They’are baaacckkkk! The Coyotes are back in the news and it isn’t going to be good for Gary “Mr. Suck” Bettman. An outside party recently valued at ‘yotes at $50M…yes! That is $110M LESS then the NHL is asking. The main reason is Ice Edge Holdings Inc doesn’t have the money to purchase the team. Apparently, the US banks learned something from the drop in the housing market!
Phoenix is averaging less the 12K fans per game and that is at discounted ticket prices…I wonder how the Players Union feels about the ‘yotes bringing down the NHL salary cap? Mind you if the cap goes up…at least 3 more NHL teams will face bankruptcy.
Here is what is wrong with the Ice Edge deal:
- Bankers are balking at financing this venture after they learned financier Jeffrey Vinik paid only about $100-million in cash for the Tampa Bay Lightning. They are asking hard questions about why the Coyotes would be worth 60 per cent more.
- The Ice Edge principals will not discuss their finances in detail, but a banking source says they have only a relatively small amount to put into the proposed deal. As a result, bankers are not queuing up to lend money.
Thanks to David Shoalts at the Globe and Mail for a great article on the failuer of the Ice Edge bid.
Is anyone REALLY surprised this deal fell apart? Mr Balsillie did you see this coming? I am sure you did…
My next prediction, when Mr. Suck gets handed his walking papers it will be over two things… a bad deal with the Players Union last strike AND the ‘cotes. Mr. Sucks successor will try and distance himself by letting Balsillie put a team in Hamilton!
Ho Ho Mr. Suck you’ve got to go!
