Joe Tsai

Nets Notes: Dinwiddie, Irving, Durant, Luxury Tax

January 15th, 2020 at 7:35pm CST by Arthur Hill

Spencer Dinwiddie was confident last season that Kyrie Irving and Kevin Durant were coming to Brooklyn, former Nets teammate Ed Davis tells Stefan Bondy of The New York Daily News. Davis, now with the Jazz, said Dinwiddie began talking about landing the star free agents before last year’s All-Star break.

“Spence knew,” Davis said. “My locker was right next to Spencer’s too so we used to talk all the time. And he was saying that early. So we knew it was a good chance.”

Bondy notes that Dinwiddie may have diminished his own role in Brooklyn by recruiting Irving. Dinwiddie was putting up All-Star numbers while Irving was sidelined with a shoulder impingement, but they will now share playmaking duties.

“We’re just going to go with the flow,” Dinwiddie said. “We’re just going to go with whoever is hot in the moment.”

There’s more from Brooklyn:

Echoing comments earlier this week from general manager Sean Marks, Nets owner Joe Tsai told Brian Lewis of the New York Post that he’s willing to pay the luxury tax in order to compete for a title. “I think the fans expect that we win a championship. And the good thing is I believe that we do have the pieces in place,” Tsai said in a YES Network interview. “Now we have some injuries and people are coming back. But the fundamental pieces are in place to perhaps go all the way, so I’m absolutely comfortable that if we pay the luxury tax, that’s fine.” Lewis points out that the Nets are slightly below the $143MM cap threshold for next season, but that figures to change once they re-sign Joe Harris and fill out the roster.
Durant answered fans’ questions on Twitter this week about his recovery from a ruptured Achilles, Lewis adds in the same story. Durant discussed the “everyday grind” of rehab and how difficult it is to be away from the game. “It gets better everyday, but (it’s) good to have patience,” he tweeted.
Timothé Luwawu-Cabarrot returns to Philadelphia tonight in a stable situation for the first time since the Sixers traded him in 2018, observes Alex Schiffer of The Athletic. Luwawu-Cabarrot is on a two-way contract with Brooklyn and has helped the team stay afloat through injuries. He has about a week left on his 45-day NBA limit, leaving the Nets with a decision about whether to give him a standard contract to keep him on the main roster.

Latest On NBA/China Controversy

October 9th, 2019 at 8:29am CST by Luke Adams

As first reported by Jeff Zillgitt of USA Today, there’s a growing concern that the exhibition games between the Lakers and Nets scheduled to take place in China on Thursday and Saturday this week will be cancelled as a result of tension between the NBA and the Chinese government.

As we’ve outlined in a series of stories, that tension stems from a tweet supporting Hong Kong protestors which was published – and quickly deleted – by Rockets general manager Daryl Morey. Since then, the NBA and commissioner Adam Silver have backed Morey’s freedom of expression, which has upset the league Chinese partners. The NBA has lost sponsors in China, while streaming company Tencent has suspended its broadcasts of all Rockets games and Chinese state-run TV network CCTV has said it won’t show this week’s Lakers/Nets exhibitions.

Of course, as noted above, there are an increasing number of signs that those games won’t actually take place. After an NBA Cares event with the Nets in Shanghai on Tuesday was cancelled by the Chinese government, a similar event with the Lakers was nixed on Wednesday, per an ESPN report. Additionally, ESPN’s Rachel Nichols (video link) observes that banners advertising the Lakers/Nets games are being taken down in Shanghai.

Lakers and Nets players were scheduled to speak to reporters early this morning , but an NBA spokesperson announced that the media availability would be postponed, given the fluid nature of the situation, per Dave McMenamin of ESPN (Twitter link).

