Speculation: NY Islanders Sale Talk ONLY Part III *Barroway out Post 652*

[JeffNYI]

Sounds like barroway backed out. That mean wang just made himself 10 mil?

If you're at the store to buy a loaf of bread for $2 .. and he that's the price the store owner put on the bread.. and he's agreed to sell you the bread.. Then you keep trying to hand the store owner $2 and he won't take it - or give you the bread... this goes on for 10 minutes and you say whatever and leave, did you technically back out?

I don't see it that way.

 

[Renbarg]

If you're at the store to buy a loaf of bread for $2 .. and he that's the price the store owner put on the bread.. and he's agreed to sell you the bread.. Then you keep trying to hand the store owner $2 and he won't take it - or give you the bread... this goes on for 10 minutes and you say whatever and leave, did you technically back out?

I don't see it that way.

talk about speculation

 

[JeffNYI]

talk about speculation

Exactly what website do you think you're on here?

 

[MatthewBarnabysTears]

Yeah, Wang sucks. But I'm not broken hearted that we weren't sold to some random dude from Philly with comparably small pockets for an NHL owner.

 

[BadFella]

Good riddance. I didn't want Barroway to get the Devils, and I didn't want him to get the Isles.

Now granted, the new Devils owners do suck, but at least they have ties to Newark and the NY area.

He's from Philly, and I don't trust him. There's plenty of billionaires in the New York area. Since the team will be in Brooklyn next year, expect Wang to get offers left and right going forward.

(I hope he sells to Bruce Ratner and Mikhail Prokhorov)

 

[ScaredStreit]

Good riddance. I didn't want Barroway to get the Devils, and I didn't want him to get the Isles.

Now granted, the new Devils owners do suck, but at least they have ties to Newark and the NY area.

He's from Philly, and I don't trust him. There's plenty of billionaires in the New York area. Since the team will be in Brooklyn next year, expect Wang to get offers left and right going forward.

(I hope he sells to Bruce Ratner and Mikhail Prokhorov)

Does it really matter where an owner is from? Jeff vinik is from jersey and he's doing a GREAT job in tampa since taking over (hiring yzerman, putting millions into the forum, spending and icing a competitive team, etc.).

 

[scott99]

Smoke'em if you got'em.

Who didn't see this coming ? Dr. Gloom adds his 2 cents. Obviously you're Pro-Wang, you seem happy and gloating.

 

[boredmale]

Good riddance. I didn't want Barroway to get the Devils, and I didn't want him to get the Isles.

While anybody at this point would be an improvement on Wang, the idea of a hedge fund manager running the team is a little scary. In general I imagine hedge fund managers as guys who will do anything to get maximum profit on an asset from a year to year basis which is not always a good thing

 

[Hershey Hockey]

I really can't say I'm upset about this. If the offseason had been disastrous repeat of last year it would be a different story. But money has actually been spent on decent players and almost every need the team had was addressed for next season save for a stud defenseman and superstar left wing which still could be shored up via trade.

I'm ok with Wang holding on to the team for the time being as long as it continues to be run like an actual hockey team. Let Snow make the decisions. Have Wang sign the checks. Make the best effort to put a winning product on the ice and I won't have complaints if he wants to hang onto them for a little longer.

 

[Isles Junkie]

Please list in detail...

1. All of Barroway's investors
2. Their official net worth (with sources)

Oh yeah...And after dragging us all through the mud hoping for a sale and pulling out AFTER Barroway supposedly got the money, wang is now going to turn around and sell to someone else?

I'd have more respect for you if you admitted you were uninformed and just hoping for the best.

This isn't the first time he's tried to buy a NHL franchise. Whether it's a $ thing, or an inability to close the deal thing, Barroway is not an NHL owner, nor will he be. I don't want there to be any questionmarks with whomever owns us next. Granted they are just rumors, but we all read about how he promised investors he'd stay at the cap minimum.

