The Rangers file for bankruptcy

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We’re still light on the details (Maury has the press release and some analysis), but the Texas Rangers filed for Chapter 11 bankruptcy this morning. It was a voluntary filing that is being characterized as a “prepackaged” bankruptcy proceeding, which means that all the terms of the bankruptcy are agreed
to before filing, which can result in a shorter turnaround time.  The team is characterizing it as a necessary step to allow Hicks Sports Group to sell the team to Chuck Greenberg and Nolan Ryan. The target date according to the filing: “midsummer.” You may recall that the Cubs did something like this prior to their sale to the Ricketteseseses.

This just came down so the details are still a bit sketchy, but something that sticks out to me is that the creditors of Hicks Sports Group — the ones who have been causing all the problems — aren’t part of the filing. If that’s the case, how could they have agreed to the terms of the “prepackaging?” Moreover, the verbiage in the press release says that the deal will provide “for all Rangers creditors to be paid in full.”  That can’t be technically right, because if there is enough money in the sale to fully satisfy all outstanding debts, the bankruptcy filing — which basically says that part X owes creditors more money than it has — would be tossed out, right?  This deal can’t be a “paid in full” thing. It has to be a “we’ve been paid enough to be happy” thing.

Another possibility — a pretty good one actually — is that there is separate deal in place between Hicks Sports Group and the creditors to settle the outside debt on some sort of payment plan or something else, but to do it outside the framework of the Rangers sale.*  If that were the case it would not necessarily have to be a part of this bankruptcy case. We just don’t know, however, based merely on the terms of the bankruptcy filing.  I will say that it would be pretty reckless for the team to file like this without any creditor signoff, official or otherwise, because it would invite the sort of proceeding — creditors going deep into the Rangers’ business — that they had been threatening to do back when they were at each others’ throats.

The primary upshot: there has to more going on here than meets the press release, probably in the form of some backroom dealing that will (a) keep the dirty financial laundry of the Rangers, Hicks and Major League Baseball out of bankruptcy court discovery proceedings but (b) makes the creditors happy. Otherwise, there’s no point to this filing.

Secondary upshot: if this is going down as the Rangers say it is, the team will be out of ownership limbo within a couple of months and, hopefully, able to resume normal operations, sign draft picks and add payroll in a way that a team in their competitive position should.

More on this, obviously, as the story develops.

*I’m aware that most of the debt at issue is not technically owed by the Rangers — it’s owed by Hicks Sports Group, thereby meaning that the big creditors like Monarch Alternative Captial couldn’t really go after the Rangers. But that’s kind of beside the point. All along these creditors have been making noises about dragging the team itself into bankruptcy if they weren’t paid, and it the suggestion has been strong that they would try to advance legal theories — however novel — that would allow them to encumber the team in order to get the money they are owed by Hicks.  For MLB and the Rangers to make this filing today, they have to think that such a move is not a threat.  This underscores my belief that some sort of side deal between Hicks and the creditors has to have taken place.

Diamondbacks will call up Braden Shipley to start on Monday

MINNEAPOLIS, MN - JULY 13:  Braden Shipley of the U.S. Team during the SiriusXM All-Star Futures Game at Target Field on July 13, 2014 in Minneapolis, Minnesota.  (Photo by Elsa/Getty Images)
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The Diamondbacks announced on Sunday that the club will call up pitching prospect Braden Shipley from Triple-A Reno to start on Monday against the Brewers. He’ll oppose Chase Anderson.

Shipley, 24, was selected by the Diamondbacks in the first round — 15th overall — of the 2013 draft. This season, his first at Triple-A, Shipley has compiled a 3.70 ERA with a 77/22 K/BB ratio in 119 1/3 innings.

MLB Pipeline ranks Shipley as the Diamondbacks’ best prospect and 58th overall in baseball. The right-hander throws a fastball that sits in the low-90’s but can reach the mid-90’s. Shipley is also regarded for throwing a change-up and a power curve.

The Astros are calling up infield prospect Alex Bregman

SAN DIEGO, CA - JULY 10:  Alex Bregman #2 of the Houston Astros and the U.S. Team is congratulated by teammates after scoring during the SiriusXM All-Star Futures Game at PETCO Park on July 10, 2016 in San Diego, California.  (Photo by Sean M. Haffey/Getty Images)
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After Sunday’s win against the Angels, the Astros announced that the club is calling up infield prospect Alex Bregman. Danny Worth has been designated for assignment to create room on the roster.

Bregman, 22, is considered the Astros’ best prospect and #18 overall in baseball according to MLB Pipeline. He hit .297/.415/.559 with 14 home runs and 46 RBI with Double-A Corpus Christi before being promoted to Triple-A Fresno. In 18 games with Fresno, Bregman hit .333/.373/.641 with six home runs and 15 RBI.

Bregman doesn’t have an obvious positional opening with the Astros, particularly since the club also signed Yulieski Gourriel. As a result, Bregman played some third base and, recently, left field. So the Astros may have him play at a handful of positions, even giving the middle infield regulars Jose Altuve and Carlos Correa a breather every so often.