Here are a few more items on the NBA/China controversy:

After issuing an open letter earlier this week that was met with some criticism stateside for echoing language used by the Chinese government, Nets owner Joe Tsai briefly spoke to The New York Post and Wall Street Journal on Tuesday. Tsai, who said he’s in the “eye of the storm” as he tries to help the NBA and China resolve the issue, noted that his role is to help both sides understand the other’s perspective. “What I’m simply pointing out is how mainland China feels about this issue,” Tsai said of his open letter. “It’s definitely a third-rail issue for Chinese people on the mainland.”
Spurs head coach Gregg Popovich lauded Adam Silver for his comments on Tuesday in which he supported Daryl Morey‘s right to freedom of expression, per Tim Reynolds of The Associated Press. “It wasn’t easy for him to say,” Popovich said. “He said that in an environment fraught with possible economic peril. But he sided with the principles that we all hold dearly, or most of us did until the last three years. So I’m thrilled with what he said.”
When NBA players arrive in China, they’re generally treated like rock stars, but that hasn’t been the case for the Lakers this week, according to Tania Ganguli and Alice Su of The Los Angeles Times. As the Times duo writes, the Lakers were greeted with little fanfare when they landed in Shanghai, and have seen their plans for the week become “completely disheveled” as a result of the controversy.

Latest On NBA’s Morey/China Controversy

October 7th, 2019 at 9:41am CST by Luke Adams

As we relayed on Sunday, the Chinese Basketball Association and other business in China have suspended their relations with the Rockets in the wake of a Daryl Morey tweet in which the Houston general manager expressed support for protestors in Hong Kong. Although Morey deleted the tweet and the Rockets and the NBA made efforts to walk it back, the league remains in a tenuous spot, writes Jeff Zillgitt of USA Today.

The NBA issued a statement on Sunday, calling it “regrettable” that Morey’s tweet had offended “many of our friends and fans in China” and noting that Morey’s tweet didn’t represent the Rockets or the NBA. However, the league doesn’t intend to fine, suspend, or otherwise punish the Houston GM, sources tell Zillgitt.

Interestingly, the NBA’s statement also looked a little different in Chinese than it did in English, according to Yanan Wang of The Associated Press. In Chinese, the league referred to Morey’s tweet as “inappropriate,” a word that didn’t show up in the English statement. League spokesperson Mike Bass said today that the discrepancy wasn’t intentional (Twitter link via Zillgitt).

The NBA has to walk a fine line in this controversy, since the league typically hasn’t discouraged its coaches, players, and executives from speaking up about political and social justice causes that matter to them. In this case though, it’s clear that the NBA’s business interests in China’s massive market are influencing the league’s decision to distance itself from Morey’s initial comments and to placate its Chinese partners.

Here’s more on the controversy:

John Gonzalez of The Ringer cited league sources who claim that the Rockets have debated Morey’s employment status and whether to replace him. However, several reporters – including Sam Amick of USA Today, Jerome Solomon of The Houston Chronicle, and Jonathan Feigen of The Houston Chronicle (all Twitter links) – have heard from sources that’s not the case and that Morey’s job isn’t in jeopardy.
Morey hasn’t apologized for his initial tweet, but issued a follow-up statement in which he stressed that he didn’t intend any offense and expressed his appreciation for “our Chinese fans and sponsors.”
Rockets star James Harden, who has participated in promotional tours in China in the past, was among those in damage-control mode this weekend, per an ESPN report. “We apologize. You know, we love China. We love playing there,” Harden said. “For both of us individually, we go there once or twice a year. They show us the most important love.”
New Nets owner Joe Tsai issued an open letter to fans (via Facebook) providing more context on the situation in Hong Kong and China and criticizing Morey for not being “as well informed as he should have been.” Tsai’s framing of the Hong Kong protests as a “separatist movement,” rather than a fight for civil rights and democracy, echoes language used by the Chinese government. It’s worth noting that no NBA owner is more invested in China than Tsai, the co-founder of Alibaba Group.
The Chinese Basketball Association has cancelled the G League exhibition games between the Rockets‘ and Mavericks‘ affiliates scheduled to take place in the country later this month, sources tell Shams Charania of The Athletic (Twitter link).
For more analysis on the saga, be sure to check out pieces from Chris Mannix of SI.com, Daniel Victor of The New York Times, and Adam Zagoria of Forbes.

Nets Notes: Levy, Business Ventures, Projections

September 19th, 2019 at 5:39pm CST by ChrisCrouse

Nets owner Joe Tsai, who was unanimously approved by the NBA Board of Governors to take over control of the team earlier this week, believes the franchise has done an excellent job creating a winning environment.

