The New York Mets have received a $40 million bank loan since the end of the baseball season as they try to raise money through the sale of minority stakes in the club, the New York Times reported.
“The bridge loan was approved by Major League Baseball and the syndicate of lenders to the Mets,” the team said in an e- mailed statement last night. “The process for the sale of minority shares in the team continues to go very well.”
The Mets received a $25 million loan from MLB a year ago. The $40 million was made available in the past six weeks from Bank of America Corp. (BAC), the Times said, basing its report on a person with knowledge of the deal who requested anonymity.
Mets owner Fred Wilpon said the team lost $51 million in 2010. General Manager Sandy Alderson told reporters at baseball’s Winter Meetings in Dallas last week that the club lost $70 million in 2011.
Wilpon remains in a legal battle with the trustee in charge of recovering money for investors in Bernard Madoff’s Ponzi scheme.
The Mets offered to sell a minority stake in the team due to the Madoff lawsuit. David Einhorn, the manager of New York’s $7.8 billion Greenlight Capital Inc. hedge fund, offered $200 million for a 33 percent interest before he withdrew because he said the team had changed contract terms at the last minute.
“We will engage with other individuals, some who have been previously vetted by Major League Baseball, along with other interested parties, regarding a potential minority investment into the franchise,” Wilpon said in the Sept. 1 statement announcing the end of discussions with Einhorn.
To contact the editor responsible for this story: Michael Sillup at email@example.com