Sacramento Kings Selling 7% Share of the Team

by October 26, 2012

Tough times have forced a minority team owner to put a small ownership stake in the Sacramento Kings on the market. 7% of the team is now available for purchase. From the Sac Bee: “A 7 percent share of the Sacramento Kings is about to head for the auction block. The share held by bankrupt Sacramento developer Bob Cook is expected to be sold off, with the proceeds to be split among Cook’s creditors. David Flemmer, the court-appointed trustee overseeing Cook’s bankruptcy, originally proposed auctioning the Kings’ stake in March. But one of Cook’s creditors, an investment firm from Capitola called Omni Financial, blocked the sale. […] The 7 percent share could be sold to one of the existing Kings owners, including the Maloofs, the majority owners. An outsider could also enter the picture. Cook has been a part-owner since the team relocated from Kansas City in 1985. He put up his 7 percent stake as security when he borrowed $10 million from Omni in 2006. He defaulted on the loan in 2009. He filed for bankruptcy protection in 2011. Most of his problems stem from a troubled hotel development, the Le Rivage in Sacramento.”