Sports Owners ‘Laugh Off’ Lowball Offers as Leagues Remain Shut
- Bankers say market for teams still strong despite uncertainty
- Owners are cutting costs, but unwilling to sell at discounts
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Wall Street knows a distressed situation when it sees one, and right now it sees one in professional sports teams.
With leagues shuttered from the Covid-19 pandemic, bargain hunters including private equity firms have been keeping investment bankers’ phones ringing with offers to buy or take stakes in teams in minor and major league baseball, hockey and soccer franchises. While longterm prospects remain strong, these days teams are facing liquidity crunches and cutting players, laying off staff and docking wages.