Right now Wang owns us & for as lousy as he is, we should have a solid team next year. He did authorize Garth to go out & fix some key areas. We have a solid goalie tandem, our 2nd line looks significantly improved over what it was last year. a byproduct of that is our 3rd line looks significantly better. I realize the offseason isn't over, but I recall reading somewhere the isles are now middle of the pack in terms of payrolls. Sure some of that can be attributed to some overpaid contracts like say Bailey and mabye even Grabner, but the point is, Wang seems like he's willing to spend a bit more now.

I am no fan of Wang. I want him out as much as anyone. Ditto Snow. But if the choice is the current version of Wang who is making a suitable amount of $ available vs a guy who has tried multiple times to buy NHL teams & failed, then I'm going to pick Wang and hope that whomever he does sell to winds up being a fantastic fit for us.

There's plenty to hate on Wang about, but he at least deserves the acknowledgment from the fans that the isles have (finally) had a good offseason (so far), and it's a direct result of Wang making more funds available.

and I do admit that I don't know the entire story here, but then again none of us do.

 

[stranger34]

If "done deal" meant a signed contract, yes the information was wrong and people got ahead of themselves. What we had was Wang accepting an agreement to sell to Barroway, then going silent. According to what I am told, he never actually pulled back, he just would not communicate about execution of the agreement he signed.
There was no way for this eventuality to be anticipated, except when dealing with Wang, any unscrupulous behavior has to be taken into consideration. Up to that point, the intelligence we were getting was accurate. Wang is the wild card.
For what it's worth, there was reportedly a clause in the agreement that if Wang does not close on the deal, he has to pay a break up fee of $10MM to Barroway. Again, I have not seen the agreement, this comes from one of the investors in the Barroway group who was the source of all the information.
I am told that Barroway is heartbroken, desperately wanted this deal and had all the financing lined up for a $400MM 100% buy out. The NHL is pissed because they were the ones who "brokered" the deal, who brought Wang and Barroway together last September, and they really wanted the deal done.
That's all I got. There was a deal negotiated for months, signed in May. Wang blew it up. Other buyers or change of heart, we might never know. For the time being, Wang is the owner of this team. Comfy feeling, no?

I'm not a lawyer but doesn't a $10M break up fee for a $400M deal seem a little light?

 

[IceAce]

Good riddance. I didn't want Barroway to get the Devils, and I didn't want him to get the Isles.

Now granted, the new Devils owners do suck, but at least they have ties to Newark and the NY area.

He's from Philly, and I don't trust him. There's plenty of billionaires in the New York area. Since the team will be in Brooklyn next year, expect Wang to get offers left and right going forward.

(I hope he sells to Bruce Ratner and Mikhail Prokhorov)

So you don't want them to go to one guy from Philly but then you say they hope they get sold to a guy from Cleveland and a guy from Russia?

Got it.

 

[stranger34]

While anybody at this point would be an improvement on Wang, the idea of a hedge fund manager running the team is a little scary. In general I imagine hedge fund managers as guys who will do anything to get maximum profit on an asset from a year to year basis which is not always a good thing

Don't hedge fund guys own the Rays? They seem to be doing a very good job.

 

[A Pointed Stick]

I'm still on the Wang train. I'm HAPPY he didn't sell. Yes I said it.

He's spent money, a lot of "cheap-stake" moves have been misconstrued and pigeon-holed to fit a narrative. Case in point, Nino. The Islanders had absolutely no incentive to offer him a large bonus to sneak over the basement his rookie year. They could have just as easily signed a vet, offered him unattainable bonuses and be forced to count that money against the cap without a prayer of him ever actually getting that money. I truly believe they thought he had nothing else to gain from the WHL.

But you have no evidence to support your claim whereas everyone who understands Wang has been starving the club financially have plenty of evidence to support their position. Back loading the contracts he signs, having the poorest support structure in the front office, all them unattainable bonuses when it was legal, using a handicapped goaltender for his cap hit and insurance buy back, on and on and on.... Since the rebuild of course. If you want more evidence I will provide, but the fact we have hugged the cap floor every year is alone the hardest point you will have to refute.

