Observers were puzzled recently when the exclusive 30-day negotiating window between the Detroit Pistons owner Karen Davidson and Mike Illitch and Illitch Holdings lapsed without a deal in place. We now have a little more information as to why the talks collapsed.
Forbes.com, via a report in the Detroit News, says Illitch got angry over questionable financial documents:
“What happened? According to one person familiar with the negotiations, after agreeing to a price in excess of $400 million (my source was not more specific), Ilitch discovered the revenues presented in the prospectus were inflated,” Ozanian wrote. “Ilitch, one of the great gentleman owners in sports, got (angry), lowered his offer price and the deal quickly blew up.”