Daniel Kaplan of the Athletic is reporting that Vince McMahon could be working to buy back the XFL at a “fire-sale price”.
The XFL reportedly put the league up for sale earlier this month and they are looking for a letter of intent to be signed by June 12, but could Vince have something up his sleeve?
The XFL’s creditors seem to think McMahon could be looking to buy his league out of Delaware’s Bankruptcy court, and there are reports that XFL president Jeffrey Pollack has called venues in St. Louis and Seattle about reinstating the lease agreements.
Pro Football Talk wrote this about the XFL at midnight last night, after the XFL reportedly declined to comment about the Athletic article.
The XFL declined comment to Kaplan regarding the potential strategy that would, if effective, allow McMahon to escape debt at a time of devastated revenue and re-emerge on the other side of the pandemic with a clean slate.
The clues as to the creditors’ beliefs come from their objection to a proposal in bankruptcy to pay $3.5 million in season-ticket refunds. The committee of creditors wrote that the payment “is being sought to further the efforts of the debtor’s controlling equity holder/secured lender, Vincent McMahon . . . to acquire the debtor at a fire-sale price.”
The ticket refunds would be aimed at bolstering relations with customers, in anticipation of a future business arrangement.
If that’s McMahon’s plan, and if it succeeds, he’d have to rebuild the league from the ground up, re-hiring coaches and players and others necessary to running the league.
So if this happens the XFL would return. They will need to hire new staff and new scouting services, but this could be huge for football players. With so many talented players sitting at home right now, I hope Vince McMahon can somehow pull this off.