When the news first surfaced that Jose Feliciano had purchased the San Diego Padres, many folks must have thought that the iconic blind musician and singer had embraced a new interest in professional baseball. That was just a silly rumor. The actual buyer was Jose A. Feliciano, also Puerto Rican, a wealthy businessman who heads up Clearlake Capital with an office in Santa Monica, California. Perhaps more notable, Feliciano and his wife, Kwanza Jones, own Chelsea FC in the prestigious English Premier League for football, although the sport is called soccer in our country.
During the bidding wars that took place over the last couple of months, Feliciano’s group was deadlocked with three other potential buyers at $3.5 billion, already an MLB record for a franchise sale. The icing on the cake occurred when Feliciano countered with a final bid of $3.9 billion, and Padres controlling partner John Seidler accepted the offer. But the fine print tells a different story. The new owners will be obligated to pledge much less than $2 billion to gain majority interests. The balance of the money will have to be absorbed by minority associates, and those details remain uncertain at best. Then again, the list is extensive.
Probably the most logical and certain investor would be the Sycuan Indian Tribe in the East county, longtime advertising patrons with extensive assets in real estate, hotels, casinos and recreational facilities. Another small group headed by former New Orleans Saints quarterback Drew Brees remain interested in a piece of the action, despite previously dropping out of the running. A smaller share would be more realistic, and Brees is still a popular local figure stemming from his days with the former San Diego Chargers. The wild card in this scenario could be Mexico City businessman Alfredo Harp Helu, who currently owns 15% of the Padres and will certainly be updated this weekend when the Friars play the Arizona Diamondbacks in the Mexican capital. Then there’s also the possibility that John Seidler, the older brother of the late Padres owner Peter Seidler, could maintain a smaller portion of the pie. That is highly expected, and would include Peter’s widow Sheel Seidler, an immigrant from India and their children.
Any financial transaction of this magnitude is never free of minor hurdles, and this deal is no exception. That’s why no major announcements of the sale has been deemed official. But Jose A. Feliciano will be calling the shots in this new structure, and should be easily approved by the other 29 owners when this change finally comes up to a vote. So, why all the last minute scrambling and search for additional investors? It’s because despite drawing at least 40,000 fans for home games at an elite venue, San Diego remains a small market franchise. With Anaheim and Los Angeles to the north and Phoenix to the east, picking up a cable television contract is a tough task. The Friars have a huge following in Tijuana and folks are glued to their radios for every pitch. But those broadcasts generate very little revenue.
Meanwhile on the field, the Padres are off to a solid start under rookie manager Craig Stammen. But the starting pitcher issue, weak at best to begin the season, has become more problematic after the recent injury to the usually durable Nick Pivetta. The former Red Sox grinder has been sidelined with right elbow inflammation, and his return this season is uncertain. That unexpected news, coupled with the Joe Musgrove setback and the absence of Yu Darvish, has left pitching/bench coach Ruben Niebla searching for answers. Michael King has returned to his former excellence, and veteran free agents Walker Buehler and German Marquez have performed well. The development of youngster Randy Vasquez has also been a pleasant surprise. The truth though, is that the Padres have zero depth after those guys, which prompted GM AJ Preller to sign veteran Lucas Giolito to an incentives-laden contract. But the former White Sox ace is not ready yet, and will need a few weeks to build up his arm.
Additional pitching moves are expected, along with other adjustments to the 40 man roster. But that’s nothing new to loyal fans and the media that covers this club. It’s always a wild ride. That said, San Diego is a baseball and soccer city, and I’ve never met an athlete who doesn’t love playing here.
