Report: Prokhorov may be looking to buy out Ratner's stake in Nets, Barclays Center
Mikhail Prokhorov is either the world's biggest waffler or a master of misdirection.
The Brooklyn Nets' principal owner spent a bizarre and confounding season trying to convince the public he wasn't trying to unload the franchise he purchased in 2010, despite every indication that he was. (You can find a summary of the various happenings and conflicting reports here.)
Prokhorov owns 80 percent of the Nets and 45 percent of the team's arena, Barclays Center. The remaining shares of each entity are owned by Bruce Ratner, who was principal owner from 2004 through Prokhorov's purchase.
According to Bleacher Report's Ric Bucher, Prokhorov may now be looking to take full control by buying out Ratner's stakes in both the team and arena, with a potential announcement to come in relatively short order:
There's been a lot of talk about (Prokhorov) selling the franchise ... and now the latest is that in the next two weeks we could hear an announcement that he's actually buying 100 percent of the franchise, buying the Barclays Center, going all in.
NetsDaily reports that the two sides may soon begin negotiating such an agreement.
It's important to note that a full buyout wouldn't necessarily preclude a subsequent sale. On the contrary, it would likely facilitate one. The most recent report on the status of the sale process (linked to above) indicated that one of the biggest reasons for a holdup in negotiations was a clause in Prokhorov's buyer's agreement that prohibits him selling the team and arena separately. Gaining full control of both assets would ostensibly make selling them in conjunction less complicated.
More from NetsDaily:
Sports Business Journal has reported that the NBA has told the team's owners that it would have difficulty approving a sale because of the one-sided lease the team has with the arena. Under the current arrangement, the lease is not an issue since the same people control both entities, but if the team was sold to a new entity, the one-sided nature of the lease would be burdensome, hurting the team's finances. Controlling both would solve that issue.
The Nets also just managed, somewhat miraculously, to sneak under the luxury tax line after negotiating a buyout with point guard Deron Williams, which could be seen as an attempt to make the franchise more palatable to a prospective buyer.