Boston, MA 06/02/2014 (wallstreetpr) – Bank of America Corp (NYSE:BAC) was selected to help with the sale of the LA Clippers and the deals is expected to close in record time. June 3 has been given as the deadline for the sale of the sports business. BAC beat rivals with better track record to win the high-profile sports deal.
As a sell-side investment bank, BAC will get 2 percent of the deal price. In the case of Clippers that has been lined up for $2 billion, the bank will get not less than $40 million and the deal looks great for less than a week’s work.
The hurried or perhaps forced sale of Clippers was due to the racist comments by the business owner Donald Sterling. Mr. Sterling’s racist comments led to his permanent banning from all NBA league events. The embattled investor signed the NBA franchise to his wife Shelly.
Clipper attracts big buyers
Bank of America Corp (NYSE:BAC) already has several buyers to deal with in the sale of Clippers. In a matter of three days after the bank was hired by the Sterlings to shop for a buyer, former Microsoft Corporation (NASDAQ:MSFT) CEO, Steve Ballmer, stepped forward with a bid offer for Clippers.
The other interested buyers mentioned in the Clippers sale include Oprah Winfrey, music mogul David Geffen, a group of investors than include NBA’s Magic Johnson and Oracle Corporation (NYSE:ORCL) CEO, Larry Ellison.
The fact that several buyers have already stepped forward to bid for Clippers makes the job of Bank of America Corp (NYSE:BAC) in the sale of the Clippers even easier.
BAC trounces rivals
Bank of America Corp (NYSE:BAC) is leaving no stone unturned in its efforts to improve its performance. The bank’s landing of the sports deal may not be the ultimate prize that the CEO Brian Moynihan seeks, however, it demonstrates the bank’s commitment to take opportunities of all sizes whenever and wherever they show up.
In the latest sports deal, Bank of America Corp (NYSE:BAC) trounced rivals JPMorgan Chase & Co. (NYSE:JPM), Morgan Stanley (NYSE:MS) and Goldman Sachs Group Inc (NYSE:GS) that boasts better track record in sports deals.
