The Rock buys XFL

[BigCrippyZ]

The XFL has been sold to a group that includes former WWE star Dwayne “The Rock’’ Johnson, giving the bankrupt football league the kind of star power that may draw even non-sports fans.

Johnson, an actor and producer who played college football at the University of Miami, teamed up with Gerry Cardinale’s RedBird Capital to buy the league just hours before a planned auction was scheduled to begin.

They paid $15 million, splitting it evenly. Johnson’s business partner, Dany Garcia, who is also his ex-wife, will be an equal stakeholder with him.

According to a court filing, this was the only qualified bid. The transaction is subject to bankruptcy court approval at a hearing this Friday, August 7 and, assuming that closing conditions are satisfied, is expected to close on or shortly after August 21.

https://www.sportico.com/2020/personalities/athletes/dwayne-the-rock-johnson-buys-xfl-for-15-million-with-redbird-capital-1234610422/

[Bad News Gertner]

2020 continues to be full of surprises.

[Ol Dirty Dastard]

YES.

I mean I don't really care, but for some reason this seems cool.

[erickman]

watch him make a hit with it

[Volare]

As long as he learns from everyone else and not go woke go broke. (Though 15 mil isn't shit to him)

[LibSuperstar]

watch him make a hit with it

Wouldn't doubt it.

[Mr. Nerfect]

I want my Rock-owned wrestling company, damn it.

[Emperor Smeat]

$15 million for a useless league seems a bit much but then again also a huge steal considering the amount of money Vince pumped in and tried to quickly get back from the XFL's revival.

[Mr. Nerfect]

$15 million for a useless league seems a bit much but then again also a huge steal considering the amount of money Vince pumped in and tried to quickly get back from the XFL's revival.

Too much, good deal. :lol:

You're actually becoming Meltzer.

[Lock Jaw]

I want my Rock-owned wrestling company, damn it.

What talent left is there for him to get?

[Mr. Nerfect]

What talent left is there for him to get?

He could just get talent from MLW, ROH, the NWA and even internationally. I'm pretty sure none of them are going to try blocking The Rock using their guys, nor would they be opposed to certain guys being bought out of their deals.

He could also poach from AEW. I doubt Tony Khan has the balls to do what Vince does and tell talent they can't go. If MJF, for example, said "Hey Tony, I want my release." He'd get it. If not, Rock could always buy out his contract.

The only promotion I don't think he'd be able to do that with is WWE, but even then, I could see him reaching a deal with Vince when it came to Ronda Rousey, just because she's seemingly got a lot of heat in that locker-room and he's already used her up a bit. The only reason he would be hesitant on that is if he's afraid of what Rock could do with her.

[Emperor Smeat]

Too much, good deal. :lol:

You're actually becoming Meltzer.

Not sure what your problem is.

$15 million for something that is just deadweight in terms of value and appeal feels a bit too much. Even the $7.5 million for Rock's half still feels like he spent too much money.

[Mr. Nerfect]

Not sure what your problem is.

$15 million for something that is just deadweight in terms of value and appeal feels a bit too much. Even the $7.5 million for Rock's half still feels like he spent too much money.

So was it too much or a steal?

[Destor]

Too much, good deal. :lol:

You're actually becoming Meltzer.depends on how much debt theyre having to buy

[Emperor Smeat]

Both since he actually wasted that much money for it and a steal only in comparison to what Vince blew on reviving the league.

[Mr. Nerfect]

depends on how much debt theyre having to buy

Agreed, it's probably coming with a lot of baggage.

[Mr. Nerfect]

Both since he actually wasted that much money for it and a steal only in comparison to what Vince blew on reviving the league.

:lol:

[Mr. Nerfect]

It's actually crazy how many of my predictions for 2020 have actually come true. Or not come true, but in a really eerie kind of parallel way.

* I predicted Daniel Bryan would join creative on SmackDown.

