FSU seeking equity raise from JP Morgan

[18IsTheMan]

A lot going on this morning with the business of college football. None of it good.

Florida State Taps JPMorgan for Equity Raise as ACC Decision Looms

Florida State is working with JPMorgan to explore how its athletic department, facing a $30M revenue gap, could raise capital via private equity.

www.sportico.com

 

[18IsTheMan]

This would only address the $120 million exit fee. Not the GOR.

 

[Deleted11512]

This is hilarious. Imagine all this noise to only be forced stay and deal with it. FSU is creating a terrible situation for themselves with all this drama.

 

[18IsTheMan]

This is hilarious. Imagine all this noise to only be forced stay and deal with it. FSU is creating a terrible situation for themselves with all this drama.

Especially now that it seems a move to the Big 10 is slim to none.

IF they could fund an exit, where would they go? SEC doesn't need to add anyone now that Big 10 stayed on the West Coast.

 

[Prestonyte]

Shopping for a dress and getting all dressed up for the prom without a date and no place to go.

 

[Rogue Cock]

Especially now that it seems a move to the Big 10 is slim to none.

IF they could fund an exit, where would they go? SEC doesn't need to add anyone now that Big 10 stayed on the West Coast.

Big XII baby!!! Hey at least they could be King of the Conference again.

 

[GCJerryUSC]

Pac12 has virtually collapsed. Ariz, Ariz St, Utah are leaving plus Oregon and Wash. FSU and Clemson may be dancing with the SEC behind doors. FSU must have assurances from the SEC or they wouldn't be so vocal about leaving. FSU and Clemson will strengthen the SEC even more. Means more FB titles for the SEC as well as even more prestige. FSU and Clemson will be playing before sold out 80 to 100,000 seat stadiums as opposed to the High School stadiums they appear before in the ACC.

Will be good for USC if Clemson is a conference game since we have to play them every year. Will be so interesting to see how Clemson fares with a very tough SEC schedule as opposed to the mostly High School teams they play now and it brings into question ND's stick toits as far as the ACC is concerned. ND may well make eyes at the B10.

 

[Fried Chicken]

FSU is just trying to expedite what’s going to happen. They aren’t that dumb. In fact, the foolish thing to do would be to sit and do nothing.

I’ve heard some folks on TV say they believe Clemson and FSU to SEC will be a done deal by next Friday. The way this week has gone, I would almost be shocked if that wasn’t the case. It’s going to happen. The question comes down to how much $$ is everyone going to pay to make it happen. And which other ACC schools are going to wise up and jump ship too?

If the Big 10 gets Stanford and Cal, which sounds like is just a matter of time, that may leave UNC on the outs. Though the Big 10 may not stop at 20. We could have two 30 team conferences sooner than later. The Big 12 is going to grow, but they aren’t going to have the Big power programs to have the same kind of respect as the SEC and Big 10. We are entering a time where 2 conference matter. Better get in now, or get out.

I still think we’ll see NC State and VT to the SEC, along with Clemson and FSU.

Big10 will probably take UNC and Virginia. Interesting team to me is Georgia Tech. Charter member of the SEC. They suck at football. But in Atlanta. Won’t expand a market, but would keep Big 10 from expanding theirs.

Going to get crazy. Gotta wonder at what point a conference asks a team to leave to make room for a team that fits better. Not sure that’ll happen.

 

[will110]

FSU is just trying to expedite what’s going to happen. They aren’t that dumb. In fact, the foolish thing to do would be to sit and do nothing.

I’ve heard some folks on TV say they believe Clemson and FSU to SEC will be a done deal by next Friday. The way this week has gone, I would almost be shocked if that wasn’t the case. It’s going to happen. The question comes down to how much $$ is everyone going to pay to make it happen. And which other ACC schools are going to wise up and jump ship too?

If the Big 10 gets Stanford and Cal, which sounds like is just a matter of time, that may leave UNC on the outs. Though the Big 10 may not stop at 20. We could have two 30 team conferences sooner than later. The Big 12 is going to grow, but they aren’t going to have the Big power programs to have the same kind of respect as the SEC and Big 10. We are entering a time where 2 conference matter. Better get in now, or get out.

I still think we’ll see NC State and VT to the SEC, along with Clemson and FSU.

Big10 will probably take UNC and Virginia. Interesting team to me is Georgia Tech. Charter member of the SEC. They suck at football. But in Atlanta. Won’t expand a market, but would keep Big 10 from expanding theirs.

Going to get crazy. Gotta wonder at what point a conference asks a team to leave to make room for a team that fits better. Not sure that’ll happen.

The question is why would ESPN pay more for FSU and Clemson, schools they already have under contract until 2036? I don't see the benefit to the SEC at this point.

