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T'wolves Sale Exposes Grizzlies Ownership Drama

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Interesting article about Grizz ownership issues.

 

Grizzlies minority owner and co-executive chairman Steve Kaplan, a California venture capitalist, had planned to sell his Grizzlies stake to buy 30 percent of the Wolves with a path to eventually take over as the Wolves' controlling owner. However, sources tell ESPN's Brian Windhorst and Zach Lowe, a dispute between Kaplan and Grizzlies owner Robert Pera over shares of the team led to behind-the-scenes trouble that took months to resolve.

 

According to article Forbes values the team at $780 million, Pera bought it in 2012 for $377 million.

 

I can't believe that we are coming up on 4 years since that purchase.

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Pera needs to go anyway. He's completely disconnected from the community and the city. If he sells now, he doubles his investment and hopefully we can get an owner that actually engages with the community and the fan base.

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Pera needs to go anyway. He's completely disconnected from the community and the city. If he sells now, he doubles his investment and hopefully we can get an owner that actually engages with the community and the fan base.

 

 

I agree. As long as he doesn't sell it to someone who would move the team to another city.

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I read this piece and there is an interesting caveat that might come into play in Oct of 2017.  Kaplan can at that time tell Pera that he wants to sell his shares for a certain price per share.  Pera then has the right to do one of two things:  He can accept Kaplan's price and buy him out OR he can say no, I do not want to buy your shares for that price.  I will sell you my shares at that same price per share.  The article labels it a "buy-sell" clause.  So Kaplan has to be careful not to get greedy and try to force Pera to pay him a king's ransom per share because Pera can then turn the tables on him and force him to buy Pera's shares for that same king's ransom. 

 

This just goes against how I thought Pera was going to be as an owner after he fired Levien. He went on Vernon's show for like 2 hours and he gave the impression that he was going to be more visible in the community.   He has been AWOL for quite a while now.

 

As far as someone buying the team and wanting to move it, even if they did, there's the little issue of the lease and the punitive nature of what happens if someone tries to break it early. 

 

Meanwhile, I wonder what the "trouble concerning shares" is between Pera and Kaplan that just got worked out.  I guess Lebron's personal reporter Brian Windhorst and Zach Lowe scooped Ron Ron Tillery.  I guess Ron Ron just isnt as plugged in to the franchise as one would think the only beat writer the team has ever known would be.

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This just goes against how I thought Pera was going to be as an owner after he fired Levien. He went on Vernon's show for like 2 hours and he gave the impression that he was going to be more visible in the community.   He has been AWOL for quite a while now.

 

As far as someone buying the team and wanting to move it, even if they did, there's the little issue of the lease and the punitive nature of what happens if someone tries to break it early.

 

 

Yes. The Grizz  likely won't move till the lease's financial burden for moving the team lessens. Still, if the team  loses money, which could occur if  average home game attendance falls below 14,500 , some rich West Coast finance guys in Silicon Valley or the Seattle area could/would love to own the Grizzlies.

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I'd bet that Pera does not have the money here in the U.S. to buy Kaplan out. If he brings the cash from overseas he will get hammered and it will end up costing him even more.

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I'd bet that Pera does not have the money here in the U.S. to buy Kaplan out. If he brings the cash from overseas he will get hammered and it will end up costing him even more.

 

 

I'm thinking he will sell the Grizz within  the next 2 or 3 years. Lately he has shown no interest in owning this team. He's bleeding money right now. You never see or hear from him anymore concerning team business. At least Heisley seemed to care about running the team while he was the owner.

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I'm thinking he will sell the Grizz within  the next 2 or 3 years. Lately he has shown no interest in owning this team. He's bleeding money right now. You never see or hear from him anymore concerning team business. At least Heisley seemed to care about running the team while he was the owner.

 

 

The team in 4 years of him owning it has nearly doubled his investment. I don't really see him wanting to let it go.

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Yes. The Grizz  likely won't move till the lease's financial burden for moving the team lessens. Still, if the team continues to lose money, which could be exacerbated by the  average home game attendance falling below 14,500 , some rich West Coast finance guys in Silicon Valley or the Seattle area could/would love to own the Grizzlies.

I could be wrong (someone correct me please if so) but isn't attendance basically at a record high this season? We've had a number of sell outs for games against smaller opponents. And our season hasn't exactly been stellar either. With that kind of support, I can't see any rational business decision for anybody trying to move the team out of Memphis right now. But of course if some rich guy with strong ties to Seattle wants to move them there for personal reasons, that's another story. At least Pera is dedicated to not moving the team.

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The team in 4 years of him owning it has nearly doubled his investment. I don't really see him wanting to let it go.

