Business News

Hedge fund supervisor Steven Cohen in unique talks on the acquisition of New York Mets

Yoenis Cespedes of the New York Mets stands in the cover circle in front of cardboard fans during a preseason game at Citi Field on July 18, 2020.

Al Bello | Getty Images Sports | Getty Images

Steven Cohen, the billionaire hedge fund manager, has entered exclusive negotiations to buy the New York Mets, according to numerous sources close to the sale process.

Cohen, who was on the verge of acquiring the Major League Baseball team for approximately $ 2.6 billion in late 2019, has challenging offers from a group of investors led by Alex Rodriguez and Jennifer Lopez, as well as an offer from one Group led by private equity titans Josh Harris and David Blitzer.

Although Cohen has not made a final agreement to buy the club, he is expected to do so within a few days. Unlike his previous business, any new sales contract would immediately give him control of the team.

The franchise received huge interest from the Rodriguez-led group, believed to have been priced up to $ 2.3 billion, and the Harris Blitzer group. While it remains unclear what price Cohen will pay to secure control of the club, he is expected to be below his previous offer for the club.

Any new owner of the Mets will suffer losses well in excess of $ 100 million this year and next, given the impact of the coronavirus pandemic, negotiators said.

While Cohen had previously signed a purchase agreement for the club, it had failed over its closing costs, according to people who were aware of the previous discussions. Even so, given his deep pockets and passion for the franchise, he was seen as in a good position to secure the team once it was put back on the sales block.

However, the group led by A-Rod was able to cobble together a significant offer for the club and was confident it could come about with the franchise.

Following CNBC's report of Cohen's talks with the Mets, Fox Sports' Ken Rosenthal tweeted a statement from Rodriquez that his consortium with Lopez had "informed the Mets that they are no longer pursuing the team's takeover".

Related Articles