Bob Iger and Joshua Kushner agree to buy Lakers at reported $12.5 billion valuation
The proposed Lakers sale from Mark Walter awaits NBA approval, while the reported valuation is 25% above last year’s deal.
By Sofia Marchetti · World Affairs Correspondent
3 min read
Bob Iger and Joshua Kushner have agreed to buy the Los Angeles Lakers from majority owner Mark Walter in a deal that values the team at a reported $12.5 billion. The Bob Iger Joshua Kushner Lakers sale would reset the price benchmark for a U.S. professional sports franchise if approved by the NBA.
The valuation was reported by people familiar with the terms who spoke to CNBC, The Associated Press and ESPN. Neither side publicly disclosed the financial details, and the ownership transfer still requires approval from the NBA Board of Governors.
Does the Lakers sale still need NBA approval?
Yes. ESPN and the AP reported that the Board of Governors must approve the transaction, a process that can take several weeks. The next board meeting is scheduled for next month in New York, according to ESPN.
An agreement to buy a team does not by itself complete the change in ownership. NBA governors must sign off before Kushner and Iger can take control of Walter’s majority stake.
A second ownership deal in about a year
Walter became the Lakers’ majority owner after NBA owners approved his purchase last October, ESPN and the AP reported. That earlier transaction, in which Walter acquired a controlling interest from the Buss family, valued the franchise at about $10 billion.
The newly reported $12.5 billion valuation is $2.5 billion higher, or 25% above, that figure. The comparison measures the franchise valuations in the two transactions; it does not establish Walter’s gain because the available reports do not disclose the full terms, stake structure, financing or costs of either deal.
The AP described the reported new price as a record for a U.S. pro sports franchise. CNBC reported that the sale announced Wednesday covers Walter’s Lakers stake only, rather than his interests in other teams and sports businesses.
Who are the prospective Lakers owners?
Kushner founded and runs venture capital firm Thrive Capital. Iger, the former Disney chief executive, joined Thrive earlier this year, CNBC reported. The pair had also participated in efforts to secure an NBA expansion franchise in Las Vegas, according to the AP and ESPN.
In a joint statement reported by CNBC and ESPN, Iger and Kushner said they were honored by the opportunity to become stewards of the Lakers. They said they intended to build on the foundation established by Jerry Buss and Jeanie Buss, compete at the highest level and serve the team’s fans and Los Angeles.
Walter said in a statement to ESPN that owning the Lakers had been an honor and thanked the Buss family, players, staff and fans. The NBA’s approval process will determine when the proposed sale becomes official.
This story draws on original reporting from CNBC.