 

[Rogue Cock]

FSU is just trying to expedite what’s going to happen. They aren’t that dumb. In fact, the foolish thing to do would be to sit and do nothing.

I’ve heard some folks on TV say they believe Clemson and FSU to SEC will be a done deal by next Friday. The way this week has gone, I would almost be shocked if that wasn’t the case. It’s going to happen. The question comes down to how much $$ is everyone going to pay to make it happen. And which other ACC schools are going to wise up and jump ship too?

If the Big 10 gets Stanford and Cal, which sounds like is just a matter of time, that may leave UNC on the outs. Though the Big 10 may not stop at 20. We could have two 30 team conferences sooner than later. The Big 12 is going to grow, but they aren’t going to have the Big power programs to have the same kind of respect as the SEC and Big 10. We are entering a time where 2 conference matter. Better get in now, or get out.

I still think we’ll see NC State and VT to the SEC, along with Clemson and FSU.

Big10 will probably take UNC and Virginia. Interesting team to me is Georgia Tech. Charter member of the SEC. They suck at football. But in Atlanta. Won’t expand a market, but would keep Big 10 from expanding theirs.

Going to get crazy. Gotta wonder at what point a conference asks a team to leave to make room for a team that fits better. Not sure that’ll happen.

To the best of my knowledge the B1G has never said how many it would take. They could take 4 from the ACC and have enough for 4 divisions of 6 teams. They will take UND at any time regardless IMO. They went after UVA when they took Maryland...so you can pretty much assure that UVA will be one of the teams. I can also see UNC and Miami. Duke is interesting because 1) they are a basketball power, 2) they have a massive cancer research program that the BTAA is heavily involved in and would covet one as big as Dukes, and maybe 3) if the speculation is true that UNC and Duke have some type of pact...to get UNC you'd have to take Duke. This would definitely require the ACC to dissolve.

 

[ToddFlanders]

One of the best takes I've seen on the FSU situation:

 

[Rogue Cock]

One of the best takes I've seen on the FSU situation:

Won't come close to working. Two completely different situations.

 

[ToddFlanders]

Won't come close to working. Two completely different situations.

It’s not the same, but it’s an opening. And it would be a Constitutional “states rights” fight the ACC wouldn’t even attempt to argue (especially with half the conference wanting out anyway).

I’d imagine we’d see a pandering DeSantis executive order in there as well. The ACC can’t win - again, because only three or four schools in the ACC want it to survive.

 

[Rogue Cock]

It’s not the same, but it’s an opening. And it would be a Constitutional “states rights” fight the ACC wouldn’t even attempt to argue (especially with half the conference wanting out anyway).

I’d imagine we’d see a pandering DeSantis executive order in there as well. The ACC can’t win - again, because only three or four schools in the ACC want it to survive.

The State of Florida won't touch the case....it will be a case between two entities from different states. The Texas case was a Texas university against one of its former employees...lall within in the state of Texas.

A choice of law doesn't have to be in the GOR. The organizing documents of the ACC control that and, in default of that, the laws of the state where the ACC was founded will control.

 

[Deleted11512]

The State of Florida won't touch the case....it will be a case between two entities from different states. The Texas case was a Texas university against one of its former employees...lall within in the state of Texas.

A choice of law doesn't have to be in the GOR. The organizing documents of the ACC control that and, in default of that, the laws of the state where the ACC was founded will control.

This is how I’m thinking as well.
And, the document this guy references is from 2013, not the 2016 doc.

 

[Deleted11512]

It’s not the same, but it’s an opening. And it would be a Constitutional “states rights” fight the ACC wouldn’t even attempt to argue (especially with half the conference wanting out anyway).

I’d imagine we’d see a pandering DeSantis executive order in there as well. The ACC can’t win - again, because only three or four schools in the ACC want it to survive.

They all want it to survive. A few just want more money. But they’re going to win bc 15 universities agreed to it.

 

[Fried Chicken]

The question is why would ESPN pay more for FSU and Clemson, schools they already have under contract until 2036? I don't see the benefit to the SEC at this point.

The benefit is that there are only going to be 2 conferences that matter. Each conference is going to want the best schools they can get. Clemson and FSU fit that bill, work geographically, and preserve some rivalries. It’s a no brainer. ESPN is going to be willing to pay whatever it takes to broadcast one of the 2 major conferences when this is all settled. It’s better to have FSU and Clemson rather than most of the other teams out there. I don’t think markets is quite as big of an issue with this expansion, though it is clear the Big 10 is establishing a west coast piece to their conference. Think NFL, but double the games. They’ll sell their own version of NFL Ticket. And people will buy the heck out of it.

 

[Atlanta_Cock]

Won't come close to working. Two completely different situations.

Agree. Only certain types of laws can be applied retroactively.