It is what it is, but I do respect your right to follow your gut.

 

[MatthewBarnabysTears]

So you don't want them to go to one guy from Philly but then you say they hope they get sold to a guy from Cleveland and a guy from Russia?

Got it.

i think what he's getting at is that the barclays group is tied to the area — for better or worse, they'd own the team with a Brooklyn-based perspective. Whereas Barroway could be managing the team from Philly.

Plenty of guys own teams in places they don't live or have other significant business. Plenty of those guys are great owners. But I think it's reasonable for Islanders fans to be wary of the organization's regional ties being even further diluted — the Isles are uniquely our team, and it's fair to want a new owner to have some sort of ties to Long Island or at least Brooklyn/Queens.

 

[Dutch Frost]

Don't hedge fund guys own the Rays? They seem to be doing a very good job.

please tell me that was sarcasm

The Rays are terrible, they are trying desperately to leave that dump and get a new stadium (wont happen) and they dont sign any major stars. They just traded David Price cause they couldnt afford him as he was going into Free agency.

Trust me, Hedgefund guys are no equivalent to Charles Wang. They dont invest for the love of sport. It is money they want and they will sell the team the minute they get a better deal. We dont need that merry go round happening

 

[Not4u]

please tell me that was sarcasm

The Rays are terrible, they are trying desperately to leave that dump and get a new stadium (wont happen) and they dont sign any major stars. They just traded David Price cause they couldnt afford him as he was going into Free agency.

Trust me, Hedgefund guys are no equivalent to Charles Wang. They dont invest for the love of sport. It is money they want and they will sell the team the minute they get a better deal. We dont need that merry go round happening

Agreed....while the Rays are a great example of drafting and managing assets on a shoestring budget...spending is a huge issue for them. Also NO Stuart Sternberg is NOT a former hedge fund guy! He is a retired partner from Goldman Sachs. He is also worth about the size of Barroways entire hedge fund....

 

[BroadwayJay*]

Agreed....while the Rays are a great example of drafting and managing assets on a shoestring budget...spending is a huge issue for them. Also NO Stuart Sternberg is NOT a former hedge fund guy! He is a retired partner from Goldman Sachs. He is also worth about the size of Barroways entire hedge fund....

Is that supposed to be somehow better...?

 

[Not4u]

Is that supposed to be somehow better...?

Well I guess when the question he is responding to is "Don't hedge fund guys own the Rays?" It's not a matter of better....just the correct answer?

PS...I'm a retired hedge fund manager...that use to work for Goldman...lol...so clearly no bias

 

[blitzkriegs]

This isn't the first time he's tried to buy a NHL franchise. Whether it's a $ thing, or an inability to close the deal thing, Barroway is not an NHL owner, nor will he be. I don't want there to be any questionmarks with whomever owns us next. Granted they are just rumors, but we all read about how he promised investors he'd stay at the cap minimum.

Right now Wang owns us & for as lousy as he is, we should have a solid team next year. He did authorize Garth to go out & fix some key areas. We have a solid goalie tandem, our 2nd line looks significantly improved over what it was last year. a byproduct of that is our 3rd line looks significantly better. I realize the offseason isn't over, but I recall reading somewhere the isles are now middle of the pack in terms of payrolls. Sure some of that can be attributed to some overpaid contracts like say Bailey and mabye even Grabner, but the point is, Wang seems like he's willing to spend a bit more now.

I am no fan of Wang. I want him out as much as anyone. Ditto Snow. But if the choice is the current version of Wang who is making a suitable amount of $ available vs a guy who has tried multiple times to buy NHL teams & failed, then I'm going to pick Wang and hope that whomever he does sell to winds up being a fantastic fit for us.

There's plenty to hate on Wang about, but he at least deserves the acknowledgment from the fans that the isles have (finally) had a good offseason (so far), and it's a direct result of Wang making more funds available.

and I do admit that I don't know the entire story here, but then again none of us do.

The Isles had a solid offseason. I repeat offseason. Yippee! How about they play a game before determining whether the REQUIRED increase in spending actual translates to wins, including playoff series victories.

