Alex Rodriguez’s dream of becoming the owner of a major professional sports franchise is about to come true, according to a report.
The former Yankees slugger, who whiffed on an attempt to buy the Mets, will gain control of the NBA’s Minnesota Timberwolves in a partnership with tech mogul Marc Lore after the club’s 83-year-old owner Glen Taylor declined to challenge an arbitrator’s ruling that greenlighted their purchase, ESPN reported on Wednesday, citing sources.
Taylor on Wednesday agreed to sell 100% ownership of both the Timberwolves and the WNBA’s Minnesota Lynx to the investment group led by Lore and A-Rod for the previously agreed price of $1.5 billion, according to ESPN.
A-Rod will likely become the face of the franchise, while Lore — a Staten Island native who rose from modest beginnings to become a billionaire after selling e-commerce site Jet.com to Walmart for $3.3 billion in 2016 — will be the controlling shareholder and governor of both teams.
Taylor, who purchased the T-Wolves for just $94 million in 1994, decided to forgo appealing a ruling by a three-person arbitration panel in favor of Lore and A-Rod.
In March of last year, Taylor accused the duo of reneging on the terms of their 2021 purchase agreement and of missing critical deadlines — an accusation that the two denied — as he tried to back out of the deal as the value of NBA franchises skyrocketed.
Last month, the owners of the NBA champion Boston Celtics agreed to sell the team to a group led by private equity manager Bill Chisholm for $6.1 billion.
Lore and Rodriguez insisted that Taylor was overcome with a case of “seller’s remorse” after the value of his team surged in the last couple of years amid fan enthusiasm and a deep playoff run by its star-studded roster.
Since Taylor first agreed to terms with the Lore-A-Rod team, the team’s value rose close to $3 billion — presenting an opportunity for Rodriguez to profit significantly from the valuation difference.
The Post has sought comment from Lore, Rodriguez, the T-Wolves and the NBA.
Lore and Rodriguez had initially agreed with Taylor to acquire the franchises through a multi-step purchase process.
The first two installments, representing approximately 36% of ownership, were successfully completed for about $500 million.
Following arbitration, the Lore-Rodriguez group expanded its financial strength significantly by attracting prominent investors, including billionaire Michael Bloomberg, former Google executive Eric Schmidt and Blue Owl Capital, an NBA-approved equity group.
The collective raised an additional $950 million, securing these funds in escrow to demonstrate readiness to finalize the transaction.
Negotiations over the last six weeks between Taylor and the Lore-Rodriguez group resulted in mutual agreement on final terms, ESPN reported on Wednesday.
The NBA has started official procedures to finalize the ownership transfer, including preparing for an eventual board of governors vote, the outlet reported.
Notably, Lore, who previously described owning the Timberwolves as a “dream come true,” stepped back significantly from the financing arrangement, The Post exclusively reported last year.
Sources close to the situation stated that Lore preferred Rodriguez, whose net worth is considerably lower, to increase his financial commitment, balancing their investments more evenly.
Credit: Source link
