Los Angeles Lakers owner Mark Walter and Josh Kushner have agreed on all outstanding terms of the sale of the franchise at a US$12.5 billion valuation, ESPN has reported.
ESPN’s Ramona Shelburne reported on Friday, US time, citing sources close to the negotiations, that Walter and the Thrive Capital founder met in person on Thursday at Walter’s home in Florida to finalise the transaction.
The two men are expected to sign the formal agreement soon, according to the report. Once it is signed, the deal will go to the NBA for review, a process that generally takes some time as the league examines financing and ownership structure.
Sources also told ESPN that Kushner has assured Walter he has raised all the money needed to complete the sale.
A deal done in 72 hours
Kushner and former Disney chief executive Bob Iger agreed to buy the Lakers from Walter in August. ESPN’s inside account of the sale said the deal came together over 72 hours, with Kushner offering to buy Walter’s shares at the $12.5 billion valuation, 25 per cent more than Walter had agreed to pay the Buss family about 14 months earlier.
Read more: NBA: Why Mark Walter Sold the Lakers Just Months After His $10 Billion Takeover
Questions over the group’s funding surfaced this week when podcaster Bill Simmons suggested Kushner was still raising part of the money. Front Office Sports reported that Kushner and Iger have been offering minority stakes starting at US$250 million each, with one source telling the outlet that the idea Kushner was having trouble raising money was not true.
Buss family dispute still to be settled
The sale also involves the Buss family trust, which still owns 17.8 per cent of the Lakers. Five of the six Buss siblings voted to sell those shares to Kushner and Iger, but Jeanie Buss, the team’s governor, has challenged that vote in court.
NBA rules require a controlling owner to hold at least 15 per cent of a team. ESPN reported that the siblings have held settlement talks, with a court date set for 8 December if no settlement is reached.
Read more: Jeanie Buss’s Siblings Ask Judge to Dismiss Lakers Sale Petition
Front Office Sports reported that once the deal closes, Kushner will be majority owner, while Iger will be a minority owner overseeing the team’s day-to-day operations.
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