Could plans for the Jon Bon Jovi/Toronto group to buy the Buffalo Bills be dead in the water?
That would seem to be the case according to a report in the Toronto Sun. John Kryk cites sources telling him that the group can't match the reported $1.3 billion bid from Buffalo Sabres owner Terry Pegula.
Its possible the maximum bid for the Toronto group is about $1.2 billion. Another source told The Sun its probably less than $1.2 billion.
The issue stems from Bon Jovi's desire to be the controlling owner and his net worth. NFL rules stipulate the controlling owner must pay at least 30% of the purchase price for a franchise. In addition, you aren't allowed to borrow more than $200 million towards the purchase.
On a bid of $1.2 billion, Bon Jovi would have to come up with about $300 million which is reportedly more than 60% of his net worth. That is why its believed the group from Toronto can't get into a bidding war for the Bills and might be maxed out at a number lower than Pegula's initial bid.
One source told the Sun the initial bid from Bon Jovi and company was "maybe" as high as one billion but more likely in the $800-900 million range.
The story says only three initial bids were received for the Bills with those coming from Pegula, the Toronto group and Donald Trump. There is speculation former Sabres owner Tom Golisano might still put forward a bid on the team this week.