Muckety
 
 
 
 
 

Ricketts won Cubs bidding war with cash and connections

By Carol Eisenberg

January 26, 2009 at 8:02am

The way folks in Chicago like to tell it, Thomas Ricketts bleeds Cubbie blue.

The 43-year-old bond trader, who was selected from among competing bidders to purchase the Chicago Cubs, is actually an Omaha native. But the story goes that when he moved to the Windy City 25 years ago to attend the University of Chicago, he got an apartment across the street from Wrigley Field, and proceeded to spend all his free time there. He even met his wife in the bleachers.

“He’s really smart, he really loves baseball and he really loves the Cubs,” Curt Conklin, who shared an apartment there with him, told the Associated Press.

But while Cubs loyalists are cheering ownership by a hometown fan, that was not what helped Ricketts beat out his competitors - Marc Utay, a managing partner with New York-based private equity firm Clarion Capital Partners LLC, and Chicago real estate executive Hersh Klaff of Clarion Capital, who partnered with Leo Hindery Jr. of InterMedia Partners.

The deal was all about cash and connections. The Ricketts family is said to have offered about $900 million – slightly less than another bid, but offering more cash up front, according to media reports, which is significant to the Cubs’ current owner, the cash-starved Tribune Company now in bankruptcy.

While Ricketts is the point person, moreover, his bid was made on behalf of several members of the Ricketts family, using the family ownership model preferred by Major League Baseball. Partnering with him are three siblings and his father, J. Joe Ricketts, who founded the Ameritrade brokerage, now part of TD Ameritrade Holding Corp. The family’s 22-percent stake in that company is valued at about $1.5 billion.

Beyond that, Ricketts sought an inside edge by hiring the law firm, Foley & Lardner, which serves as the principal outside counsel for Major League Baseball. A longtime Foley partner is Robert DuPuy, the president of Major League Baseball.

The purchase is not yet a done deal, however. Ricketts has a 60-to-90 day exclusive window to close on what would be the biggest auction in Major League Baseball history. In addition to the team, the bid incudes Wrigley Field and a 25-percent stake in a Chicago sports network.

And some are skeptical that at a time of frozen credit, he and his family can pull it off. On the other hand, structuring deals is what Ricketts does. After getting an MBA from the University of Chicago, he made it as a trader and as a bond dealer. He is now chairman of a Chicago company he founded, Incapital LLC, which helps corporations raise money by issuing bonds.

“My family and I are Cubs fans,” Ricketts said in a statement. “We share the goal of Cubs fans everywhere to win a World Series and build the consistent championship tradition that the fans deserve.”

Perhaps he’s the guy to finally end the Cubs’ 100-year losing streak.

Follow Muckety on Twitter Tweet This! Share on Facebook

Click here to sign up for the Muckety Newsletter

 Read related stories: Business · Chicago · Recent Stories · Sports  

0 Comments

  • There are no comments yet, be the first by filling in the form below.

Leave a Comment

The relationship map to the left is interactive.
• Solid lines are current relations. Dotted lines are former relations.
• Expand items with + signs by double-clicking or by selecting multiple items in the map and pressing the "e" key.
• Move an item in the map by clicking and dragging.
• You can also delete items, separate boxes and save maps. Right-click on the map or select Map Tools for these options.
• Find out more about an item in the map by right-clicking on the item and choosing Information about...
• View map color key.
• This interactive map requires Flash player.

  • The enormity of the U.S. Intelligence Community
    February 16, 2017 at 8:58am

    As it struggles to assemble a cabinet and to replace a national security adviser who has resigned and a labor secretary nominee who has withdrawn, the Trump administration takes on a new challenge: stanching leaks from U.S. intelligence.

    Immigration ban strains Trump relations with Silicon Valley
    January 30, 2017 at 9:06am

    Seven weeks ago, the president-elect made nice with the titans of tech, sitting down with them at Trump Tower and pledging government support.

    Coming together
    January 22, 2017 at 1:25pm

    From above, from the bird’s eye view of helicopters or satellites, the crowd was massive.

    The Davos elite
    January 19, 2017 at 8:22am

    The annual meeting in Davos brings together the elite of business and foreign relations - the supposed antithesis of Donald Trump’s views on governance.

    In a typical cabinet, Elaine Chao would be one of the richest
    January 12, 2017 at 8:37am

    When critics complain about the big-money nominees in Donald Trump’s cabinet, they focus on billionaire investor Wilbur Ross (Commerce), Amway in-law Betsy DeVos (Education), former Exxon Mobil CEO Rex Tillerson (State) and Goldman Sachs alum Steve Mnuchin (Treasury).

    More stories →

Become a fan of Muckety on Facebook

  • Search for stories
      
    Special Features

Follow Muckety on Twitter Follow Muckety on Twitter
Muckety has no direct connection to most of the people or organizations listed on these pages.
We are unable to forward personal messages or provide personal contact information.
We make every effort at Muckety to ensure that our data is correct and timely. However, relationships are in constant flux and we cannot guarantee accuracy. If you come across incorrect or outdated information, please let us know by email.
© 2017 Muckety LLC