Hedge-fund manager David Einhorn will not purchase a minority stake in the Mets after all.
“It is clear that it will not be possible for me to consummate the transaction on the terms that the Sterling-Mets organization and I originally agreed to several months ago. The extensive nature of changes that were proposed to me at the last minute has made a successful transaction impossible.”
One sticking pointing was whether Mr. Einhorn would have a path to full ownership of the franchise. When a deal was first struck in May, the two parties had agreed to such a provision, according to people familiar with the matter.
One person familiar with Mr. Einhorn’s thinking felt the Mets later backed away from this point. A person familiar with the team owners’ thinking said there was disagreement over the details and mechanism of a path to ownership, and ultimately the sides didn’t see eye to eye.
More details may be found here, including this nugget:
Einhorn said he had been told Major League Baseball would approve in advance the possibility of Einhorn as a majority owner in the team, if it comes to that down the line. (Other team owners have to green light any newcomers.) Einhorn said late last week he learned the Mets had lobbied Major League Baseball to remove that advance-approval provision from their deal. [Emphasis original.]