“They established the culture, developed talent others couldn’t see, and made Brooklyn the place where the best players want to play,” Tsai said (via Brian Lewis of the New York Post). “In a great position to compete. I am thrilled to be partners with winners!”

Tsai has David Levy, who formerly lead Turner Broadcasting, overseeing his sports portfolio.

“It all starts with putting a competitive product on the floor. That means we have to win games, both in the regular season and the playoffs,” Levy said. “That’ll help us attract more fans.

“We’re going to market our stars, our team, our culture. That’s opportunities for bigger sponsors, and the foundation [GM] Sean [Marks] and [head coach] Kenny [Atkinson] built is going to help me do that.”

Here’s more from Brooklyn:

The Nets are looking at opportunities around esports (Brooklyn owns one of the 22 teams in the 2K League) and sports betting in order to capitalize on the increased interest in the team, Lewis relays in the same piece. Levy also tells Lewis that he intends to look into trying to re-negotiate the team’s TV deal.
Steve Kyler believes the Nets will finish fourth in the Atlantic Division, as he writes in a collaborative piece with the staff at Basketball Insiders. Kyler doesn’t see Kyrie Irving’s transition to the lead role in Brooklyn going smoothly.
In the same piece, Eric Pincus details how the Nets were creative with their financial moves this past offseason. Brooklyn negotiated a double sign-and-trade with Golden State for Kevin Durant rather than signing him outright, which allowed the team to maximize its cap space.

NBA’s Board Of Governors Unanimously Approves Nets Sale To Joe Tsai

September 18th, 2019 at 10:58am CST by Luke Adams

The NBA’s Board of Governors has unanimously approved the sale of the Nets – and the Barclays Center – to Joe Tsai, the league announced today in a press release.

Tsai, who had been a minority stakeholder in the franchise, finalized a deal last month to purchase the remaining shares from Mikhail Prokhorov, but that deal required approval from the Board of Governors before it could become fully official.

“We are thrilled that Joe Tsai is becoming the principal owner and governor of the Brooklyn Nets,” NBA commissioner Adam Silver said in a statement. “In addition to being a passionate basketball fan, Joe is one of China’s preeminent internet, media and e-commerce pioneers and his expertise will be invaluable in the league’s efforts to grow the game in China and other global markets.”

In addition to formally finalizing his purchase of the Nets and their arena, Tsai has also officially installed veteran executive David Levy as the CEO of the Nets and the Barclays Center, per a team press release. Levy, the former president of Turner, will also serve as the president of J Tsai Sports, the sports investment and holding vehicle controlled by the new Nets owner.

“David brings a unique combination of sports and media know-how, strategic thinking and operating skills to our sports and entertainment business. He is an entrepreneur at heart with the experience of managing and scaling organizations, and I really look forward to working with him,” Tsai said in a statement.

For more details on the sale of the Nets to Tsai and the hiring of Levy, be sure to check out our previous stories on those moves.

Atlantic Notes: Randle, Dudley, Scott, Nets

August 25th, 2019 at 10:17am CST by Arthur Hill

The Knicks‘ Julius Randle got a head start on building chemistry with his new teammates during workouts last month in Los Angeles, relays Marc Berman of The New York Post. Randle, who signed a three-year, $63MM contract, is among seven free agent additions in New York, along with rookies RJ Barrett and Ignas Brazdeikis.

“It’s important for us to get to know each other, spend time together on the court before training camp starts,” Randle said. “There’s a lot of new pieces. Everyone’s going to be trying to figure out their role. Coach (David Fizdale) is going to do a great job of helping us through that. If we want to be a good team and have a chance, we have to jump-start that process ourselves.”

From an individual standpoint, Randle is working this summer on becoming a more efficient scorer and is watching a lot of tape to try to improve defensively. He believes people who are expecting another losing season in New York are undervaluing the team.

“It’s easy to do that because the last couple of seasons have been hard,’’ Randle said. “It’s easy to underestimate us. But we’re a deep team. We’re a very deep 1-to-15 with guys who can play. If they underestimate us, I don’t care.”

