them.

Orrrrr, it works for 2-3 months and you are Vince McMahon.
 
kingsboi

kingsboi

Hall of Famer
#18
#18
pdxKingsFan said:
Maybe the guy buying the team thought Cuban was good at it and agreed to keep him on as President or something. He's been a hands on owner for over 25 years, I can see the rationale.

This does happen often with corporate sales and mergers. And things buzz along for 2-3 years but maybe numbers never reach their potential and eventually the former owner now serving as president gets ousted and all kinds of hell comes down with them.

Orrrrr, it works for 2-3 months and you are Vince McMahon.
Click to expand...
perhaps its a temporary role until said owner finds his own staff?
 
You must log in or register to reply here.