The LeBron Thread

[K_ick_God]

huh, that article made no sense to me

He's saying LeBron can buy Knicks' stock. But aren't the Knicks going to be privately owned still?

[ITGM]

[jamrock1975]

no he is saying lebron james can buy large quantitites of msg stock because of his salary so he can be a part owner of msg. msg is a publicly traded company ticker symbol MSG currently trading at roughly $22.00 a share.

[K_ick_God]

no he is saying lebron james can buy large quantitites of msg stock because of his salary so he can be a part owner of msg. msg is a publicly traded company ticker symbol MSG currently trading at roughly $22.00 a share.

But I thought the team is going to be privately held by the Dolans?

[RHODEY]

http://blogs.forbes.com/sportsmoney/2010/05/the-new-york-knicks-will-get-lebron-james/

Interesting KnickGod. Hopefully Lebron's buddy and financial advisor Warren Buffet endorses theMSG stock offerings as the quickest path to Billionarehood.

[GnarlesOakley]

no he is saying lebron james can buy large quantitites of msg stock because of his salary so he can be a part owner of msg. msg is a publicly traded company ticker symbol MSG currently trading at roughly $22.00 a share.

But I thought the team is going to be privately held by the Dolans?

The team itself is privately owned but a lot of revenue goes under the MSG corporate umbrella.

[K_ick_God]

Forbes: LeBron Could Buy Ownership In Knicks

May 18, 2010 10:35 PM EST

The National Editor of Forbes Magazine predicts that LeBron James will join the Knicks, with one of the major financial drivers being James' ability to buy shares in the publicly-traded New York sports franchise.

The Knicks cannot compensate James with shares in the organization, Madison Square Garden, but James would be able to invest his personal wealth to acquire the public stocks. The theory is that these stocks would dramatically increase in value with James playing for the Knicks.

"Now I am telling you next season LeBron will be playing for the New York Knicks because this January they became the only franchise that can use their stock as currency," writes Ozanian.

"This would allow James to in essence work for himself and capture the upside in revenue from higher ratings on the MSG RSN, a soon-to-be renovated Madison Square Garden and much higher profits he will bring to these platforms," he continues.

In his position at Forbes, Ozanian specializes in corporate earnings, economics and sports team valuations.



Read more: http://realgm.com/src_wiretap_archives/ ... z0oL6EvPJ1

[K_ick_God]

So we get LeBron the superstar and LeBron ... the owner.

[EnigmatiC]

I feel like this can not be legal under the CBA

[K_ick_God]

I feel like this can not be legal under the CBA

I don't know if they can stop a guy from buying stock in a publicly traded company.

If not, it wouldn't surprise me if the Knicks went public for this reason alone.

I thought the re-organization a while back was very coincidental.

[TheBigBoss]

If that is true, Lebron would be an idiot not take it. With him on this team MSG would be making a **** of money.

[CoolKids]

If that is true, Lebron would be an idiot not take it. With him on this team MSG would be making a **** of money.

Read the comments though. Apparently the author himself acknowledges that this is more imagination then fact

[kosmovitelli]

It's legal as long as it's public stocks (shares any individual can buy on the open market).

Section 8. Limitation on Player Ownership.

During the term of this Agreement, no NBA player may acquire or hold a direct or indirect interest in the ownership of any NBA Team; provided, however, that any player may own shares of any publicly-traded company that directly or indirectly owns an NBA Team.

[Invictus]

still, it's another positive for the knicks.

[K_ick_God]

It's legal as long as it's public stocks (shares any individual can buy on the open market).

Section 8. Limitation on Player Ownership.

During the term of this Agreement, no NBA player may acquire or hold a direct or indirect interest in the ownership of any NBA Team; provided, however, that any player may own shares of any publicly-traded company that directly or indirectly owns an NBA Team.

Niiiiiiice.

Raise your hand if you don't think it was coincidental that the Knicks went public and re-organized last year.

Tricky Jimmy has been up to something huddling with his accountants.

[Invictus]

I feel like this can not be legal under the CBA

it would be if the knicks gave james stock options as "bonus" compensation. there's nothing in the cba preventing james from buying public stock that he just happens to have a personal vested interest in...so long as he's buying at market prices etc.

[K_ick_God]

I feel like this can not be legal under the CBA

it would be if the knicks gave james stock options as "bonus" compensation. there's nothing in the cba preventing james from buying public stock that he just happens to have a personal vested interest in...so long as he's buying at market prices etc.

Exactly, he's just investing his own money to buy stock.

[johnnywishbone]

Right, so he buys stocks, signs with the Knicks and instantly the value of the shares go up. Plus if he owns enough shares he could go on the board of directors (not sure if that's legal according to the CBA, but I don't see why not) and then he gets to really control the direction of the team. Plus he gets experience that money can't buy which he can later parlay into getting additional slots on other boards i.e. Nike, Pepsi etc...

If it's a big success (which why wouldn't it be?) he would directly benefit from the value of the stock going up and from dividends.

[K_ick_God]

Only thing LeBron can't do is insider trade (buy stocks before he signs -- using info everybody else does not have).

[johnnywishbone]

Only thing LeBron can't do is insider trade (buy stocks before he signs -- using info everybody else does not have).

Since it's publicly traded everyone could see who was buying the shares. So if you see Lebron buying shares in MSG jump in