Key Takeaways
- • Steve Cohen, a 64-year-old hedge fund manager and lifelong Mets fan, has signed an agreement to acquire the New York Mets for $2.4 billion-plus, establishing a new record valuation for a North American professional sports franchise, surpassing the Brooklyn Nets' $2.35 billion valuation.
- • The transaction requires approval from at least 23 of 29 MLB owners, with a vote scheduled no later than November 2020 Owners Meetings; Cohen currently holds an 8 percent stake in the team and previously attempted a majority purchase in November 2019 that fell apart.
- • Sterling Equities will retain a 5 percent ownership stake and retain control of SNY, the cable network broadcasting Mets games through 2030, with the sale concluding 34 years of Wilpon family operational control.
- • This represents Cohen's second attempt to acquire controlling interest after his initial bid last November, when the Wilpons would have retained five years of operating control; Sterling subsequently placed the team in formal auction before re-entering exclusive negotiations with Cohen over the summer.
Summary
The Wilpon family announced on September 14, 2020, that it has reached an agreement to sell the New York Mets to Steve Cohen, marking a pivotal transaction in sports ownership. The deal is valued at slightly more than $2.4 billion—a record for a North American professional sports franchise. Cohen, a 64-year-old hedge fund manager with an estimated net worth of $13 billion and a stated lifelong Mets fan, currently owns an 8 percent stake in the team and will acquire a controlling majority upon approval and closing.
The transaction follows a protracted negotiation process spanning nearly a year. Cohen first attempted to purchase a majority stake in November 2019, but negotiations collapsed over the Wilpons' insistence on retaining operating control for five years post-sale. Following this breakdown, Sterling Equities, the Wilpon-controlled parent company, conducted a formal auction of the franchise before reentering exclusive negotiations with Cohen during summer 2020. The current agreement substantially differs from the prior bid, as it contemplates a full transfer of ownership and control within months of approval.
The deal structure preserves certain Wilpon-family interests: Sterling Equities will retain a 5 percent ownership stake in the Mets, and the family retains control of SNY, the cable network holding broadcast rights through 2030. This arrangement allows Sterling to maintain media-related economics while exiting operational franchise control after 34 years of ownership.
Regulatory approval remains a critical next step. The sale will be submitted to a vote at the MLB Owners Meetings no later than November 2020, requiring support from at least 23 of the remaining 29 owners. The $2.4 billion-plus valuation establishes a new benchmark for professional sports franchises, eclipsing the Brooklyn Nets' $2.35 billion valuation and the Carolina Panthers' $2.275 billion sale price in 2018.
The transaction follows a protracted negotiation process spanning nearly a year. Cohen first attempted to purchase a majority stake in November 2019, but negotiations collapsed over the Wilpons' insistence on retaining operating control for five years post-sale. Following this breakdown, Sterling Equities, the Wilpon-controlled parent company, conducted a formal auction of the franchise before reentering exclusive negotiations with Cohen during summer 2020. The current agreement substantially differs from the prior bid, as it contemplates a full transfer of ownership and control within months of approval.
The deal structure preserves certain Wilpon-family interests: Sterling Equities will retain a 5 percent ownership stake in the Mets, and the family retains control of SNY, the cable network holding broadcast rights through 2030. This arrangement allows Sterling to maintain media-related economics while exiting operational franchise control after 34 years of ownership.
Regulatory approval remains a critical next step. The sale will be submitted to a vote at the MLB Owners Meetings no later than November 2020, requiring support from at least 23 of the remaining 29 owners. The $2.4 billion-plus valuation establishes a new benchmark for professional sports franchises, eclipsing the Brooklyn Nets' $2.35 billion valuation and the Carolina Panthers' $2.275 billion sale price in 2018.
Go deeper than the headline
Research every firm in this story, track the ones that matter and get the daily briefing — free for 7 days.