 

 

That may be true.  But, he could sell it and take his increased investment and thus use the money to solidify his overseas business. His overseas business seems to be his main interest. That's where he is most of the time.

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That may be true.  But, he could sell it and take his increased investment and thus use the money to solidify his overseas business. His overseas business seems to be his main interest. That's where he is most of the time.

 

 

He was in a bind with his oversees business when he was buying the grizzlies. I doubt that anything is changing in this regard. 

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I could be wrong (someone correct me please if so) but isn't attendance basically at a record high this season? We've had a number of sell outs for games against smaller opponents. And our season hasn't exactly been stellar either. With that kind of support, I can't see any rational business decision for anybody trying to move the team out of Memphis right now. But of course if some rich guy with strong ties to Seattle wants to move them there for personal reasons, that's another story. At least Pera is dedicated to not moving the team.

 

Actually the attendance is really not that great considering we are( so far ) rated as the #5 seed in the West. The Grizz are only ranked 24th in average attendance of the 30 NBA teams. What would a losing record do to a small market such as the Mid-South is??

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Pera needs to go anyway. He's completely disconnected from the community and the city. If he sells now, he doubles his investment and hopefully we can get an owner that actually engages with the community and the fan base.

 

Why does an owner have to do that? 

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Pera's geting killed. As of today, Forbes says his net worth is down to $2.1 billion. He's 38 years old.
#12 in America's Richest Entrepreneurs Under 40. 

He'll scrape by somehow. 

 

Donald Trump is at $4.5 billion.

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Actually the attendance is really not that great considering we are( so far ) rated as the #5 seed in the West. The Grizz are only ranked 24th in average attendance of the 30 NBA teams. What would a losing record do to a small market such as the Mid-South is??

 

 

You have zero perspective or context.  If the Grizzlies sold out every game, their attendance would only be 15th in the NBA.  Arena size matters.  Market size matters.

 

Also, note that the salary cap increased due to the TV deal increase not an increase in overall league attendance.  The Grizz arenot losing money.

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Actually the attendance is really not that great considering we are( so far ) rated as the #5 seed in the West. The Grizz are only ranked 24th in average attendance of the 30 NBA teams. What would a losing record do to a small market such as the Mid-South is??

Actually the home average is over 17k which places us 19th (15 is as high as we can go due to arena size) The ESPN stat you're using is incorrect as it fails to include Friday night's sellout but does include the game, at a zero attendance, in the average. I guess it hasn't updated yet. Here's the more current, and correct, averages.

 

http://www.insidehoops.com/attendance.shtml

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You have zero perspective or context.  If the Grizzlies sold out every game, their attendance would only be 15th in the NBA.  Arena size matters.  Market size matters.

 

Also, note that the salary cap increased due to the TV deal increase not an increase in overall league attendance.  The Grizz arenot losing money.

 

 

And you are a B.S. jerk.  Since arena size matters wouldn't it behoove a city with a small arena and low (for the NBA) ticket costs to sell out most of their games? And since market size matters it would also be financially wise to likewise do the same . You are really one to talk about zero context.  OKC sells out every game. And last year they were a lottery team.

 

I though you couldn't wait to move back to San Antonio?  Eff off fat boy!

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Actually the home average is over 17k which places us 19th (15 is as high as we can go due to arena size) The ESPN stat you're using is incorrect as it fails to include Friday night's sellout but does include the game, at a zero attendance, in the average. I guess it hasn't updated yet. Here's the more current, and correct, averages.

 

http://www.insidehoops.com/attendance.shtml

My bad. I obviously looked at an outdated attendance chart.

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I like it when owners stay in the background and let the BB people they have hired run the team.

 

Basically don't do what the Kings do. 

 

Also Pera even if he leaves the team won't do a Clay Bennett. He has more tact than that. 

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I would like to know more about this (from article):

 

 

Last year, Ubiquiti said it had been scammed out of $46.7 million in an email spoofing fraud.

 

 

Did someone get suckered in by the standard Nigerian princess email or (insert bank name) PIN emergency?

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I would like to know more about this (from article):

 

 

Last year, Ubiquiti said it had been scammed out of $46.7 million in an email spoofing fraud.

 

 

Did someone get suckered in by the standard Nigerian princess email or (insert bank name) PIN emergency?

 

 

The latter might be close. Google "Ubiquiti spoofing fraud". I read the one near the top from theregister.co.uk 

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And you are a B.S. jerk.  Since arena size matters wouldn't it behoove a city with a small arena and low (for the NBA) ticket costs to sell out most of their games? And since market size matters it would also be financially wise to likewise do the same . You are really one to talk about zero context.  OKC sells out every game. And last year they were a lottery team.

 

I though you couldn't wait to move back to San Antonio?  Eff off fat boy!

Meds running low again? :'(

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