I don't mind that Barroway tried to buy the Devils on the cheap and missed. He saw an opportunity to buy a team that needed a new owner to meet its loan debts. Perfect spot to buy low.

Now, with Wanger, the man who has allegedly lost MILLIONS has an offer on the table for ~$400million, yet walks away from that. It appears Wang used Barroway as bait to set the valuation of the team-PRIOR to Barclay's. [Look, if this guy is willing to spend ~$400million in Nassau, than wait until this team is playing 100% percent in Brooklyn]. Bingo, higher valuation.

Barroway gambled on this and figured with the NHL being the introducing broker here, Wang would proceed with a sale. However, Wang is all about Wang.

 

[BroadwayJay*]

Well I guess when the question he is responding to is "Don't hedge fund guys own the Rays?" It's not a matter of better....just the correct answer?

PS...I'm a retired hedge fund manager...that use to work for Goldman...lol...so clearly no bias

Haha! Excellent!

Someone with a more loathed profession than my own! (I'm a lawyer)

 

[Not4u]

Haha! Excellent!

Someone with a more loathed profession than my own! (I'm a lawyer)

Agreed...lol

 

[BillD]

I'm not a lawyer but doesn't a $10M break up fee for a $400M deal seem a little light?

Break up fees are quite common in agreements to buy out companies in Chapter 11. It has not been that common in usual transactions of buy/sell, but if included in the agreement is perfectly legal and binding.
I was told about the break up fee back in June but since I do not have first hand knowledge I didn't post it. Is it a little light? IDK, there is no standard for these conditions of sale, they are just agreed to as one of the terms.
In the end, none of this matters anymore. Wang has not closed on the deal he agreed to, and so we do not have a new owner of the team. Will he sell to someone else? I have no idea and will never have any insight into what would be taking place in that respect. The prior information was from an investor in the Barroway group. Now that that is over, any news we get will be in the paper, from Wang, the NHL, or a new buyer.

 

[BroadwayJay*]

I'm not a lawyer but doesn't a $10M break up fee for a $400M deal seem a little light?

I am a lawyer, but not the kind that would ever do this type of work. I do criminal defense.

I mean, if you had a deal on the table and you wanted to make sure it was left open (an "option" is what this is called) you pay for that privilege.

I'll give you an example:

Say I'm saying bulk "Big Corsi" tee-shirts.

You tell me that you want to buy the whole summer collection of "Big Corsi" tee shirts. You're offering $400 for it.

I would say, "Lets draw up the paperwork, but I haven't decided that I want to sell my entire collection so here's what I'll do: I'll pay you $10 to leave your "offer" open for me to accept at any time; if I don't take you up on the offer you can keep the $10."

That's an option in a nutshell.

Now I'm not following the sale stuff very closely (or even at all, really); but I do have a pretty good grasp of the basic legal principles I learned in law school, and this is one of them.

Does that square it up a little bit?

 

[BillD]

The Isles had a solid offseason. I repeat offseason. Yippee! How about they play a game before determining whether the REQUIRED increase in spending actual translates to wins, including playoff series victories.

I don't mind that Barroway tried to buy the Devils on the cheap and missed. He saw an opportunity to buy a team that needed a new owner to meet its loan debts. Perfect spot to buy low.

Now, with Wanger, the man who has allegedly lost MILLIONS has an offer on the table for ~$400million, yet walks away from that. It appears Wang used Barroway as bait to set the valuation of the team-PRIOR to Barclay's. [Look, if this guy is willing to spend ~$400million in Nassau, than wait until this team is playing 100% percent in Brooklyn]. Bingo, higher valuation.

Barroway gambled on this and figured with the NHL being the introducing broker here, Wang would proceed with a sale. However, Wang is all about Wang.

I would say this comes pretty close to what went down. We all knew that Wang operates on the fringes (CA, Smile Train, etc.). We are stuck with him and at his whim he can and will continue to make the team less than it can become if cultivated.