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The proposal in front of the NFL by a group led by Josh Harris to buy the Washington Commanders calls for $5.8 billion to immediately be paid to Dan Snyder when the deal closes, and $250 million to be paid to Snyder over two years, according to a person with first-hand knowledge of the deal.
The $6.05 billion purchase price would be reduced to about $6 billion discounting the $250 million over two years.
Another NFL team that was bought over time is the Cleveland Browns, under Jimmy Haslam’s 2012 purchase.
Under the Commanders proposal, which is non-binding at the moment, Harris would own 30% of the NFL team and be the managing partner. There would be 17 limited partners, the biggest of which would be Michael Rales, who would own 12%. NBA legend Magic Johnson would be in for 4%.
Assuming the Harris group uses the league’s maximum allowable debt to buy the team—$1.1 billion—Harris would have to put in nearly $1.5 billion of equity.
Forbes valued the Commanders at $5.6 billion in August, sixth among the league’s 32 teams. Sportico was first to report that the Harris Group has its proposal in front of the league.
Story courtesy of Mike Ozanian & Forbes