LA Lakers sold in record $17.7b deal as Trump associate and former Disney chief swoop
The Los Angeles Lakers basketball team was sold for a record $17.7 billion to Josh Kushner and Bob Iger, marking the highest price ever paid for a U.S. professional sports franchise. Kushner, a co-founder of Thrive Capital, and Iger, former CEO of Walt Disney Co., shifted their focus from acquiring an NBA expansion team in Las Vegas to purchasing the Lakers from financier Mark Walter, whose investment empire faces federal investigations. The deal was finalized within 24 hours after intense negotiations, reflecting the growing value of top-tier sports franchises amid rising media rights revenue. Iger, who previously managed Disney’s NBA rights contracts, sees ownership as a culmination of his career ambitions. The Lakers, founded in 1947 and relocated to the West Coast in 1960, have a storied history with 17 championships and a legacy of innovation in basketball. This sale surpasses the previous record set by the Seattle Seahawks' $9.6 billion purchase.
In a landmark transaction that has sent shockwaves through the sports industry, the Los Angeles Lakers have been sold for a staggering $12.5 billion (approximately $17.7 billion), marking the highest-ever purchase price for a U.S. professional sports franchise. The new owners are Josh Kushner, managing partner and co-founder of Thrive Capital, and Bob Iger, the former chief executive officer of Walt Disney Co., who is also an adviser at Thrive. The acquisition comes after Kushner and Iger initially sought to buy an NBA expansion team in Las Vegas but shifted their focus to acquiring the Lakers from current owner Mark Walter. The deal, which was finalized within a span of three to four days, was confirmed by Iger during an interview with Bloomberg News. He described the acquisition as a long-held aspiration, emphasizing the value of owning a premier sports franchise amid rising media rights deals. Iger noted that Kushner compared the purchase to acquiring the Mona Lisa, highlighting the immense cultural and financial significance of the Lakers. The rapid pace of negotiations underscored the urgency and high stakes involved in securing such a historic opportunity. The Lakers, founded in 1947, have established themselves as one of the most successful franchises in the history of professional sports. After relocating from Minneapolis to Los Angeles in 1960, they became the NBA's first West Coast team. With 32 appearances in the Finals and 17 championship titles, the Lakers have left an indelible mark on the league. Their "Showtime" era in the 1980s, led by legends like Kareem Abdul-Jabbar and Magic Johnson, revolutionized the game with its fast-paced style, influencing modern basketball strategies. The sale price surpasses the previous record set by the National Football League’s Seattle Seahawks, which were purchased for $9.6 billion in July. This unprecedented valuation highlights the growing interest among private equity firms in acquiring top-tier sports franchises, driven by the increasing worth of media rights and global brand exposure. Industry experts have expressed astonishment at the scale of the deal, with Lee Berke, CEO of LHB Sports, Entertainment & Media, stating that the figure is both impressive and indicative of the evolving landscape of sports ownership. Mark Walter, who acquired a majority stake in the Lakers from the Buss family last year for $10 billion, is currently facing a federal investigation into his investment empire. His holding company, TWG Global, includes interests in the Los Angeles Dodgers, the English Premier League club Chelsea, and Guggenheim Partners, which is under scrutiny for alleged misrepresentations regarding its revenue. Despite the ongoing legal challenges, TWG Global maintains that it has acted in good faith and is cooperating fully with authorities. Bob Iger, who recently stepped down as CEO of Disney, has a deep-rooted connection to sports, having worked extensively with ABC Sports before joining Disney. His transition from overseeing media rights to becoming a team owner marks a significant shift in his career trajectory. Meanwhile, Josh Kushner, known for his ties to the Trump administration through his brother Jared Kushner, brings a unique blend of financial acumen and political influence to the table. The combination of Iger’s experience in sports media and Kushner’s entrepreneurial spirit could reshape the Lakers' strategy and direction in the years ahead. As the new owners prepare to take control, the Lakers' legacy continues to shine brightly, promising a new chapter filled with opportunities and challenges. The impact of this acquisition on the broader sports industry and the future of the Lakers remains to be seen.
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