The sale isn't done!

[bean5302]

12 minutes ago, The Great Hambino said:

A few possibilities rolling around in my head (maybe even a combination of the following):

They're set up as preferred equity holders, meaning they're entitled to a fixed percentage return as opposed to a percentage of profits.  So their return on investment is pretty much guaranteed assuming the business doesn't go under (it's not going under, MLB won't let it)

Profits and losses don't have to be allocated proportionally to ownership in a partnership, so perhaps they're getting a better-than-proportional profit allocation or are shielded from being allocated losses as a trade-off for making the investment with no decision making power

They don't have the funds to purchase an entire MLB franchise (their investment is more in line with something between a high end WNBA/low end MLS franchise valuation), so accepting a minority stake is their way of getting the asset appreciation that they're certainly betting on getting over time from MLB ownership.

They're investment groups, so there's a decent chance they care about the product on the field as much (or as little) as someone investing in a manufacturing company cares about mufflers, or whatever.

Plus the potential to be first in line to purchase the team or a path to increasing their stake or controlling interests etc. All kinds of potential perks. Could be anything.

The ability to never allow Deshawn Keirsey to play a regular season game again might be at the top of my list of asks.

[bunsen82]

58 minutes ago, SF Twins Fan said:

I agree.  Reading that shocked me because what would be the incentive to helping the Pohlad's pay down / off their debts if they weren't going to have some control over the operations.  Do they know something positive coming from the new CBA that will financially benefit the owners?

1. They are venture capitalists -  they see the future value being higher than current amount paid.  

2.  They may get  a portion of revenues income separate from ownership amount or percentage.  

3. The value of the Twins may go up more with the reduction of the debt.  Also the value of the Twins will likey go up after the next CBA.    

This is a way to increase value to likely become owners or majority owners in the future.   

[Twins33]

Charley Walters: Look for Minneapolis-based Varde Partners, a worldwide multi-billion dollar credit investment corporation, to be announced soon as a limited partner with the Minnesota Twins. The firm is one of at least two limited partners expected to assist in diminishing the team’s reported $500 million debt.

Link

 

I guess we’ll find out soon if this is accurate 

[old nurse]

On 12/2/2025 at 1:13 PM, NotAboutWinning said:

This is one of the most reasonable scenarios I've heard for why anyone would invest in a minority stake in this team. Unfortunately, it doesn't bode well for the next 2 seasons 😕

it would take a tax lawyer to explain the tax benefits of owning a team during the years they can depreciate the team. 

[jctwins]

I've been thinking about what the hold up would be. I could see a scenario where you have the Pohlads saying "we'll take your 500 million so we can run debt free" with the new partners saying "we'll give you 500 million, but we need a commitment from you that 100 of the 500 will expand payroll over the next x years (to increase the value of our investment).

The latter is better for the investor, the former is better for the Pohlads.

 

FTP

 

[Parfigliano]

13 hours ago, Twins33 said:

Charley Walters: Look for Minneapolis-based Varde Partners, a worldwide multi-billion dollar credit investment corporation, to be announced soon as a limited partner with the Minnesota Twins. The firm is one of at least two limited partners expected to assist in diminishing the team’s reported $500 million debt.

Link

 

I guess we’ll find out soon if this is accurate 

Wasn't it $400 mil debt 5 months ago?  Who they borrow from Tony Soprano?