There’s more from the Atlantic Division:

Jared Dudley was interested in signing with the Celtics, but the team believed it already had enough wings and wanted to keep a roster spot open, reports Gary Washburn of The Boston Globe. The Boston College alum wound up joining the Lakers on a one-year deal.
Sixers forward Mike Scott is looking forward to having Al Horford as a teammate again, writes Lauren Rosen of NBA.com. Scott broke into the league with the Hawks in 2012/13 when Horford was one of the stars in Atlanta. “Not only is he a great player, he’s a great person,” Scott said. “You love to play with people like that. He’s humble, he’s grateful, he knows his role.”
The NBA Board of Governors is expected to address Joe Tsai’s purchase of the Nets next month, according to a NetsDaily article. The sale shouldn’t affect any of the basketball operations, but changes may be coming on the business side of the organization.

Nets Notes: Irving, Prokhorov, Tsai, Levy

August 18th, 2019 at 5:25pm CST by JD Shaw

Kyrie Irving is already making his presence felt as the leader of the Nets, Brian Lewis of the New York Post writes. Irving has helped lead informal team workouts that includes the likes of DeAndre Jordan, Taurean Prince, Caris LeVert, Theo Pinson, David Nwaba and free agent Carmelo Anthony in Los Angeles over the past few weeks, with training camp set to start in less than two months.

“It was basically player-driven,” Pinson said of the workouts, as relayed by Lewis. “Kyrie was out there, and we wanted to get with him, so we just all went out there and just worked out together.”

Brooklyn revamped its roster this offseason, bringing in several new players and moving on from star guard D’Angelo Russell in a sign-and-trade with the Warriors for Kevin Durant. The team’s sudden roster overhaul makes it imperative that players get acclimated to each other before camp begins, with Irving helping lead the way for the franchise this month.

“It’s good. It gives us a little head start going into camp. Just getting not just on the court and [basketball-wise], but off the court also: playing ‘[NBA] 2K’, going to dinner and stuff like that. It’s been fun,” Pinson said.

There’s more out of Brooklyn today:

Chris Mannix of Sports Illustrated examines the complicated legacy left behind by Mikhail Prokhorov, who’s set to officially offload the rest of his ownership in the team to Joe Tsai at the end of August. Prokhorov acquired the Nets for $223 million in 2009, selling the team for $2.35 billion this summer.
Like Prokhorov, Tsai is confident his purchase in the Nets will prove to be a profitable decision down the road, Josh Kosman and Brian Lewis write for the New York Post. Tsai is banking on the NBA’s international growth — particularly in China — along with the superstar additions of Irving and Durant to help lead the way.
Former Turner Sports executive David Levy is a serious candidate to replace Brett Yormark as CEO of the franchise, Adrian Wojnarowski of ESPN tweets. Yormark recently announced his departure after spending 14 years with the team, leaving alongside Prokhorov.

Atlantic Notes: Lowry, Tsai, Sixers, J. Brown

August 16th, 2019 at 10:20am CST by Luke Adams

Raptors point guard Kyle Lowry, who is entering the final year of his contract, suggested last week that he’d love to remain in Toronto beyond the 2019/20 season and would have interest in signing an extension with the team. However, Eric Koreen of The Athletic believes it’s unlikely that Lowry and the Raptors will find common ground on a new deal before he reaches free agency next summer.

As Koreen explains, Lowry projects to be one of the very best free agents on the market next offseason, particularly if Anthony Davis re-ups with the Lakers. He’s also a five-time All-Star who just helped lead the Raptors to a championship. In other words, he’ll likely be expecting another big payday.

On the other hand, the Raptors are entering a transition year and are still trying to figure out what their post-Kawhi Leonard future might look like. With barely any guaranteed money on the books for next season, Toronto may prefer to maintain its flexibility rather than entering into a new agreement with Lowry right away.

Plus, with Lowry set to turn 34 during the 2019/20 season, it’s not clear how heavily the Raptors would be willing to invest in him going forward. While a contract extension is still a possibility, Koreen wouldn’t be surprised if those discussions are “put on hold for a while.”