* I predicted that the WWE would actually try to make stars and put on good programming due to the virus (which I would say they did at the Royal Rumble).

* I was desperately hoping that The Rock would put money into a wrestling promotion. That hasn't happened, but he did buy the XFL. That could be a precursor for a wrestling league -- especially with his stance on it seemingly being "I started in football, I have an emotional connection to football, I wanted a football league."

The other big predictions, as surreal as both are, was them bringing back WCW when the crowds come back (or starting up another wrestling promotion without WWE branding) and striking up a deal with New Japan. Both seem way too surreal, but so did my other predictions, but I got there in a reasonable way.

So yeah, come on universe -- WCW, New Japan and a Rock-owned wrestling promotion, please.

[Emperor Smeat]

Seems there is a legal hangup with Rock's purchase of the XFL since a group repping XFL's creditors filed an objection notice to halt the actual sale.

Also was revealed that besides the $15 million price tag, Rock and his group also agreed to an additional $8.5 million to help cover the debt the league still owes.

The Official Committee of Unsecured Creditors for Alpha Entertainment, the parent company of the XFL, filed a motion this afternoon seeking to stop the sale of the XFL's assets to Alpha Acquico LLC, the group led by Dwayne "The Rock" Johnson, which was announced this morning.

As PWInsider.com reported earlier today, The XFL purchase for Alpha Acquico, for $15 million, brings them all of the XFL assets. They also agreed to take on "certain specified liabilities" and finance $8.5 million towards any payments that are needed to cure previous financial defaults from the old owner.

However, in a 13-page motion filed this afternoon the XFL's unsecured creditors asked the court to pause the sale citing that Alpha Entertainment, "has an ongoing obligation to negotiate terms with the Proposed Buyer that are most favorable to the estate and do not unduly prejudice its creditors. The proposed APA, however, does not reflect such terms and seeks to strip the estate of valuable assets for no consideration. As such, the Committee has significant concerns that the Sale contemplated with the Proposed Buyer does not satisfy the sound business purpose test, and is not in the best interests of the Debtor’s estate."

The motion claims that Alpha Entertainment has "failed to value significant assets that are now being included in the Sale, but were not contemplated as part of the assets to be purchased in the form asset purchase agreement prepared" by Alpha Entertainment. In short, the creditors are concerned the XFL assets are being sold at a lesser value than they are worth and that the creditors could end up receiving nothing or very little from the sale - and that there are assets included in the sale that were not part of the financial evaluation of Alpha Entertainment when it filed for bankruptcy.

The motion notes that while they "generally" support the sale to The Rock's LLC, they want the sale to be re-worked so that the terms are better for the creditors who are owed money. The filing noted:

"This Objection is filed to preserve the Committee’s right to submit these issues to the Court, including objections for the form of Sale Order, for adjudication if they cannot be resolved prior to the Sale Hearing. In the interim, the Committee will continue to engage in good faith negotiations with the Debtor [Mike: XFL] and Proposed Buyer [Mike: Rock's LLC] regarding the objections raised herein in an effort to resolve the issues consensually."

The motion also noted they are concerned about decisions made about a quick sale resolving "a limited subset of potential claims" while noting "Committee is at a loss with respect to claims that the Debtor may have against insiders. As noted above and in other filings with this Court, the Committee has identified substantial potential causes of action against insiders, including millions of dollars in payments made within the 1-year insider preference period, questionable loan transactions within the days and weeks leading up to the bankruptcy and questionable actions and decisions made by certain insiders of the Debtor. These claims may have very real value to the Debtor’s estate—and to the unsecured creditors that were prejudiced by the insider conduct prior to the filing of this case and that will be further impaired if the Sale includes the insider claims—and, if retained by the estate, could form a significant source of recovery for the Debtor’s many aggrieved creditors."

The court, obviously, has not ruled on any of this yet.

[teamXtremist]

Shit got interesting real quick