The group led by Hamister was the first choice to buy the Sabres but has suspended its bid after missing a National Hockey League-imposed deadline.
Hamister and Chartwell Investments president Todd Berman agreed in November to buy the Sabres for $33million in cash and assume $7.7m of debt. However, Chartwell has withdrawn as a partner in the bid purchase. The sale was contingent upon them getting an additional $33m from the state of New York, Erie County and the city of Buffalo.
Hamister, who owns the AFL's Buffalo Destroyers, had the period as the lone bidder extended four times by the league but couldn't secure government aid.
He said: "Given the uncertainty and complexity of the entire process, I need to step back and re-evaluate whether it makes sense to move forward.
"I will be speaking with my advisers over the next several days as well as with potential new equity partners to determine if I should continue or withdraw altogether."