Here’s more from around the Atlantic:

With the Nets swapping one wealthy foreign owner for another, Brian Lewis of The New York Post suggests that the team’s willingness to spend won’t change much as Joseph Tsai takes the reins from Mikhail Prokhorov. However, Lewis expects Tsai to be far more visible around the Nets and the NBA than Prokhorov had been in recent years.
In his latest mailbag for The Athletic, Derek Bodner explores the likelihood of the Sixers bringing draft-and-stash prospect Vasilije Micic stateside at some point, weighs the team’s ability to make another big splash on the trade market, and addresses a handful of other 76ers-related topics.
After being a full-time starter for the Celtics in 2017/18, Jaylen Brown started just 25 of his 74 contests last season and saw his playing time reduced by nearly five minutes per game. Appearing on this week’s episode of The Michael Holley Podcast, president of basketball operations Danny Ainge praised Brown for the way he responded. “He might have handled a difficult situation better than anybody on our team last year,” Ainge said (per Dave Green of NBC Sports Boston). “Very mature kid, wants to be great, knows that his time is coming.”

Joseph Tsai Finalizes Deal To Assume Full Ownership Of Nets, Barclays Center

August 16th, 2019 at 8:58am CST by Luke Adams

Nets minority shareholder Joseph Tsai has formally entered into an agreement with majority shareholder Mikhail Prokhorov to purchase full ownership of the franchise, the Nets confirmed today in a press release. As part of the deal, Prokhorov will also sell full ownership of the Barclays Center to Tsai.

The NBA’s Board of Governors still must officially approve the transaction, but that’s considered a mere formality. Tsai has long been expected to assume full ownership of the Nets since he bought a 49% stake in the team in April 2018. According to the press release, the arena and team sales are expected to close by the end of September.

“I’ve had the opportunity to witness up close the Brooklyn Nets rebuild that Mikhail started a few years ago,” Tsai said in a statement. “He hired a front office and coaching staff focused on player development, he supported the organization with all his resources, and he refused to tank. I will be the beneficiary of Mikhail’s vision, which put the Nets in a great position to compete, and for which I am incredibly grateful.”

According to reports from NetsDaily (Twitter link) and Scott Soshnick of Bloomberg, the total valuation for the Nets and the Barclays Center is $3.5 billion. The team – without the arena – was initially valued as $2.35 billion when Tsai bought his 49% stake last year.

Prokhorov will make out particularly well in the deal. When he assumed full ownership of the Nets and their arena in 2015, the team was valued at $875MM and the arena was valued at $825MM, for a total of $1.7 billion. The new total valuation of $3.5 billion is more than double that amount.

As we relayed on Thursday night, Nets CEO Brett Yormark is stepping down as team ownership changes hands. In their press release, the Nets confirmed that Yormark will oversee the transition to new ownership before “departing for a new role.”

Tsai, the co-founder and executive vice chairman of Alibaba Group, who is reportedly worth an estimated $9.9 billion, is expected to help the NBA grow its presence in China. He appears to have invested in the Nets at the right time — when he initially bought his 49% share last April, the team was coming off a 28-54 performance. The club boosted that mark to 42-40 last season, then made a huge splash in free agency by signing Kevin Durant and Kyrie Irving.

Nets CEO Brett Yormark Stepping Down

August 15th, 2019 at 9:26pm CST by clarkcrum

Brett Yormark, the lead executive for both the Nets and Barclays Center, is stepping down as the team’s top executive ahead of an impending ownership change that will see Taiwanese businessman Joseph Tsai become the franchise’s owner, reports Scott Soshnick of Bloomberg.

According to Soshnick, Yormark will announce that he’s resigning as CEO of BSE Global, the Nets’ parent company, tomorrow morning.

Yormark was an important figure in the Nets’ move from New Jersey to Brooklyn in 2012 and the development of Barclays Center. For the past seven years, he has presided over all facets of the team and Barclays Center, including operations, events, sales and marketing.

Soshnick also notes that Yormark departing alongside current majority owner Mikhail Prokhorov makes sense because of how much Prokhorov entrusted operations to Yormark. It’s unclear whether Tsai, who will likely want his own team put into place, would have given Yormark the control he desired.

Load More Posts