August 6, 2014
The former sports anchor in me says that the sale of the Buffalo Bills is still wide open. That Donald Trump and the Bon Jovi/Toronto Group could still outbid Sabres owner Terry Pegula for ownership of the team. After reading the news that Pegula freed up $1.75 billion by selling some of his land, the financial advisor in me realizes this is a done deal.
13WHAM Sports Director Mike Catalana summed it up best this morning - "In billionaire speak, this is Terry Pegula looking at other Bills bidders and saying, "Scoreboard.""
First of all, Pegula's initial bid for the team, rumored to be around $1.3 billion, is believed to have been substantially higher than either of the other two bidders - Trump and Bon Jovi. Trump already stated he will not engage in a bidding war for the team. So, presumably, he's out. Bon Jovi wants to own a team, but only as controlling owner - meaning he must personally front 30% of the purchase price of the Bills. It is widely believed that he cannot afford that. That would leave only Pegula - alone at the table, pen in hand, ready to sign his name to a check with three commas in between all of the zeroes to become just the second owner of the Buffalo Bills.
It will take time for the process to be complete, but I have no hesitations about the Buffalo Bills staying in Buffalo. Pegula loves western New York. He already owns the Sabres and Rochester Americans. His wife grew up in Fairport and still has family in the area. In my opinion, for now, it looks like the Bills aren't going anywhere.
Chuck Wade, Financial Advisor
(This article contains the current opinions of the author but not necessarily those of Brighton Securities Corp. The author's opinions are subject to change without notice. This blog post is for informational purposes only. Forecasts, estimates, and certain information contained herein should not be considered as investment advice or a recommendation of any particular security, strategy or investment product. References to specific securities and their issuers are for illustrative purposes only and are not intended and should not be interpreted as recommendations to purchase or sell such securities).