Bruce Levenson is one of the most respected businessmen in the United States. Last year, he decided to sell the Atlanta Hawks basketball team, together with the operating rights to the Philips Arena. To make the transaction successful, Levenson had to hire reliable banking institutions. He chose the Goldman Sachs and Circle Sports.
Several months later, the two banks announced that the Hawks had been sold successfully. Antony Ressler is the leader of the group that acquired the basketball team. However, Forbes reports indicate that the price the team was sold is lower than what the banks had promised Bruce Levenson. Before the transaction, Goldman Sachs had promised the businessman that he would get one billion for the team and the operating rights to the Philips Arena.
After the sale had been completed, it was clear that the bankers failed to deliver the amount they had promised the businessman and the rest of the former Hawks team owns. Antony Ressler paid seven hundred and thirty dollars for the team and the Philips Arena. The bankers said that this was the highest bid. Bruce Levenson and his group were expecting a higher amount.
Experts in the sporting industry, however, did not agree with the first promises made by the bankers. These professionals have enough experience, and they warned that the one billion price was extremely high for the consumers to purchase the team. One of them said that the team was only capable of attracting nine hundred million dollars. One sports economist, Andrew Zimbalist predicted that the team would be sold for less than seven hundred and fifty million dollars. Although the bankers did not take his advice seriously, it turned out to be the correct one.
Bruce Levenson, however, made a huge profit from the sale of the Hawks. However, experts and economists in the sports industry say that the team was oversold, and a lot of money was lost at the bidding table.