Dodgers Sell for Over $2Billion in Bankruptcy Auction

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Baseball team owner, Frank McCourt must be having his best week in months. He was able to sell the Los Angeles Dodgers to a group of investors, including NBA Hall of Famer, Magic Johnson for $2.15 billion. Sources say that McCourt was originally hoping for at least $1.5 billion. He is likely glad that he passed on the previous bids offered since the Dodgers were first put on sale last November.

In addition to basketball star Johnson, the buyers group includes Hollywood producer, chief executive officer of Mandalay Entertainment Group and co-owner of the Golden State Warriors, Peter Gulber, and former President of the Atlanta Braves and Washington Nationals, Stan Kasten.

But before McCourt can start dancing in the street, he must comply with the team’s bankruptcy-exit plan. The plan entails McCourt paying off all Dodgers creditors and his ex-wife, Jamie McCourt. The team will owe $706 million in total liabilities (including $410 million in long-term debt), and McCourt will pay his ex-wife $131 million. He has until April 6 to make the details of the sale public, and it must be completed by April 30.

The sale must be approved by US Bankruptcy Judge, Kevin Gross as part of the bankruptcy reorganization plan. A hearing for Judge Gross to consider approval is scheduled for April 13.

If you are considering filing for bankruptcy, or have questions about the process or its qualifications, make an appointment with Arizona bankruptcy attorney, Benjamin Skinner. The bankruptcy team at JacksonWhite will be happy to help you get your finances back on track and get you back in control of your life. Call (480) 648-8975 to schedule a consultation today.

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