Based on the initial bidding, we already know that the Buffalo Bills will become the most expensive NFL franchise ever with a final sale price that is nearing $US1.5 billion. The bidding is also a big blow to the hopes of Jon Bon Jovi and the city of Toronto of landing an NFL team.
The initial bid by Buffalo Sabres owner Terry Pegula was “in the $US1.3 billion range” according to James Fink of Buffalo Business First.
Only two other bids were submitted. One of those was by a group led by Bon Jovi and is estimated to be “as high as $US1.2 billion” according to City News Toronto.
The other bid came from Donald Trump and the Toronto Sun says that his bid is speculated to be in the $US700 million to $US1.1 billion range. However, Buffalo Business First reported that all three bids were “more than $US1 billion.”
While the initial bids are close and Bon Jovi is backed by the wealthy Rogers family behind Canada’s Rogers Communications, the $US1.3 billion bid by Pegula is a bad sign.
In order to be considered the principal owner, Bon Jovi must contribute at least 30% of the sale price in cash. If the group were to increase their bid to $US1.4 billion, that means Bon Jovi would have to contribute $US420 million of his own money.
According to the Toronto Sun report, Bon Jovi has an approximate net worth of $US500 million. Therefore it would seem unlikely that the group would be able to top their current bid without pushing Bon Jovi to the background.
The trust of the late owner Ralph Wilson is expected to simply accept the highest bid.
The highest price ever paid for an NFL franchise is $US1.1 billion, the amount paid by Steve Ross for the Dolphins in 2008.
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