Nets owners Joe Tsai and Clara Wu Tsai have agreed to sell a 15% stake in BSE Global – the team’s parent company – to Julia Koch and her children, according to a report from Scott Soshnick and Eben Novy-Williams of Sportico. The New York Post first reported the negotiations in February.
BSE Global was assessed with a valuation of $6 billion for the upcoming sale, per Sportico and Brian Lewis of The New York Post. That’s a significantly higher valuation than any NBA franchise has received as part of a stake sale, though it also takes into account the WNBA’s New York Liberty and the Barclays Center. The Tsais paid a total of $3.3 billion for the two teams and the arena, assuming full control in 2019.
The massive new figure likely reflects the impact of the NBA’s and WNBA’s upcoming TV deals, as well as the “growth in the economics” of the Barclays Center, Soshnick and Novy-Williams write.
“The $6 billion valuation is not stretched at all if you take into account a potential new NBA media deal, a hot WNBA team with exponential growth, and Barclays Center doing really well as a top concert venue,” one source told Lewis.
The widow of late billionaire David Koch, philanthropist Julia Koch inherited 42% of Koch Industries, one of the largest conglomerate companies in the United States, when her husband died. She and her family are said to be worth $65.2 billion, per Forbes.
Julia Koch’s group, which also includes her children David Jr., Mary Julia, and John, won’t have a path to gradually take over majority control of the Nets in stages – like the Tsais did when they initially bought in – as part of this deal. She also won’t become an alternate governor for the franchise. However, the Kochs will be given the right of first offer if Tsai decides to sell his majority stake in the team down the road.
The NBA’s advisory committee has reviewed the terms of the sale and recommended that the league’s Board of Governors approve it in a June 24 vote, per Sportico.
Well this is terrible news
Major Republican donors getting big into sports washing. This after Trumps biggest fan paid of Cuban in DAL…
Brought to you by the people behind tax breaks for the wealthy and corporations, and deregulating everything so they can pollute as much as they want for profit!
I mean, absolutely, but this is not specific to the NBA. Comment all you want just make sure to vote in November.
I vote in November but that doesn’t really matter unless you live in a swing state. If you don’t live in a swing state register as member of whatever party is dominant in your district or state, then at least you can vote for the least extreme option in the primary. Even if you live in a swing state you’re just voting for whichever candidate rich families like the Koch’s deem acceptable so the voter has an illusion of choice.
“those wealthy corporations”, the nba fan says shaking his fist
What do think happened to all the money they got from their big tax breaks? Remember how people were promised the top 1% would trickle down. It just gave them more money to buy everything. While the middle class pays more in taxes.
I know its amazing but people that already have more money than they can spend dont spend any of that extra money they get…
Maybe look into Tsai’s politics…makes Trump look like an angel.
Philanthropist? That would infer that’s she’s doing good things for people. Just because ones donates several million dollars of their billions of dollars to good causes to get a major tax write off and to look good on paper does not make one a philanthropist.
Her family directly donates millions to corrupt politicians and funnels several million more into CPACs whose purpose is to get those corrupt politicians elected.
The term “philanthropist” has been used this way for a long long time…
It’s all part of the marketing plan that those enjoying the current rot live easy lives on…
It’s no different to many of the other descriptors the rich have devised for themselves… Like “excellency” it’s just a word used to promote those who hoard resources and hold back evolution of the species as good people…
No arguments here.
Hahaha meltdown in comments was inevitable
The only one melting down in the comments, is you. While others are posting facts you are decrying them in multiple instances. You seem to be a strong defender of wealth hoarders and anti-labor policies enacted by the Koch family. Did you just sign up to defend some of the worst people on the planet? Or you see a negative fact about anything Republican and you spring into action? I’d bet anything when you turn on your TV it’s on Fox News.
Haha preach Karen
USA pro sports team ownership is what is destroying every USA pro sports league.
These teams should all be co-ops, owned by the players.
RIP Willie Mays …….. NYG, SFG .
Best ever ……. 5Tool was invented by Willie.
Nothing like politics to jumpstart this NBA offseason.
Well the Nets just got even easier to hate on…
Sterling was just the tip of the disgusting iceberg that is sports ownership…
I’d take a senile, racist 80 year old playboy any day over these wall street/hedge fund team owners.
Well you got both, good luck to us all.
Sounds like a lot of people here are at stage 4 in their Trump, derangement syndrome and will soon be sent to hospice care by their family. And then stage 5 is where you’re institutionalized for the insane.
Nobody mentioned him but you. Sounds like you are the one in the home staring at the walls.
arc89- That’s actually false. Ctrl + F or “find in page” would lead you to three comments citing Trump, all negative.